An ordinary civil claim becomes time-barred after three years; a claim between businesses arising from a commercial relationship after four. Time runs from when the right could first be exercised, generally when due. Limitation does not extinguish the claim, but if the debtor raises it in court, the court will not award the time-barred right. For consumer agreements, however, Section 54a precludes enforcement of a time-barred right even without such a defence. Debt acknowledgement and timely pursuit in court affect limitation differently under the applicable regime.
Is the limitation period three or four years?
A civil claim becomes time-barred after three years, while a commercial claim between businesses has four years. The Civil Code’s three-year period runs from when the right could first be exercised (Section 101). For an invoice, this is generally the day after its due date. A business obligation arising from a commercial relationship instead has the Commercial Code’s four-year period (Section 397). Classification as civil or commercial law therefore directly determines the deadline, and is not always straightforward.
A future change is planned: the proposed new Civil Code would unify both regimes into a single three-year period. It remains a legislative proposal with expected effect from 1 July 2027; see New limitation rules: three years for everyone. Until it takes effect, the periods described here apply.
Does limitation extinguish the claim?
A time-barred claim generally continues to exist. Under the general rule in Section 100 of the Civil Code, the court considers limitation if the debtor raises it and will not award the right where that defence is well founded. Section 54a creates an important exception: a time-barred right arising from a consumer agreement cannot be enforced or validly secured even without a limitation defence, without prejudice to the special rule in Section 151j(2). The substance of such a right may be changed, replaced with a new right or restored to enforceability only by a legal act of a debtor who knew that it was time-barred. It is therefore not generally appropriate to sue on a time-barred consumer claim in the expectation that the debtor will remain passive.
Which claims have shorter periods?
Under the civil-law regime, damages and unjust enrichment generally have a two-year subjective period. For damages, it runs from knowledge of the damage and the person liable, subject to an outer limit of three years—or ten years for intentional damage—from the event; the objective limit does not apply to personal injury (Section 106). Unjust enrichment has a two-year subjective and three-year objective period, extended to a ten-year objective period for intentional enrichment (Section 107). Commercial claims follow a different regime, generally the four-year period in Section 397 of the Commercial Code, with Section 398 rules applying to damages. The legal regime and the precise starting point must therefore be identified before calculating the deadline.
How to avoid missing the deadline
Limitation can be affected. A written debt acknowledgement generally restarts and extends the period, making debt acknowledgement and an instalment schedule an effective creditor tool. Timely pursuit in court generally stops the limitation period from running: under the civil-law regime, pursuant to Section 112 of the Civil Code, provided the claimant duly continues the proceedings, and under the commercial-law regime pursuant to Section 402 of the Commercial Code. This is suspension, not an automatic fresh start of the entire period. As the deadline approaches, a pre-action payment demand is often followed immediately by litigation. We help time the entire debt recovery process so your right does not become time-barred.
This answer provides general information on the law as at 10 September 2026. It does not constitute legal services or replace an assessment of an individual case. The details of your situation may differ. Book a consultation to discuss them.
