California and San Diego Businesses: What is a Statute of Limitations?

For San Diego and California businesses, there are laws that limit the amount of time that any person has the right to file a lawsuit. Such laws are called statutes of limitations. The time periods vary depending on the claim that is being filed. In California, the shortest statute of limitations is one year and the longest is 10 years.

Note that in commercial transactions, it is possible to shorten the statute of limitations by written contract. It is advisable to do this if you are a seller. This is another reason that it is important to have your agreements and contracts reviewed and custom-drafted by skilled and experienced business attorneys like those at San Diego Corporate Law. Here is a quick rundown on the statutes of limitations applicable to San Diego businesses.

San Diego Business Law: Statutes of Limitations in California

As noted, the Statute of Limitations is different for different kinds of claims being filed. All of the Statutes of Limitations in California are codified in the Cal. Civ. Process Code. Here are the time limits at the time of this writing:

• Breach of written contract — four years (Cal. Civ. Prac. Code, § 337)
• Breach of oral contract — two years (§ 339)
• Breach related to sale/purchase or breach of warranty governed by Uniform Commercial Code — four years unless modified in contract (but no less than one year) (Cal. Comm. Code, § 2275)
• Implied warranty — one year unless modified by contract (but no less than 60 days); three months for used goods (Cal. Civ. Prac. Code, § 1791)
• Personal injury — like a car accident — two years (Cal. Civ. Prac. Code, § 335.1)
• False imprisonment — a retail store falsely accuses you of shoplifting and refuses to let you leave the store — one year (§ 340(c))
• Libel/Slander — someone says or writes something false and derogatory about you or your business — one year (§ 340(c))
• Fraud — a false statement of material fact that induces you into an action that causes harm — three years (§ 338(d)
• Legal malpractice — one year from discovery and maximum of four years from the wrong (§ 340.6)
• Medical malpractice — one year from discovery and three years maximum if the injury is known (§ 340.5)
• Veterinary malpractice — one year for injury or death of animal (§ 340(c))
• Trespass to land — three years (§ 338(b))
• Collection of rents or debt on account stated — four years (§ 337)
• Collection on judgments — 10 years (§ 337.5)

San Diego Business Law: Statutes Vary by State

Note that there are also statutes of limitations for federal causes of action. Furthermore, the time frame varies from state to state. Thus, for example, to file a charge of discrimination with the Equal Employment Opportunity Commission in Illinois, a worker has only 180 DAYS. However, in Nevada, a worker has 300 days to file and, in California, an employee has 365 days to file.

San Diego Businesses: Contact San Diego Corporate Law

For further information, please contact Michael Leonard, Esq. of San Diego Corporate Law. Mr. Leonard has the experience to help draft and implement NSEs, employment agreements, and all other types of business contracts. Contact Mr. Leonard by email or by calling (858) 483-9200.

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