In an action brought to recover a balance due upon a mutual, open, and current account, where there have been reciprocal demands between the parties, the cause of action is deemed to have accrued from the time of the last item proved in the account on either side.
§ 344.Recovery of Balance Due Upon Account Where Reciprocal Demands Between Parties
Title 2. Of the Time of Commencing Civil Actions · Chapter 3. The Time of Commencing Actions Other Than for the Recovery of Real Property · Enacted 1872 · no amendments on record · Last verified July 28, 2026
In one sentenceSection 344 fixes the accrual date for a mutual, open, and current account with reciprocal demands between the parties as the date of the last item proved in the account on either side, rather than the date of any individual transaction.
Full Text of § 344
Plain-English Summary
Section 344 doesn’t set its own limitations period; it fixes when the clock starts for a specific kind of account claim. Where a plaintiff sues to recover a balance due on a mutual, open, and current account, and the parties have had reciprocal demands against each other, the cause of action accrues from the date of the last item proved in the account on either side — not from the date of any earlier individual charge or credit.
That accrual rule feeds into § 337’s four-year period for a written mutual account or § 339’s two-year period for one not founded on a writing, letting the whole running account be treated as accruing on a single date rather than forcing a party to sue over each individual entry as it ages.
Frequently Asked Questions
When does a mutual, open account claim accrue in California?
From the date of the last item proved in the account on either side, under § 344, not from the date of each individual transaction.
What kind of account does § 344 apply to?
A mutual, open, and current account where the parties have reciprocal demands against each other — not a one-sided ledger with entries running only one way.
Amendment History
Enacted 1872.
Source & verification. Section text is reproduced verbatim from
the Deering's California Codes Annotated / vLex. Enacted by the California Legislature.
Last verified July 28, 2026.
· Official source
Also known as: mutual open account statute of limitations California