A limitations period is too short when it’s unreasonably short.
Recently, the U.S. Court of Appeals for the Fourth Circuit affirmed the Maryland District Court upholding a one-year contractual limitations period for arbitration. Along with a separate contractual waiver any trial in a traditional court setting, the plaintiff was SOL when he didn’t demand arbitration within one year.
The Court reaffirmed its prior holding from a separate 2007 case that, generally, “limitations periods may be shortened by agreement, so long as the limitations period is not unreasonably short.” Absent the agreement, the plaintiff had three years to file a lawsuit for breach of contract.
See also: When typical limitations don’t apply.
Read, re-read, review, and thoroughly understand your contracts. It’s often better to reasonably act and be rejected than not act or be too late.
Bracey v. Lancaster Foods LLC, No. 19-1292 (4th Cir. Dec. 16, 2020)
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Adding Terms to a Government Contract without Saying So
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If all apples are fruit, then why are all fruit not apples?
Forum Selection Can Be a Home-Court Advantage
I promise that any disputes between us will be argued at your house. Time passes and a dispute begins to brew. Now, I want to argue at my house, not at yours. You pay costs to argue at my house that you wouldn’t have incurred had I done as agreed. Should I have to reimburse your costs?
No-Damage-for-Delay and Owner-Related Dispute Clauses are No Defense to Surety Liability Under Miller Act
Prime Government Contractors - you may need to update your interim payment waivers.
Contractual Fairness is Whatever the Parties’ Agreed
When you know a current action or inaction is wrong, but you do not object, should you be allowed to object later?
Which Comes First – Specifications or Drawings?
Sometimes it's not better to ask for forgiveness after-the-fact.
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