How does a statute of limitations differ from a statute of repose?

A statute of repose sets an absolute deadline for bringing a legal action, typically related to claims arising from construction or improvement of real property, regardless of whether any injury or harm has occurred. This means that once the time period defined by the statute of repose expires, no legal action can be initiated, irrespective of any extenuating circumstances or the plaintiff’s knowledge of the claim.

In contrast, a statute of limitations establishes the timeframe within which a plaintiff must file a lawsuit after an injury occurs or after they have discovered that they have been harmed. Statutes of limitations can often be tolled or extended under specific circumstances, such as when a plaintiff is a minor or when fraud prevents the discovery of the injury.

This distinction highlights the nature of a statute of repose as offering a more definitive cut-off point, independent of situational factors, which serves to provide certainty and finality in certain types of claims, particularly in the construction industry. The other options presented do not accurately capture the essence and fundamental characteristics of statutes of limitations and repose, particularly in terms of their applicability and exceptions.