Debt Law Suit and Your Rights

Debt Law-Suits – I Will Fight for Your Rights!

Credit-card debt can spiral out of control very quickly; and the legal consequences can be staggering if payments continue to be delinquent.  Even though credit-card debt is unsecured debt, creditors will go into offense mode very quickly, even if one payment is past due.  When a number of payments become delinquent, professional intervention can be crucial since creditors can take borrowers to court, via, a credit-card lawsuit.  Debt-defense is your best offense to ensure protection of your assets!

As a seasoned attorney, I will fight for your rights if you are being sued by a creditor; and I will make sure creditors do not abuse their power concerning your particular case.

These questions may feel uncomfortable for you:  1)  Has a lawsuit been filed against you by a debt collector?  2)  Has the alleged 'balance due'  been subjected to high fees and an inflated interest rate?  3)  Have you had communication with the company that is suing?  4)  Have you been served with a summons?

Life experiences can lead to financial chaos – divorce, death of a spouse, medical bills, a job loss and other life-altering circumstances can cause personal finances to spiral out of control; and it can happen to anyone!

I'm On Your Side

A creditor's lawsuit may feel very intimidating; but it doesn't always mean you must pay back the debt.  Though creditors have access to a number of legal avenues to help recover money owed to them, there are restrictions they must abide by.  Those restrictions can become your ally in a court of law.   My job is help you to prevent the possibility of a vehicle repossession, or a frozen bank account, or more.    

Debt Lawsuits Follow a Procedure

Once a creditor's  'demand payment' requests are ignored by the borrower, creditors get out the 'big guns' and will move, aggressively to take you to court.  The process looks like this:

***  The credit-card company, or debt collector, may choose to sue you.

***  A collection agency might buy the outstanding credit-card debt from the original credit-card company.  Then, the debt collector owns the debt and can exercise the same legal rights as the original creditor. 

***  The debt may be placed with a debt-collection attorney.

***  The debt-collection attorney's office can sue you in state court; and you could be legally liable for the full amount owed.

If you fail to respond, the plaintiff would be awarded a default judgment and would win the case without having to produce any evidence; and no one would hear your side of the story.  In Texas, you may have as little as 14 days from the date of service to issue a response, in order to avoid the creditor winning 'by default'.

Debt Defense – Take Advantage of Every Legal Option

It is important to understand how the law can help your case:

1.  Statute of Limitations

With statue of limitations, the debt is too old to justify a lawsuit.  Here, the creditor cannot continue any legal action against you, period!

2.  Inability to prove ownership of the account

Particularly in debt buyer cases like Midland Funding or Portfolio Recovery, the creditors often sell these accounts in such large bundles that they cannot demonstrate that your particular account was in fact part of the deal.

3. Inability to authenticate documents

Again, more common in a debt buyer scenario, companies like Midland Funding and Portfiolio Recovery have difficulty authenticating the documents of the original creditor.

Debt Lawsuits – What to Expect

Three possible outcomes can result from a debt lawsuit:

1.  A Dismissal of the Case

Even though a court might dismiss your case, you could be sued at a later date.  If any errors resulted in the dismissal, the creditor could re-file the lawsuit.  If this were to happen, I would request to the court that your case be treated 'with prejudice'.  'With prejudice' would ensure the plaintiff is prevented from filing the same claim against you; and a permanent dismissal would ensue.

2.  A Ruling in Your Favor

A 'ruling in your favor' by the court is the ultimate good news for the defendant!  The credit card company will have lost its case and you would be protected from any attempt at future collections.  You would, now, have the right to file for monetary compensation, against the credit card company.

3. An agreed settlement

Sometimes the parties can come to an agreement and payment schedule to resolve the issue without the necessity of trial.

4.  A Ruling in Favor of the Credit Card Company

If a court were to rule in favor of the credit card company, you would be faced with a judgment that would indicate the amount of money you would be obligated to pay.  Wage garnishment, property liens, bank-account levies, and property seizure could be used to help creditors retrieve owed debt.

Secured Debt

Credit-card debt does not rely on collateral; but secured debt does.  Vehicles, homes, business properties and equipment and other items of value can be used as collateral and forfeited in the event of a default.

Lenders can, also, recover money from the borrower to pay the lender's costs associated with property sales as well as costs for legal services.

You Have a Professional on Your Side

The anxiety associated with looming debt and a debt-related lawsuit can be debilitating; but I will help you navigate through the legal complexities.  Creditors have seasoned lawyers on their side to fight for their rights; and so should you!

Call me, today, for a complimentary case assessment regarding:

***  Defense from debt-buyer suits

***  Defense from original-creditor suits

***  Defense from loan-deficiency suits

I look forward to speaking with you!


James Foley

~Credit Card Lawsuit Defense & Bankruptcy Attorney~


~Your peace of mind is only a phone call away~