Fleming v Segal

The case of Fleming v Segal involved a dispute between the plaintiff, Fleming, and the defendant, Segal, who was Fleming's former solicitor. The central issue was whether Segal's professional negligence in failing to discover a defect in the title to a property constituted a tort for which the statutory limitation period had been exceeded. The matter was heard in the Supreme Court of Victoria. The court was required to determine when the limitation period for a claim in tort began to run and whether the relevant limitation period had expired.

The primary legal issue before the court was the point at which the statutory limitation period for a claim in tort began to run, particularly in the context of professional negligence by a solicitor. The court needed to assess whether the limitation period started when the solicitor negligently failed to discover the defect in the property's title or when the defect was finally rectified and damages became ascertainable. Segal argued that the limitation period began when the initial negligence occurred, while Fleming contended that it started when the defect was rectified and damages were quantified.

The court found that the limitation period for a claim in tort began to run when the damage became ascertainable, which in this case was when the rectification of the contract for the sale of the property was completed. The court held that the defect in title was not a cause of damage until the rectification of the contract, at which point the damages were ascertainable. Given that the rectification occurred more than six years before the proceedings were initiated, the court concluded that the limitation period had expired. Therefore, Segal's liability for professional negligence was time-barred.