by Paul Spencer – Research Analyst
Data and record retention are among the most important responsibilities of a records manager. They form the foundation of a company’s ability to meet legal and regulatory requirements.
But here’s the problem: not all laws spell things out clearly.
While some regulations clearly define what to keep and for how long, others rely on vague phrasing or legal nuance, especially when it comes to statutes of limitations. If you’re not reading the fine print carefully or the impact of a specific phrase isn’t fully understood, you could miss an important retention trigger.
Statutes of Limitations: The Hidden Clock Behind Retention
Record management and data retention research analysts understand that statutes of limitations also govern retention requirements.
A statute of limitations sets the time window during which a legal claim can be filed. That window is often your true minimum retention period—even if the law doesn’t specifically mention records.
Researchers know the importance of finding retention periods and applicable statutes that apply to specific industries, especially when that limitation is unique or specific to that industry. Additionally, legal compliance and defensibility often rely on statute of limitations time periods.
Because these limitations often determine the timeline by which a claim can be filed against a company, they are often worded in the following manner: “No application shall be valid or claim thereunder enforceable unless filed within one year after the day upon which the injury occurred or the rights of dependents or beneficiaries accrued.”
This doesn’t mention “records” at all, but it implies you need to retain documents for at least one year, in case a claim arises.
Why This Matters for Retention Policies
Let’s say there’s no direct rule telling you to keep an injury report for a full year. But a statute like the one above creates an implied obligation.
If someone files a complaint or lawsuit at the last minute, and you’ve already deleted the related files, you’re exposed. This is why statutes of limitations often serve as fallback retention rules for things like:
- Workplace injuries
- Customer complaints
- Contract disputes
- Data breach notifications
Usually, there will be other record-keeping requirements in a law or regulation, but sometimes there are not. The limitation is letting the company know that, in the event of a future action, they should keep records and materials related to situations that could pose a legal risk.
Best Practice: Read Between the Lines
In summary, understanding statutes of limitations is essential to developing a legally sound and defensible records retention program. While specific recordkeeping requirements may be outlined in law or regulation, statutes of limitation often serve as an additional or fallback trigger for determining how long records should be kept. When building or updating your retention schedule:
- Start with clear mandates – What the law explicitly tells you to keep.
- Examine limitations – When could someone file a claim or lawsuit?
- Map both timelines – Use the longer one as your minimum retention period.
Statutes of limitations may not be labeled as “recordkeeping rules,” but they play a crucial role in how long you should keep certain documents. By accounting for both explicit mandates and implied obligations through legal time limits, organizations can build retention programs that hold up in court, reduce liability, and protect institutional memory.
Need Help Interpreting Legal Nuance? Contact us to schedule a call with our legal and information governance professionals. We’ll help you translate regulatory language into clear, defensible retention rules.