Defunct Entity Defined

• A defunct entity can be a partnership, trust or company that has been transferred to a successor entity. The successor entity is capable of repaying or at least settling debt incurred by the defunct entity.
  
  

Statute of Limitations

• The statute of limitations refers to a certain time period where a law is binding upon the party, company, person or trust responsible. In this case, a defunct entity is bound by the financial burden of any debt incurred for the statute of limitation's time period.
  
  

Defunct Entity Statute of Limitations

• Generally speaking, the statute of limitations for defunct entities is three years. The defunct entity is responsible for any debt for up to three years from when the debt was incurred. Furthermore, if the defunct entity was given an environmental fine or incurred a debt from an environmental mishap, the entity could be responsible for up to six years.