Limitations of Actions and Suits

ORS 12.155
Effect of notice of advance payment on running of period of limitation


If the person who makes an advance payment referred to in ORS 31.560 (Advance payment for death or personal injury not admission of liability) or 31.565 (Advance payment for property damage not admission of liability) gives to each person entitled to recover damages for the death, injury or destruction, not later than 30 days after the date the first of such advance payments was made, written notice of the date of expiration of the period of limitation for the commencement of an action for damages set by the applicable statute of limitations, then the making of any such advance payment does not suspend the running of such period of limitation. The notice required by this subsection shall be in such form as the Director of the Department of Consumer and Business Services prescribes.


If the notice required by subsection (1) of this section is not given, the time between the date the first advance payment was made and the date a notice is actually given of the date of expiration of the period of limitation for the commencement of an action for damages set by the applicable statute of limitations is not part of the period limited for commencement of the action by the statute of limitations. [1971 c.331 §5; 1981 c.892 §85b]

Notes of Decisions

Advance payment by an insurer for property damage, made without giving notice of the expiration date for personal injury claim arising out of the same accident, suspends the operation of the statute of limitations as to the personal injury claim. Duncan v. Dubin, 276 Or 631, 556 P2d 105 (1976)

“Statute of limitations” does not include contractually limited period for bringing action on insurance policy required by [former] ORS 743.660. Ben Rybke Co. v. Royal Globe Ins. Co., 293 Or 513, 651 P2d 138 (1982)

Insurer’s advance payments and waiver of statute of limitations did not create duty to give notice of end of waiver period and was not enough to lull plaintiff into false sense of security so as to estop defense of statute of limitations. Johnson v. Kentner, 71 Or App 61, 691 P2d 499 (1984), Sup Ct review denied

Legislative purpose of protecting injured persons from being lulled into false sense of security by advance payment contemplates notice of limitations period only to person for whose direct benefit the advance payment is made. Sheppard v. Weekly, 72 Or App 86, 695 P2d 53 (1985)

This section, which requires person making advance payment before determining tort liability to give written notice of when applicable statute of limitations will run, is not applicable to Personal Injury Protection payments made under [former] ORS 743.800. Smith v. Riker, 88 Or App 579, 746 P2d 247 (1987), Sup Ct review denied

Where tortfeasor’s insurance company, after making advance payment to claimant, fails to give claimant notice of expiration date of limitation period pursuant to this section, but where claimant is represented by counsel and files suit against insurer within applicable limitation period, this section’s notice and tolling provisions do not apply because no one failed to act by being lulled into false belief that statute of limitations would not run. Dotson v. Smith, 307 Or 132, 764 P2d 540 (1988)

Where insurer made advance payment to plaintiff without giving notice of date on which statute of limitations would run, limitations period was tolled. Pipkin v. Zimmer, 113 Or App 737, 833 P2d 1350 (1992), Sup Ct review denied

Where insurer of defendant made advance payment to plaintiff but did not provide plaintiff with notice of when statute of limitations expires, statute of limitations is tolled from day plaintiff received advance payment until day action is commenced. Baker v. Kennedy, 317 Or 372, 856 P2d 314 (1993)

Advance payment does not toll statute of limitations outside setting of third-party claims against insurers. Minisce v. Thompson, 149 Or App 746, 945 P2d 582 (1997)

Where there are multiple potential defendants, tolling of statute of limitations between time of advance payment and time of giving notice of expiration date of applicable limitation period is defendant-specific. Blanton v. Beiswenger, 195 Or App 335, 97 P3d 1247 (2004)

Person making advance payment need not be insurer. Hamilton v. Paynter, 342 Or 48, 149 P3d 131 (2006)

“Person entitled to recover damages” means person who has legal grounds to bring action to recover damages for injury or destruction, not person who has established legal right to judgment for such damages. Snyder v. Espino-Brown, 350 Or 141, 252 P3d 318 (2011)


Last accessed
May 26, 2023