The District Court`s decision, which issued a summary judgment for the defense, was rendered on (1) the choice of law, (2) the express conditions of the toll agreement and (3) the application of the California discovery and doctrinal concealment rule. If you are about to take legal action, or if you think you are being sued, you should consider proposing a toll agreement. A toll agreement is an agreement to waive the right to request the dismissal of disputes due to the expiry of a statute of limitations. Its purpose is generally to give a party additional time to assess and determine the legality and viability of its rights and/or the amount of its harm, without the need for legal action. During this period, the parties waive any prescription defence that would otherwise occur during such a period. [The agreement] provides for the statute of limitations for a period of three months from the date [the defendant] is named after a plaintiff. If necessary, this period may be extended with the agreement of the parties. . . . It turned out that the equipment manufacturer`s lawyers had sent the applicants` lawyer a toll agreement for the cases in which the device was concerned, according to which the toll period would be triggered by lawyers without notification of the applicants. Since the devil is being developed, we will literally define the corresponding conditions: a toll contract sets a time frame for negotiations for the parties before a plaintiff is forced to take legal action to enforce the legal rights. As a general rule, neither party wants to spend energy and money to prove their case in court.

Thus, an agreement on tolls pushes the parties to compromise their positions and settle down. This implicit threat of litigation, if negotiations fail, puts both sides under pressure to resolve the dispute. If you accept the toll until after the trial on the complainant`s case, this could lead to inefficiencies and longer litigation. Make sure your customer understands this before you accept the toll agreement. This particular issue can be dealt with by 1) the filing of counter-claims during the toll period when a party ends the toll period before negotiation or ends with sufficient time to allow, if necessary, the filing of counter-claims. Id. to 2 (by adding). The text highlighted at the end will be important because counsel for the complainants executed the toll agreement on August 9, 2013, but did not pass on the complainant`s name (and therefore the toll) until February 3, 2014, more than two years after the applicant`s proceedings.

Id. at 2. It was decided that a fair toll would apply primarily where the applicant is actively misled by the defendant about the remedy, or is exceptionally prevented from asserting his rights. It is also important that the fair toll doctrine does not require fault on the part of the defendant, such as fraud or misrepresentation. [5] Keywords: product liability, litigation, toll agreement, statute of limitations, counter-claims, counter-claims, third-party rights Depending on the needs of the parties, most defendants contain the following clauses regarding toll agreements: persons entering into a toll agreement should verify that they invalidate their liability insurance. The agreement should be drafted in such a way that the rights for which the statute of limitations has already expired are not revived and to ensure that the agreement only indicates the statute of limitations.