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Exploring Statute of Limitations and Its Types Under the New Civil Transactions Law
The topic of the statute of limitations holds significant weight within the legal system due to its close relationship with the societal interest in stabilizing transactions and not leaving rights hanging indefinitely. Therefore, a new Civil Transactions Law has been issued, encompassing several crucial updates related to the rules and effects of the statute of limitations.
Here, we aim to highlight the most notable additions the new Civil Transactions Law has made to the statute of limitations. But before that, it’s essential to note that the expiration of the statute of limitations does not mean the claimed right is dropped. Instead, the claim becomes inaudible after a ten-year period, except in cases explicitly stated in the legal text or exceptions outlined in the law. We will mention the most significant of these exceptions below.
Certain rights become inaudible and expire after just five years, including:
- Rights of professionals such as doctors, lawyers, and engineers concerning work directly related to their profession or expenses incurred.
- Recurring rights such as property rentals, wages, and scheduled revenues.
Additionally, some rights become inaudible and expire after just one year, including:
- Traders' rights over goods and services provided to non-traders.
- Rights of establishments prepared for accommodating guests’ restaurants, and similar entities.
- Rights of wage earners for daily and non-daily wages, and for the value of provided items.
Furthermore, we want to point out the start of the statute of limitations period, which begins from the day the right is due to be performed, except in cases where specific legal texts are provided. Conversely, the lapse of the statute of limitations stops if there’s any excuse that hinders the claim of the right, such as good faith negotiations happening between both parties or the presence of a moral obstacle to claiming.
From the above, it is clear that the new law has provided flexibility in applying the rules of the statute of limitations in its different types. These amendments serve to enhance legal certainty and stabilize civil and commercial transactions.