Debt lapsed because of time

If there has been no acknowledgement or payment between the client and creditor for five years or more, and no court action has been taken by the creditor, the client may no longer be liable for the debt. If court action has taken place and resulted in a decree, this timeframe is extended to 20 years. For council tax debt, the period is also 20 years. This is a complex area of the law and advisers should read the Chapter 12 for more detail.