Countries › Panama › Guide › 14. Disputes › Limitation periods and key filing deadlines in Panama: negotiable instruments, company and bank contracts, State claims, awards and how filing stops the clock

Limitation periods and key filing deadlines in Panama: negotiable instruments, company and bank contracts, State claims, awards and how filing stops the clock

Last verified: 2026-10-29 · Status: Stable

Actions on cheques, promissory notes, bills of exchange, company relationships, interest, finance leases, factoring and all bank or financial contracts prescribe in three years under Código de Comercio art. 1652 as amended in 2008. Filing a claim interrupts limitation only if the defendant is served or an edict or filing certificate is published before the period ends. Other hard deadlines include two months to claim against the State, 30 days to annul an award, one year for revision of a final judgment and three years for treaty claims under the US agreement.

Panama's currency, the balboa (B/.), is at par with the US dollar, which circulates as legal tender; the Superintendencia de Bancos states that the balboa's value is on a par with the US dollar (checked 29 October 2026). USD figures therefore equal the balboa figures.

Key facts

Limitation for cheques, promissory notes and bills of exchange	3 yearsCódigo de Comercio art. 1652 (Ley 60 de 2008), as of 2026-10-29 · in force
Limitation for actions between a company and its partners	3 yearsCódigo de Comercio art. 1652 (Ley 60 de 2008), as of 2026-10-29 · in force
Limitation for actions against managers, administrators and liquidators	3 years textCódigo de Comercio art. 1652 (Ley 60 de 2008), as of 2026-10-29 · in force
Limitation for bank, financial, leasing and factoring contracts	3 years textCódigo de Comercio art. 1652 (Ley 60 de 2008), as of 2026-10-29 · in force
Deadline for a full jurisdiction claim against the State	2 months textLey 33 de 1946 art. 27, as of 2026-10-29 · in force
Deadline to annul an award	30 days textLey 131 de 2013 art. 68, as of 2026-10-29 · in force
Limitation for US investor claims	3 years textPanama United States TPA art. 10.18, as of 2026-10-29 · in force
Exchange rate used for USD conversions	1 PAB per USDBalboa at par with the US dollar (Superintendencia de Bancos), as of 2026-10-29 · in force

The rule

1. Three years apply to actions from bottomry loans; from the company relationship between the company and its partners and among partners; against liquidators, managers or administrators for their office; for interest or rent payable yearly or more often; on cheques, promissory notes, bills of exchange and other negotiable instruments; on accepted or liquidated wholesale sales; and on finance leases, factoring and all bank or financial contracts.Código de Comercio art. 1652 as amended by Ley 60 de 28 de octubre de 2008, art. 1652, 2008-10-28 official text · verified 2026-10-29 · changed: Ley 60 de 2008 rewrote art. 1652 into a three year list including all bank or financial contracts and repealed Código de Comercio arts. 908 and 942.

2. Filing a claim interrupts limitation only if, before the period expires, the defendant is served or an edict or a clerk's certificate of filing is published in a daily national newspaper or the Gaceta Oficial; an amended claim interrupts limitation for all defendants on the same condition.Ley 402 de 2023 (Código Procesal Civil), art. 390, 2023-10-11 official text · verified 2026-10-29

3. Limitation of an international claim is governed by the substantive law that governs the merits.Ley 61 de 7 de octubre de 2015 (Código de Derecho Internacional Privado), art. 12, 2015-10-07 official text · verified 2026-10-29

4. In international private law cases on environmental damage, product liability and similar heads listed in the article, personal actions prescribe ten years after the damage appears, worsens significantly or the responsible party becomes known, and fifteen years if the defendant acted recklessly or in bad faith.Ley 402 de 2023 (Código Procesal Civil), art. 682 numeral 6, 2023-10-11 official text · verified 2026-10-29

5. A claim for redress of a subjective right against an administrative act prescribes two months after its publication, notice or execution.Ley 135 de 1943 as amended by Ley 33 de 1946, Ley 33 de 1946 art. 27, 1946-09-11 official text · verified 2026-10-29

6. An arbitral award may be annulled only on a claim filed within 30 days of notice of the award or of the decision on correction or interpretation.Ley 131 de 31 de diciembre de 2013, art. 68, 2013-12-31 official text · verified 2026-10-29

7. Revision of a final judgment must be filed within one year from recovery of documents, discovery of fraud, a declaration of forgery or the relevant condition; a defendant summoned by edict may seek revision within one year of the judgment becoming final.Ley 402 de 2023 (Código Procesal Civil), art. 606, 2023-10-11 official text · verified 2026-10-29

8. Opening a reorganisation suspends limitation periods for claims against the debtor during the financial protection stay.Ley 12 de 19 de marzo de 2016, arts. 39 and 41, 2016-03-19 official text · verified 2026-10-29

9. Claims under the investment chapter of the Panama United States Trade Promotion Agreement must be submitted within three years of the date the claimant first knew or should have known of the breach and of the loss.Ley 53 de 2007 (Panama United States Trade Promotion Agreement), art. 10.18, 2007-12-13 official text · verified 2026-10-29

Claim	Period	Source
Cheques, promissory notes, bills of exchange	3 years	Código de Comercio art. 1652 (Ley 60 de 2008)
Bank and financial contracts, leasing, factoring	3 years	Código de Comercio art. 1652 (Ley 60 de 2008)
Company relationships and actions against managers	3 years	Código de Comercio art. 1652 (Ley 60 de 2008)
International tort and product claims listed in art. 682	10 years (15 if bad faith)	Código Procesal Civil art. 682
Full jurisdiction claim against an administrative act	2 months	Ley 33 de 1946 art. 27
Annulment of an arbitral award	30 days	Ley 131 de 2013 art. 68
Revision of a final judgment	1 year	Código Procesal Civil art. 606
US investor treaty claim	3 years	Ley 53 de 2007 art. 10.18

Selected limitation periods and filing deadlines in Panama.

Worked example

A bank's loan to a Panamanian company fell due on 1 June 2024 for B/.600,000 (US$600,000).
As a bank contract, the action prescribes on 1 June 2027; the bank must file and also serve the borrower, or publish the filing certificate, before that date.
If the borrower enters reorganisation in 2026, the clock is suspended while the protection stay lasts.

Step by step

Classify the claim (negotiable instrument, bank contract, company matter, tort, administrative act) to find the period.
Diary the date and work back to allow time for service or publication, not just filing.
For international contracts, check which law governs the merits because it governs limitation.
Monitor insolvency publications, which suspend the clock.

Common traps

Filing alone does not interrupt limitation; service or publication must occur before expiry.
Many commercial claims are three years, not the longer general period people assume.
Two months against the State runs from notice, not from when you decide to sue.

Sources

← Claims against the Panamanian State: administrative appeals, the two month silence rule, the contentious administrative jurisdiction and civil cases against the State

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