Shipman v. Horizon Corporation

Undercofler, Chief Justice.

When does fraud toll the statute of limitations? We granted certiorari on Division 5 of the Court of Appeals opinion to restate the law. Shipman v. Horizon Corp., 151 Ga. App. 242 (259 SE2d 221) (1979).

Initially, it must be recognized that within the meaning of Code Ann. § 3-807, only actual fraud tolls the statute of limitations. Actual fraud involves moral turpitude 2 and has the effect of debarring and deterring the plaintiff from his action. Constructive fraud does not toll the statute. 3

Actual fraud which tolls the statute arises in two entirely different…