Where there is an open current account the cause of action shall be deemed to have accrued upon the date of the last item therein, as proved on the trial.

History: Laws 1880, ch. 5, § 7; C.L. 1884, § 1866; C.L. 1897, § 2919; Code 1915, § 3351; C.S. 1929, § 83-106; 1941 Comp., § 27-105; 1953 Comp., § 23-1-6.

Bracketed material. — The bracketed material was inserted by the compiler and is not part of the law.

With open account there is one single and indivisible liability arising from a connected series of related and reciprocal debits and credits. Panhandle Irrigation, Inc. v. Bates, 1968-NMSC-024, 78 N.M. 706, 437 P.2d 705.

Mutual open account. — A mutual, open, current account of which the law takes cognizance in determining the rights and liabilities of debtor and creditor litigants in apparent qualification of the statute of limitations may be defined as an account usually and properly kept in writing, wherein are set down by express or implied agreement of the parties concerned a connected series of debit and credit entries of reciprocal charges and allowances. Gentry v. Gentry, 1955-NMSC-055, 59 N.M. 395, 285 P.2d 503.

Lease not an open account. — Lease agreement between oil company and city, which by agreement was to last for five years or so long as oil continued to be produced on the land, could not be unilaterally closed and settled, and therefore was not an "open account" within the meaning of this section. City of Carlsbad v. Grace, 1998-NMCA-144, 126 N.M. 95, 966 P.2d 1178.

Loans not transformed to account by payments. — The fact that defendant makes payments to plaintiff on loans works no change in the nature of plaintiff's rights or defendant's liability; it does not create an open current account between the parties. Gentry v. Gentry, 1955-NMSC-055, 59 N.M. 395, 285 P.2d 503.

Am. Jur. 2d, A.L.R. and C.J.S. references. — 1 Am. Jur. 2d Accounts and Accounting § 4 et seq.

What constitutes an open current account within the statute of limitations, 1 A.L.R. 1060, 39 A.L.R. 369, 57 A.L.R. 201.

Inclusion or exclusion of first and last day for purposes of statute of limitations, 20 A.L.R.2d 1249.

Entry or indorsement by creditor on note, bond or other obligation as evidence of part payment which will toll the statute of limitations, 23 A.L.R.2d 1331.

Estoppel to rely on statute of limitations, 24 A.L.R.2d 1413.

54 C.J.S. Limitations of Actions § 161.