The Civil Code of Ecuador establishes several options so that an acquired obligation can lead to its extinguishment if there are at least 11 options, one of which is statute of limitations.

Whether it’s to purchase goods or to deal with an emergency, people look for sources of financing that they later have to honor. This becomes debt.

Debt is defined as the position of a natural or legal person in order to fulfill their payment obligations for the performance of economic activity.

Can a person not pay a debt and remain without a ‘penalty’?: This is how the recipe works in Ecuador

Article 2392 defines statute of limitations as “a way of acquiring other people’s things or extinguishing other people’s actions and rights due to the possession of things or non-performance of those actions and rights within a certain time, and in accordance with other legal conditions. An action or right is said to be barred when it is extinguished by the statute of limitations.

Whoever wants to execute this prescription must request it before a judge. Debts can be contained in an enforceable title, which can be a promissory note, promissory note or other document. Sometimes debts are not established by a document, as happens in trust relationships, and must be used in the usual way.

If the debt has expired, should I stop paying it?

Article 2415 explains that executive actions are prescribed for five yearswhile ordinary debts in ten years. However, the executive action becomes regular for a period of five years, and converted to regular will last for five years.

This is the time available to the creditor to collect from the debtor.