Tip of the Quill: A Journal
What Does A Tolling Agreement Mean

Before you take legal action or initiate arbitration, you should consider a simple legal tool called a toll agreement, which can help resolve disputes and avoid litigation entirely. Tolling is a legal doctrine that allows the interruption or delay of the expiry of the period set by a limitation period, so that a claim can also be filed after the expiry of the limitation period. While the reasons for the toll limitation period vary by jurisdiction, common reasons are as follows:[1][2] So if you think you may soon be a party to a lawsuit, you should consider saving time with a toll agreement. You get some of the benefits of a process strategy without all the costs. Toll agreements for counterclaims (including counterclaims and third-party claims) can be a useful tool to avoid taking an overtly unfavourable position against a co-accused while awaiting a product liability case. A toll agreement is usually an amicable agreement between the parties that provides for the limitation period for counterclaims for a certain period of time. Toll agreements are contractual in nature and must therefore be concluded for each individual case. The California Supreme Court has ruled that an appropriate toll can occur in carefully balanced situations necessary to prevent the unjustified technical forfeiture of causes of action in which the defendant would not be prejudiced. [14] 1.

Review the scope and duration of toll agreements. .