United States · Texas statutory limitations
Does Texas’s two-year contractual minimum set a deadline from contract formation?
Section 16.070(a) generally makes a contractual suit-limitation period shorter than two years void. Subsection (b) excludes the specified business-entity sale or purchase agreement involving at least $500,000 aggregate consideration. The provision regulates the agreement’s validity. It does not set a deadline two years after contract formation.
- Period
- A generally applicable two-year minimum for the contractual period’s validity, with the subsection (b) exception
- Trigger
- The actual limitation stipulation and whether the transaction satisfies the statutory exception
- Rule
- Texas CPRC 16.070
Current official consolidated Chapter 16 text retrieved October 5, 2026
Source guide · No automated date
Establish the complete statutory procedure
The rule is a contractual validity condition with an express transaction exception. The isolated two-year formation-date preset cannot establish a suit deadline.
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Which events matter for this statutory condition?
Obtain the actual stipulation, contract or agreement and its suit-limitation wording.
Establish whether it relates to sale or purchase of a business entity.
Check whether a party pays, receives, owes or is entitled to the specified aggregate consideration of at least $500,000.
Texas CPRC 16.070How must the complete timing condition be assessed?
- Obtain the actual stipulation, contract or agreement and its suit-limitation wording.
- Assess the stipulated period and statutory exception. Do not add two years to formation, payment or an assumed accrual date. A validity minimum does not choose the applicable deadline.
- The rule is a contractual validity condition with an express transaction exception. The isolated two-year formation-date preset cannot establish a suit deadline.
Section 16.072 concerns filing suit under a statute of limitations. It does not itself create a contract notice deadline, determine contract validity or establish qualifying possession. This guide applies no automated rollover to those different acts.
Texas CPRC 16.070Why does this guide publish no calculated date?
The rule is a contractual validity condition with an express transaction exception. The isolated two-year formation-date preset cannot establish a suit deadline.
Which conditions or exclusions change the assessment?
- Business-entity transaction exception
- Subsection (b) excludes the specified business-entity sale or purchase agreement where a party pays, receives, owes or is entitled to at least $500,000 aggregate consideration. Read the exact text and actual transaction.
- Actual governing limitation
- Subsection (a) invalidates its specified shorter stipulation. It does not itself identify the underlying claim’s statutory period or its accrual event.
- Listed government rights
- Section 16.061(a) protects its specified state and political-subdivision rights against section 16.070. Establish the actual claimant and protected right.
- Notice presumption is separate
- Section 16.071(e) addresses the presumption of required notice in a covered suit unless lack of notice is specifically pleaded under oath. It does not create a formation-based deadline.
- This statutory-text review does not decide disputed facts, accrual, title, retrospective application or a court holding.
What evidence should be checked before acting?
Common questions
This statutory procedure
Should I enter the date I signed the contract and add two years?
No. Section 16.070 regulates a stipulated limitation period’s validity. It does not establish that formation event as a filing trigger.
Texas CPRC 16.070(a)Does the two-year minimum apply to every business acquisition?
Read subsection (b). Its business-entity transaction and at-least-$500,000 aggregate consideration conditions determine the stated exception.
Texas CPRC 16.070(b)Is a notice stipulation the same as a suit-limitation stipulation?
No. Section 16.071 separately addresses contractual notice conditions. Identify the actual clause and required act.
Texas CPRC 16.071(a)Official sources and review
Provisions used (8)
| Provision | Purpose |
|---|---|
| Texas CPRC 16.070 | The specific actor, required act and timing conditions |
| Texas CPRC 16.070(b) | Business-entity transaction exception |
| Texas CPRC 16.070(a) | Actual governing limitation |
| Texas CPRC 16.061(a) | Listed government rights |
| Texas CPRC 16.071(e) | Notice presumption is separate |
| Texas Government Code 311.005(12) | The statutory year unit, where applicable |
| Texas Government Code 311.014 | Statutory computation, where applicable |
| Texas CPRC 16.072 | The separate statutory suit-filing closed-day provision |