The Limits on Filing Lawsuits

What are the time limits for filing lawsuits? It depends on the nature of the claim. Below are some common examples:

BREACH OF CONTRACT

Limitations Period

The statutes of limitations are:

• Six years for non-sales contracts.
• Four years for contracts for the sale of goods under the Uniform Commercial Code.

Accrual Date

For a non-sales contract action, the limitations period starts to run on the date that the right to institute and maintain a suit first arose. In continuous or installment contracts, the cause of action arises for each periodic breach that occurs.

For a sales contract action, the limitations period begins to run when the breach occurs. Parties to a sales contract may agree to reduce the limitations period, but:

• The limitations period must be at least one year.
• The parties may not extend it beyond the four-year statutory limit.

The discovery rule does not toll the statute of limitations for sales contract causes of action because these actions accrue when the breach occurs, regardless of the aggrieved party’s lack of knowledge of the breach .

CONVERSION

Limitations Period

The statutes of limitations are:

• Six years for a claim involving conversion of chattel.
• Three years for a claim involving conversion of a negotiable instrument.

Accrual Date

The limitations period starts to run:

• When the chattel is first tortiously taken, for a claim involving chattel.
• When the check is negotiated, for a claim involving a negotiable instrument.

Enforcement of Judgments

Limitations Period

The statute of limitations is 20 years for judgments issued by a New Jersey court.. For judgments issued by a foreign court, the statute of limitations is the shorter of either:

• 20 years.
• The length of time to enforce the judgment in the foreign jurisdiction.

(N.J.S.A. 2A:14-5.)

The statute of limitations is 20 years for an execution concerning real estate, goods, and chattel.

Accrual Date

The limitations period starts to run on:

• The entry of judgment in a New Jersey district court
• The entry of the execution.

Fraud

Limitations Period

The statute of limitations is six years .

Accrual Date

The limitations period starts to run on the date the plaintiff discovers or reasonably should have discovered the basis for a fraud claim.

Fraudulent Concealment

Limitations Period

The statute of limitations is two years for the tort of fraudulent concealment

Accrual Date

The limitations period starts to run on the date the plaintiff discovers the actions alleged to form the basis of the fraudulent concealment claim. Courts have also found that the statute of limitations may accrue when the economic harm caused by defendant’s fraudulent concealment has ended.