8.3A-118 - A-118. Statute of limitations.
§ 8.3A-118. Statute of limitations.
(a) Except as provided in subsection (e), an action to enforce the obligationof a party to pay a note payable at a definite time must be commenced withinsix years after the due date or dates stated in the note or, if a due date isaccelerated, within six years after the accelerated due date.
(b) Except as provided in subsection (d) or (e), if demand for payment ismade to the maker of a note payable on demand, an action to enforce theobligation of a party to pay the note must be commenced within six yearsafter the demand. If no demand for payment is made to the maker, an actionto enforce the note is barred if neither principal nor interest on the notehas been paid for a continuous period of ten years.
(c) Except as provided in subsection (d), an action to enforce the obligationof a party to an unaccepted draft to pay the draft must be commenced withinthree years after dishonor of the draft or ten years after the date of thedraft, whichever period expires first.
(d) An action to enforce the obligation of the acceptor of a certified checkor the issuer of a teller's check, cashier's check, or traveler's check mustbe commenced within three years after demand for payment is made to theacceptor or issuer, as the case may be.
(e) An action to enforce the obligation of a party to a certificate ofdeposit to pay the instrument must be commenced within six years after demandfor payment is made to the maker, but if the instrument states a due date andthe maker is not required to pay before that date, the six-year period beginswhen a demand for payment is in effect and the due date has passed.
(f) An action to enforce the obligation of a party to pay an accepted draft,other than a certified check, must be commenced (i) within six years afterthe due date or dates stated in the draft or acceptance if the obligation ofthe acceptor is payable at a definite time, or (ii) within six years afterthe date of the acceptance if the obligation of the acceptor is payable ondemand.
(g) Unless governed by other law regarding claims for indemnity orcontribution, an action (i) for conversion of an instrument, for money hadand received, or like action based on conversion, (ii) for breach ofwarranty, or (iii) to enforce an obligation, duty, or right arising underthis title and not governed by this section must be commenced within threeyears after the cause of action accrues.
(h) Notwithstanding the provisions of § 8.01-246, this section shall apply tonegotiable and non-negotiable notes.
(1992, c. 693.)