Chapter 17-6 Six-Year Statute of Limitations

• Jurisdiction: United States

17-6 Six-Year Statute of Limitations

The Texas Business & Commerce Code applies a six-year limitations period to the following actions related to negotiable instruments:

• Action to enforce the obligation of a party to pay a note payable at a definite time must be commenced within six years after the due date or dates stated in the note, or, if a due date is accelerated, within six years after the accelerated due date³¹
• Action to enforce the obligation of a party to pay the note if demand for payment is made to the maker of a note payable on demand³²
• An action to enforce the obligation of a party to a certificate of deposit to pay the instrument (runs from the date demand is paid unless the instrument states a due date, in which case it runs from the due date)³³
• Action to enforce the obligation of a party to pay an accepted draft, other than a certified check (runs from the due date or dates stated in the draft or acceptance if the obligation of the acceptor is payable at a definite time but runs from the date of the acceptance if the obligation of the acceptor is payable on demand).³⁴

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Notes:

^[31] Tex. Bus. & Com. Code Ann. § 3.118(a).

^[32] Id. at § 3.118(b).

^[33] Id. at § 3.118(e).

^[34] Tex. Bus. & Com. Code Ann. § 3.118(f).