Contracts and Limitations

Davis v. Homeowners of Am. addressed the enforceability of a contractual limitations period in an insurance policy.

The Fifth Court held that the policy’s provision requiring suit to be filed within two years and one day from the date the claim is accepted or rejected, or three years and one day from the date of the loss, did not violate Texas Civil Practice and Remedies Code § 16.070(a).

The Court distinguished this case from Spicewood Summit Office Condos Ass’n v. Am. First Lloyds Co. noting that the policy in Davis did not impermissibly shorten the limitations period to less than two years, as the trigger date was based on the claim’s acceptance or rejection rather than the date of loss. No. 05-24-00035-CV, Apr. 7, 2025 (mem. op.).