Ontario’s "Limitations Act" Amendments: A Win-Win For Business And Consumers

Now in effect, changes ease enforceability concerns over tolling agreements and allow parties to vary or exclude statutory limitations.

Recent amendments to Ontario’s Limitations Act, 2002 have returned the ability to suspend, extend, shorten or exclude statutory limitation periods to litigation claimants and parties negotiating agreements – although shortening or excluding a period is still not permitted in a consumer agreement. Effectively, the changes restore much of the flexibility that was lost when the Limitations Act, 2002 replaced the previous Limitations Act. By taking this step, Ontario’s legislators have responded effectively to criticisms of the earlier reform from the province’s commercial law and litigation bars.