Architechtonics Construction Management, Inc. v. Khorram

We must decide whether the discovery rule applies in contract cases. We hold it does, and that the statute of limitation for an action for breach of contract begins to run when a party knows or, in the exercise of due diligence should know, of the breach. Here, Parviz and Ladan Khorram filed suit within two years of the first signs of a breach. The statute of limitation does not bar their claim, and we reverse summary judgment.

FACTS

Parviz and Ladan Khorram contracted with Kensington Homes, Inc., (Kensington) to construct their home. Kensington built the home according to the design and plans…