What is the statute of limitations for contract claims in Michigan?
1. Written Contracts
Michigan Compiled Laws § 600.5807(9) provides a 6-year SOL for actions to recover damages or sums due for breach of contract.
2. Oral Contracts
Section 600.5807(9) also applies a 6-year SOL to oral contracts. Michigan does not distinguish between written and oral contracts for limitations purposes.
3. Sealed Instruments / Promissory Notes
Michigan abolished the common-law sealed-instrument distinction. Promissory notes use the 6-year SOL.
4. Sale of Goods (UCC Article 2)
MCL § 440.2725 (UCC § 2-725) provides a 4-year SOL for breach-of-sales claims from tender of delivery. Parties may shorten to 1 year by original agreement.
5. Open Account / Account Stated
Open accounts use the 6-year SOL. The clock runs from the last item charged or last acknowledgment.
6. Accrual Rule
The cause accrues at breach. Each missed installment under an installment contract starts its own SOL.
7. Discovery Rule for Fraudulent Concealment
Michigan applies the discovery rule narrowly in contract cases. MCL § 600.5855 tolls SOL where the defendant fraudulently concealed the existence of the claim.
8. Tolling
MCL § 600.5851 tolls for minority and insanity. SCRA tolls for active military service. Defendant absence from Michigan may toll under § 600.5853.
9. Contractual Modification of SOL
Michigan permits reasonable contractual shortening of SOL. Extensions are generally unenforceable unless made after accrual in writing.
10. Borrowing Statute
MCL § 600.5861 borrows the shorter SOL when the cause of action accrued outside Michigan.
This is legal information, not legal advice.
- Your contract claim may approach the 6-year deadline
- You face a fraudulent concealment or tolling issue
- A borrowing-statute defense is raised
- MCL § 600.5807(9)
- MCL § 600.5855
- MCL § 440.2725
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.