§ 2-725. Statute of limitations in contracts for sale.
A. Except as otherwise provided in this section, an action for breach of any contract for sale must be commenced within the later of four years after the right of action has accrued under subsection (B) or (C) of this section or one year after the breach was or should have been discovered, but no longer than five years after the right of action accrued. By the original agreement the parties may reduce the period of limitation to not less than one year but may not extend it. However, in a consumer contract, the period of limitation may not be reduced.
B. Except as otherwise provided in subsection (C) of this section, the following rules apply:
1. Except as otherwise provided in this subsection, a right of action for breach of a contract accrues when the breach occurs, even if the aggrieved party did not have knowledge of the breach.
2. For breach of a contract by repudiation, a right of action accrues at the earlier of when the aggrieved party elects to treat the repudiation as a breach or when a commercially reasonable time for awaiting performance has expired.
3. For breach of a remedial promise, a right of action accrues when the remedial promise is not performed when performance is due.
4. In an action by a buyer against a person that is answerable over to the buyer for a claim asserted against the buyer, the buyer’s right of action against the person answerable over accrues at the time the claim was originally asserted against the buyer.
C. If a breach of a warranty arising under 27A ONC § 2-312, § 2-313(B), § 2-314, or § 2-315, or a breach of an obligation, other than a remedial promise, arising under 27A ONC § 2-313(A)or (B), is claimed, the following rules apply:
1. Except as otherwise provided in subsection (C)(3) of this section, a right of action for breach of a warranty arising under 27A ONC § 2-313(B), § 2-314, or § 2-315 accrues when the seller has tendered delivery to the immediate buyer, as defined in 27A ONC § 2-313, and has completed performance of any agreed installation or assembly of the goods.
2. Except as otherwise provided in paragraph (3) of this subsection, a right of action for breach of an obligation, other than a remedial promise, arising under 27A ONC § 2-313(A)or (B) accrues when the remote purchaser, as defined in 27A ONC § 2-313(A) or (B), receives the goods.
3. If a warranty arising under 27A ONC § 2-313(B) or an obligation, other than a remedial promise, arising under 27A ONC § 2-313(A)or (B) explicitly extends to future performance of the goods and discovery of the breach must await the time for performance, the right of action accrues when the immediate buyer as defined in 27A ONC § 2-313 or the remote purchaser as defined in 27A ONC § 2-313(A)or (B) discovers or should have discovered the breach.
4. A right of action for breach of warranty arising under 27A ONC § 2-312 accrues when the aggrieved party discovers or should have discovered the breach. However, an action for breach of the warranty of noninfringement may not be commenced more than six years after tender of delivery of the goods to the aggrieved party.
D. Where an action commenced within the time limited by subsection (A) of this section is so terminated as to leave available a remedy by another action for the same breach such other action may be commenced after the expiration of the time limited and within six months after the termination of the first action unless the termination resulted from voluntary discontinuance or from dismissal for failure or neglect to prosecute.
E. This section does not alter the law on tolling of the statute of limitations, nor does it apply to causes of action which have accrued before this Act becomes effective.