On 20 October 2025, Laurence Emmett KC delivered a lecture to members of COMBAR on the postponement of limitation periods in cases of fraud, concealment or mistake under section 32 of the Limitation Act 1980.
The lecture touched a point of key importance in the FCA’s proposed scheme to compensate borrowers who took out motor finance loans between April 2007 and November 2024. The FCA’s proposal is to assume that in any case where the lender did not adequately disclose a commission, the lender thereby deliberately concealed the claim from the borrower; and also to assume that in any such case the borrower could not with reasonable diligence have discovered the claim until less than six years before the date on which the borrower is assessed for participation in the scheme.
However, on the authorities explained in the lecture, it is far from clear that those assumptions can be justified for reasons that are expanded in the attached note. It remains to be seen how the FCA will deal with this difficult provision governing the law of limitation, which has required so much interpretation by the courts, when it comes ultimately to set up the scheme.
The note can be found here.
If you would like Laurence to give a presentation on the issue relating to the motor finance proposal, or on other aspects of the Limitation Act, please contact clerks@oeclaw.co.uk