Bowden v. Gofax, Inc.

Summary

The Rhode Island Supreme Court held that Gofax, Inc. waived its statute-of-limitations defense by failing to raise it in its answer or earlier motion to dismiss. The court denied and dismissed the appeal, affirmed the order appointing a receiver to preserve possible corporate assets, and remanded the papers to the Superior Court.

Holdings

1. A statute of limitations is an affirmative defense that is waived when it is not pleaded or timely raised. Because Gofax failed to assert the defense in its answer, initial motion to dismiss, or earlier enforcement proceedings and raised it only after execution had failed and a receivership petition had been filed, Gofax waived the defense.
2. The order appointing a receiver was affirmed, and the receiver was permitted to determine whether Gofax continued to operate as a business entity.

Questions Presented

1. Whether Gofax waived the statute of limitations defense by failing to plead it in its answer or raise it in its earlier motion to dismiss.
2. Whether the Rhode Island Superior Court properly appointed a receiver to determine whether Gofax continued to operate as a business entity.

Disposition

affirmed