Statute Barred Debt means any outstanding debt where repayment of the debt can no longer be pursued due to the provisions of either the Limitations Act 1985 or the Bankruptcy Act 1996.
Limitations Act 1985
The Act provides that legal action to recover a debt cannot be commenced or maintained through the Courts following the expiration of a specific period. In the case of tenancy debt, this period is six (6) years. Expiration of the period does not expunge the debt as if it had never existed, but once this period has elapsed, the debt becomes “Statute Barred”.
This period commences at the most recent of;
- the date the debt first accrued
- the date on which the customer last acknowledged the existence of the debt, for example, by entering a repayment arrangement
- the date on which the customer last made a payment against the debt.
Representing yourself – Queensland Court Forms