A local charity purchased some equipment some 6 or 7 years ago, some goods were taken in part exchange.
An invoice was only received in November 2006 with no mention of the goods taken away.
As the officer at the time is no longer involved with the charity there is some confusion as to what actually happened all those years ago.
Is there a time limit for submitting invoices by law? Can this be contested?
Ryan Redman
Replies (8)
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The usual time limit for contract claims
is 6 years from the date of breach - presumably the date on which the payment originally agreed, but not formally invoiced at that time, fell due, say 30 days from delivery.
My interpretation therefore is that when 6 years and 30 days (or more days if there is any evidence of the payment terms) have elapsed, the supplier will be unable to sue, irrespective of the date on which the invoice was prepared or sent.
I'd be interested to know what others think.
Thanks Chris,
That was along the lines I was thinking and hoping for confirmation.
The Professor completely missed the point of the question and shot so wide of the target he has killed a perfectly innocent spectator.
There is no question of any fraud here, just poor administration on the part of the supplier it seems
Fraud unearthed?
I think so, fraud must have been committed.
At this stage, let's think of a lot of ways this kind of situation could cause fraud to be perpetrated. Please begin looking for corroborative evidence to commit the formet officer.
Firstly, I can think of a smaller amount invoice could have been issued for the equipments purchased. Now, ie 7 years later, a higher value invoice is issued so that "commission" can be paid to "someome".
Secondly, specific items of billings could have been transpired 7 years ago. The former officer could have used the equipments to mortgage a loan for his own benefits. That explains why the invoice now do not spell out the items.
Thirdly, the officer must have sold off some of the items purchased 7 years ago. Now, he instructed the supplier to issue a higher value invoice, the objective of which, you know very well why this is perpetrated.
The above are just some of the things you ought to look out for.
As for corroborative evidence, you must get in touch with all previous staff who had worked in this association with and subordinate to the former officer. Ask for their help in sorting out this problem.
If all the previous staff are involved in the same 'scandal', then too bad, you will never get their cooperation. Perhaps, report the matter to the authorities.
Yes (but...)
I am sure it CAN be contested.
However, the success or othwerwise of your argument may be affected by the lack of information you have.
Practically, I think the best course of action (if this is posible) would be to contact the ex-officer and ask him/her to provide you with a statement of the facts as they recall them.
If you can obtain this, you would then be in a better position to judge the merits of contesting the invoice.
Limitation Act 1980
I agree that there is a 6 year time limit - s5 Limitation Act 1980:-
"An action founded on simple contract shall not be brought after the expiration of six years from the date on which the cause of action accrued."