Legal TermsHomebuying Glossary

Statute of Limitations

The legal time limit within which a lawsuit related to a transaction must be filed.

In plain English

A statute of limitations sets a deadline — varying by state and issue type — after which a legal claim (like a lawsuit over an undisclosed defect) can no longer be filed, regardless of its merits.

Why it matters

If you discover a seller failed to disclose a known issue, understanding your state's statute of limitations affects how quickly you'd need to act.

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