Uncover the intricacies of time-barring laws and the circumstances under which a claim might become time-barred in less than 5 years.
In essence, the limitation period is when a claim ceases to be enforceable after a certain period of time. This limitation period starts to run when the claim becomes due, i.e. when it should have been paid.
Normally, claims are time-barred after 5 years. The applicable legislation itself sets a different period from the general five-year limitation period in certain situations.
For example, the right to claim tax is subject to a limitation period of five years from the last day of the calendar year in which it is due, i.e. in practice six years. It is also worth noting that claims arising from the supply of electricity or gas are subject to a limitation period of 3 years, while claims relating to the supply of telephone or television services are subject to a limitation period of 1 year.
But is it possible to agree in a contract between the parties to apply a shorter or longer term than the law in a specific, individual legal relationship?
The question arises because the Civil Code also contains the principle of freedom of contract, which means that in the vast majority of cases, where the law does not prohibit derogation, we are free to decide whether to conclude a contract, with whom to conclude it and with what content.
Dr. György Zalavári, lawyer, points out that this is possible; the principle of freedom of contract can also be applied in relation tolimitation periods, and the contracting parties may derogate from the original rules of the Civil Code. Such an agreement changing the limitation period must be in writing.
A limitation is that an agreement that completely excludes the statute of limitations is void, but the claim may be time-barred after a very short period of time, even a few weeks, if the agreement says so.It is important to note that in general, a time-barred claim cannot be enforced even in court proceedings. However, the fact that the statute of limitations cannot be taken into account ex officio by the judge or the administrator in judicial or administrative proceedings must be expressly invoked by the party concerned. The court or administrative authority is not entitled to draw attention to this as a guarantee of impartial judgment or administration.
It should also be noted that during the limitation period, certain measures interrupt the running of the limitation period, in which case the limitation period starts to run afresh, and that the limitation period is suspended in certain circumstances, in which case the time limitation period does not run.