While the statue of limitations for a personal injury case is two years, the time limit is different for different causes of actions. Because the Statute of Limitations is so critical, most law offices will have two methods of checking to see that the statute of limitations is protected in any case.
DEFINITION of 'Credit Risk'. The risk of loss of principal or loss of a financial reward stemming from a borrower's failure to repay a loan or otherwise meet a contractual obligation.Credit risk arises whenever a borrower is expecting to use future cash flows to pay a current debt.Investors are compensated for assuming credit risk by way of interest payments from the borrower or issuer of a debt obligation.redit risk arises whenever a borrower is expecting to use future cash flows to pay a current debt. Investors are compensated for assuming credit risk by way of interest payments from the borrower or issuer of a debt obligation.
The SECâs Office of Investor Education and Advocacy is issuing this Investor Bulletin to educate individual investors about high-yield corporate bonds, also called âjunk bonds.â While they generally offer a higher yield than investment-grade bonds, high-yield bonds also carry a higher risk of default. conomic risk. If the economy falters, some investors are likely to try to sell their bonds. In what is known as a âflight to quality,â a number of investors may decide to replace their riskier high-yield bonds with safer ones, such as u.s. treasury bonds.