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Answer: First, a little background: A statute of limitations is a law that limits the amount of time you have to file a lawsuit after you have suffered some type of loss or injury.
Statutes of limitations are laws passed by a legislative body in common law systems to set the maximum time after an event when legal proceedings may be initiated. When the period of time specified in a statute of limitations passes, a claim can no longer be filed. The intention of these laws is to facilitate resolution in a reasonable length of time.