How long is the statute of limitation for a verbal contract in California?

Asked over 2 years ago - Los Angeles, CA

I lend money in a form of a check to someone, on the check it says "loan." The promise to pay back was made verbally. Is this an oral contract or verbal? And what are the statute of limitations of each?

Attorney answers (4)

  1. Nichelo Michael Campbell

    Contributor Level 11


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    Answered . The statute of limitations on an oral agreement in California is two years. Code of Civil Procedure section 399. Under the case of Tanzola v. De Rita (1955) 45 Cal.2d 1, however, writing a check to someone with the word "loan" on it, the other person endorsing and cashing the check, etc., may and likely will constitute a written agreement, enabling the four year statute of limitations for written agreements. The court may also consider extrinsic evidence to determine the ambiguous terms, such as when the loan was to be paid back.

  2. Elizabeth Smith-Chavez

    Contributor Level 12


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    Answered . In additon to the previous answer, note that the statute of limitations starts running from the date pf breach. So if payments were made for a while or if there was a set date for repayment, you would measure from when a payment was first missed.

  3. Frank Wei-Hong Chen

    Contributor Level 20


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    Answered . In California, the statute of limitations for breach of an oral contract is 2 years from breach or date of last payment, whichever is later. The statute of limitations for breach of written contract is 4 years from breach or date of last payment, whichever is later. The check might constitute a written contract.

    Frank W. Chen has been licensed to practice law in California since 1988. The information presented here is... more
  4. Arash Shirdel

    Contributor Level 14


    Lawyers agree

    Answered . Statute of limitation on oral contracts in California is 2 years from the breach. I suggest you speak with an attorney regarding potentially filing a lawsuit. We provide free consultations, if you like feel free to contact our office.

    Attorney's response is not intended as legal advice and is intended for informational purposes only. Attorney's... more

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