Legal Definitions - Statute of repose

A Statute of Repose is a law that sets an absolute, fixed deadline for bringing a legal claim, regardless of when an injury or damage actually occurs or is discovered. Unlike a statute of limitations, which typically begins when an injury is discovered or reasonably should have been discovered, a statute of repose starts counting down from a specific, defined event, such as the completion of a product's manufacture, the design of a structure, or the finalization of construction. Once this fixed period expires, no lawsuit can be filed, even if a problem or injury arises much later.

Here are some examples illustrating how a Statute of Repose works:

• Construction Defects: Imagine a state has a 10-year statute of repose for claims related to construction defects. A commercial building is completed and occupied in 2005. In 2018, a hidden structural flaw, which was present since construction, causes a partial collapse, leading to significant damage and injuries. Even though the collapse and injuries occurred in 2018, a lawsuit against the original builder for the defect would likely be barred. The 10-year statute of repose began in 2005 (upon completion of construction) and expired in 2015, long before the problem became apparent.

• Product Manufacturing: Consider a state with a 15-year statute of repose for product liability claims. A piece of industrial machinery is manufactured and sold in 2000. In 2017, a latent defect in the machine's design causes it to malfunction unexpectedly, severely injuring an operator. Despite the injury occurring in 2017, a lawsuit against the manufacturer based on the original defect would be prevented. The 15-year statute of repose started in 2000 (when the product was manufactured) and ran out in 2015, two years before the operator was harmed.

• Professional Design Services: A city hires an engineering firm to design a new bridge, with the design finalized and approved in 1995. The bridge is completed and opened to traffic in 1998. A state law imposes a 12-year statute of repose for claims against engineers related to their designs. In 2015, a critical flaw in the original 1995 design leads to significant structural instability, requiring emergency repairs and causing major traffic disruptions. Even though the design flaw's impact wasn't fully realized until 2015, any legal action against the engineering firm for that design would be barred. The 12-year statute of repose began in 1995 (upon completion of the design) and expired in 2007, well before the structural issues became critical.