Opinion ID: 1238867
Heading Depth: 4
Heading Rank: 1

Heading: The Six-Year Statute Governs this Case

Text: Kake claims that this suit is an action upon a liability created by statute and is therefore governed by the two-year statute of limitations expressed in AS 09.10.070. Plaintiffs argue that the six-year statute set forth in AS 09.10.050 controls because this action is contractual in nature and is one that was recognized at common law. We agree with the plaintiffs. The relationship between a corporation and its shareholders is primarily contractual. See Trustees of Dartmouth College v. Woodward, 17 U.S. (4 Wheat) 518, 656, 4 L.Ed. 629, 664 (1819); State ex rel. Swanson v. Perham, 30 Wash.2d 368, 191 P.2d 689, 693 (1948). This court has previously held that actions against corporate directors for breach of fiduciary duty sound in contract and are governed by the six-year statute. Bibo v. Jeffrey's Restaurant, 770 P.2d 290, 295-96 (Alaska 1989). It is our view that the holding in Bibo applies by analogy to this case.