Legal Question in Credit and Debt Law in California

As long as the suit is filed within four years from your last payment or breach, whichever is later, then it is within the statute of limitation. You might have an argument that the court should have dismissed the case utilizing its discretion after 3 years, but probably won't get far. Talk to an attorney who works with defendants to see what relief you might obtain, including through negotiation with the plaintiff.

The statute of limitations is satisfied if the complaint is filed with the court within that time. The judgment can -- and often does -- come well after that statute of limitations date, but the judgment is still valid.

I just write to point out that Mr. Cohen is mistaken that the court can dismiss a filing made after three years from the cause of action accruing. The discretionary three-year dismissal is for failure to bring a case to trial within three years after it is filed, not three years after the cause of action accrues. The statute of limitations creates a deadline for FILING a lawsuit. The discretionary three-year and mandatory five-year dismissal rules are AFTER the case is filed.