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the tolling agreement is an agreement between two parties that stops the statute of limitations from continuing to run sometimes builders will propose a tolling agreement while theyre undergoing negotiations with the Association for repair of the construction defects theres nothing per se wrong with a tolling agreement it does provide the parties with more time to resolve their differences and not file a lawsuit however you have to be careful because the total agreement only binds the parties to the tolling agreement and so for some reason the Builder goes out of business or theres some other kind of a problem other parties who are potentially liable such as a general contractor and the subcontractors they will not be bound by the toyline agreement and the statute of limitations could expire while youre in the process of negotiating with the Builder you