Statute of Limitations in Commercial Disputes: Queensland Deadlines That Cannot Be Missed

Key Takeaways

• Most actions founded on simple contract or tort in Queensland must be commenced within six years of accrual.
• Since 1 August 2025 an action on a deed in Queensland also carries a six-year period, reduced from twelve by the Property Law Act 2023 (Qld).
• The clock starts when the cause of action accrues, which is often when loss is suffered or a breach occurs.
• A claim filed out of time is generally barred, regardless of how strong it is.
• Identify your limitation date early and seek advice well before it approaches.

1. 1.Why limitation periods exist
2. 2.The general rule for commercial claims
3. 3.Step 1: Identify the type of claim
4. 4.Step 2: Find when the cause of action accrued
5. 5.Step 3: Apply the relevant period
6. 6.Step 4: Build in a safety margin and act
7. 7.Common traps for directors
8. 8.What this means for directors
9. 9.Frequently Asked Questions

Limitation periods are unforgiving. A strong commercial claim filed out of time is generally lost. This article explains how Queensland limitation periods work under the Limitation of Actions Act 1974 (Qld) and how to work out your own deadline.

Why limitation periods exist

Limitation periods balance fairness to claimants against fairness to defendants. Over time, evidence is lost, memories fade and people are entitled to move on without the indefinite threat of stale claims. The law fixes a window within which proceedings must be commenced. Once it closes, the defendant ordinarily has a complete answer to the claim.

The general rule for commercial claims

For most commercial disputes, the key figure is six years. Under the Limitation of Actions Act 1974 (Qld), actions founded on simple contract or on tort generally must be brought within six years of the date the cause of action accrued. That covers a large share of everyday commercial disputes, including many claims for breach of a commercial agreement.

Not every claim follows that rule. An action on a deed once carried a longer twelve-year period under section 10(3) of the Act, but that changed on 1 August 2025, when the Property Law Act 2023 (Qld) amended the Limitation of Actions Act 1974 to reduce the period for an action on a deed to six years. Specialised statutory claims often have their own limitation regimes, so the first task is still to identify what kind of claim you have, because that determines which period applies.

Step 1: Identify the type of claim

Characterise the claim precisely. Is it founded on a simple contract, on a deed, in tort or on some statutory right? The category drives the limitation period, so this step comes first. Where a set of facts gives rise to more than one possible claim, each may have its own deadline.

Step 2: Find when the cause of action accrued

The clock generally starts when the cause of action accrues, not when you discover the problem. For a breach of contract that is often the date of the breach. For many claims in tort it is when the loss is suffered. Most of the work, and most of the risk, sits in fixing the accrual date and it can be harder than it looks where loss emerges gradually.

Step 3: Apply the relevant period

Add the applicable period to the accrual date. For actions founded on simple contract, on tort or, since 1 August 2025, on a deed, that period is generally six years in Queensland. The resulting date is the outer limit by which a proceeding must be commenced in the relevant Queensland court.

Step 4: Build in a safety margin and act

Never aim to file on the final day. Preparing a compliant originating process and pleadings under the Uniform Civil Procedure Rules 1999 (Qld) takes time, evidence must be gathered and unexpected complications arise. Treat the true deadline as earlier than the legal one, and seek advice well in advance. The Civil Proceedings Act 2011 (Qld) and those rules govern how the proceeding is started once you are ready.

Common traps for directors

Several situations catch businesses out. Ongoing negotiations can lull a party into letting the deadline pass, because talking is not filing. A mistaken assumption about when the cause of action accrued can shorten the real window. And disputes involving multiple potential defendants or multiple causes of action may carry several different deadlines. Our note on commercial lease disputes shows how timing issues arise in practice, and our Brisbane litigation team can confirm your position.

What this means for directors

The safest approach is simple. As soon as a potential claim emerges, identify the likely limitation date and diarise it with a generous margin. Where there is any doubt about accrual or the category of claim, get advice early. Limitation is one of the few areas of commercial dispute where delay alone can extinguish an otherwise valuable right.

Frequently Asked Questions

What is the limitation period for breach of contract in Queensland?

For an action founded on a simple contract, generally six years from the date the cause of action accrued, under the Limitation of Actions Act 1974 (Qld). Since 1 August 2025 an action on a deed in Queensland also carries six years, reduced from twelve by the Property Law Act 2023 (Qld). Some statutory claims follow different periods, so the type of claim should be confirmed.

When does the limitation clock start running?

Generally when the cause of action accrues, not when you find out about it. For breach of contract that is often the date of the breach, and for many claims in tort it is when loss is suffered. Establishing the accrual date is central to working out the deadline.

What happens if I miss the limitation period?

The defendant ordinarily has a complete defence, and the claim is generally barred regardless of its merits. There are limited circumstances in which periods can be affected, but you should never rely on an exception. Acting well before the deadline is the only reliable approach.

Does negotiating with the other side pause the deadline?

No. Negotiations do not stop the clock. Many claims are lost because a party kept talking instead of commencing proceedings. If a deadline is approaching, you may need to file to protect the claim even while negotiations continue.

How early should I get advice on a limitation period?

As soon as a potential claim appears. Identifying the category of claim and the accrual date can be complex, and preparing a compliant proceeding takes time. Early advice lets you build in a safety margin rather than racing a deadline.

This is general information, not advice on your situation. For advice tailored to your circumstances, get in touch or call (07) 3519 5616.

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