FLK1 · Dispute Resolution

Analysis of claim — causes of action, forum, merits

SQE1 revision notes — the key rules, leading cases and common traps for this topic, in plain English and current to 2026.

DR.01 — Analysis of a Claim: Causes of Action, Forum, Merits

Before issuing, a solicitor must work through three questions: what can we sue on, where, and is it worth it?

Causes of action

Identify every viable legal basis (e.g. breach of contract, negligence, breach of statutory duty). One set of facts can ground several causes — plead all that are sustainable.
For each, map the elements to the facts and ask what evidence proves each element. The claimant bears the legal burden on the balance of probabilities.
Identify the remedy sought (damages, debt, specific performance, injunction, declaration) — this drives valuation and forum.

Limitation (a merits gate, not an afterthought)

Limitation Act 1980: 6 years for contract (s.5) and tort (s.2), running from breach (contract) or when damage accrues (negligence). 3 years for personal injury (s.11), with the s.14 date-of-knowledge extension and s.33 discretion to disapply. 12 years for actions on a deed/specialty (s.8). Latent damage: s.14A 3-year secondary limit, s.14B 15-year long-stop. A time-barred claim is a complete defence — check first.

Forum / allocation

County Court vs High Court: most money claims start in the County Court. A non-PI money claim may be issued in the High Court only if its value is > £100,000; a personal-injury claim may be issued in the High Court only if valued at £50,000 or more. Otherwise it starts in the County Court (genuine complexity, importance or specialist jurisdiction can also justify the High Court).
Tracks (CPR Part 26, renumbered, in force 6 April 2024):
- Small claims: up to £10,000 (personal-injury PSLA element capped at £5,000 for a qualifying RTA claim (accident on/after 31 May 2021), £1,000 in the rule 26.10 exception cases, and £1,500 for non-RTA PI).
- Fast track: £10,000–£25,000.
- Intermediate track (introduced Oct 2023): £25,000–£100,000, lower-complexity claims with fixed recoverable costs.
- Multi-track: over £100,000 or complex.
Check jurisdiction and any contractual jurisdiction/arbitration or ADR clause.

Merits and viability

Assess prospects of success, the defendant's solvency / ability to pay (a strong claim against a man of straw is worthless), enforceability, costs proportionality, and ADR.

Common traps

Missing limitation, or misdating accrual (breach vs damage).
Confusing the High Court/County Court value thresholds with the track thresholds — they are different tests.
Forgetting fixed recoverable costs now bite on fast and intermediate tracks.
Note assimilated law (REUL Act 2023 renamed retained EU law; supremacy ended at the end of 2023) where an EU-derived cause of action is in play. Be precise on departure: REUL Act 2023 s.6 (the new departure test and lower-court reference procedure) never commenced and was revoked, so EUWA 2018 s.6 still governs — the Court of Appeal and Supreme Court may depart from assimilated case law on the usual own-precedent basis, while lower courts remain bound.

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A supplier delivers machinery to a manufacturer under a simple contract, not a deed. On 3 March 2024, its defective machinery causes a fire that seriously burns an adult factory worker and damages the factory. That day the worker knows the burns are serious, that they resulted from the supplier's defective machinery and who the supplier is. He proposes a negligence claim against the supplier for his injuries. The manufacturer proposes a contract claim against the supplier for the factory damage; the contractual breach also occurred on 3 March 2024. Neither claimant is under a disability, and there is no later date of knowledge or concealed fact to consider. Which best states the applicable primary limitation periods, leaving aside any discretionary extension?

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