Timing is Everything: Court of Appeal Hands Down Decision on When Claims Under Hire Purchase Agreements are Time-Barred

    October 2012
    On 10 October 2012, the Court of Appeal handed down an extempore judgment in BMW Financial Services (GB) Limited v Hart (2012) on an issue which will be of considerable interest to consumer and asset finance providers: when does the limitation period for bringing a claim for the unpaid balance expire? In a pragmatic and sensible decision, the Court of Appeal decided that the cause of action to recover the unpaid balance did not start until the lender had served a termination letter or accepted the debtor’s repudiation of the agreement.