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Tolling agreement (plural tolling agreements) (business) An agreement by a toller with an owner of raw materials to process the raw material for a specified fee ("toll") into a product with the raw material and the product remaining the property of the provider of the raw material.
Tolling agreements are a common feature of the energy industry. Through these agreements, a buyer will supply fuel to an electric generator and, in return, the generator will provide power back to the buyer.
A tolling provision in a non-compete clause generally provides that the applicable term of the non-compete clause is automatically extended during any period of litigation seeking enforcement of the non-compete.
The tolling period is ninety (90) days beginning with the effective date. All that means is that any statute of limitations that may apply to the claim or event does not run for the tolling period.
(1) The running of the time under any statute of limitations except ss. 95.281, 95.35, and 95.36 is tolled by: (a) Absence from the state of the person to be sued. (b) Use by the person to be sued of a false name that is unknown to the person entitled to sue so that process cannot be served on the person to be sued.
Courts treat tolling agreements as contracts and try to enforce them as written and do not attempt to interpret facts or create terms. However, shortening a time limitation period on a Florida contract beyond the statutory applicable statute of limitations is void as a matter of public policy. Fla.
A tolling agreement establishes a deadline for the parties to negotiate before a plaintiff must file suit to enforce legal rights. Typically, neither side wants to spend energy and money proving their case in court. Thus, a tolling agreement pushes the parties towards compromising their positions and settling.
When the statute of limitations is tolled, the plaintiff is given additional time to file a lawsuit. The statute of limitations will be tolled for a period of time during which the defendant is absent from the state of Florida.
A contract can be written with something called a Tolling Agreement, which allows for pausing, delaying or suspending the time period that will automatically kick in. This provision extends rights past the normal statute of limitations time period. Parties who have agreed to tolling, waive any defense.