October 11, 2013
Statute of Limitations (SOL) is a time period allowed by the state for a creditor to assert their claim on a debt. The time period varies greatly depending on the type of contract (oral, written, promissory note or open-ended) and the state where the debtor resides. For example, the SOL can range from two years for an oral contract in California to 15 years for a written contract in Kentucky or West Virginia. If the debt is not paid within the time frame allowed, suit must be initiated.