The defendant entered into a mortgage loan. The property was repossessed and he faced an action for recovery of the shortfall. It was argued that the claim was out of time after six years. The court held that the debt remained a specialty debt and the twelve year period applied, but nevertheless, the actual claimant claimed under an assignment which had assigned only the personal element of the debt, but not the benefit of the covenant within the mortgage deed. An assignment of the debt alone operated to assign that debt, and not the right given under the mortgage, and so a claim under the assignment was limited as under contract.
Gazette 13-Jan-2000, Times 23-Feb-2000,  BPIR 1029
Cited – West Bromwich Building Society v Wilkinson HL 30-Jun-2005
The Society had taken possession of a property in 1989. It located the defendants many years later and sought payment of the excess after deduction of the proceeds of sale, and for interest. The borrowers claimed the debt was expired by limitation . .
Lists of cited by and citing cases may be incomplete.
Limitation, Land, Banking, Limitation
Updated: 08 April 2022; Ref: scu.80875