SOL and dual states. Still confused

[vali1961]

Sorry for my ignorance. I have been reading and readind but it seems more I read more confused I get. Let's start with the begining.

CC opened in NY state. Moved 3 month later in Texas. 4 years later stopped the payments for different reasons. SOL in Texas is 4 years, in NY is 6 years.

When is SOL up? After 4 years because living in TX or after 6 years because that the place were CC was originated????

Please clearify this.

Many thanks to all of you knowledgable people.

[willingtocope]

According to the FDCPA, an OC has the choice of suing you in either the place where the card was opened, or in the place where you live now. I'm guessing, they'd probably pick the one with the longest SOL.

On the other hand, before they can take any money from you, they'd have to "domesticate" the judgement...which in this case would mean they'll probably sue in NY, get a default judgement because you won't be there to defend yourself, and then try to transfer that judgement to TX.

Just to further confuse things...since SOL is state by state, it is possible that NY law says that if you leave the state the SOL "tolls" until you return.

[divemedic]

In order for the SOL to toll, the cause of action must already have occurred. I would say that since you were in TX for 4 years before the default, that the TX SOL would apply.

[kevin3344]

To add a little more to this, let's say they know you've moved and they serve you at your old address just to win a default like W2C mentioned. Of course, you will lose because you didn't know about it. One day you receive notice they are attempting to domesticate the judgment to your current state, and since most states accept judgments from other states it might seem to be a straighforward procedure.

States are aware of this and give you the opportunity to say you have "grounds for non-recognition" of the foreign judgment. Usually, those grounds are something like you did not receive notice or the court was seriously inconvenient for you to attend. Bottom line is, if you contest it, default judgments from other states are usually not allowed in your current one. You simply weren't there to defend yourself.

Believe it or not most people don't know this and don't raise any objections when they receive a summons. At that point a foreign judgment is entered just like any other judgment in their current state!

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Edited September 9, 2011 by kevin3344

[vali1961]

Jesus Christ!....What if the account has been purchased by a CA or a JDB? OC can not sue you in original state, can they? If OC can't sue you, the buyer can not do either. Right?

[retmar]

As was mentioned, it depends on the state as to IF a foreign judgement is domesticated. California, for one, does not domesticate a foreign judgement, but, others do. Check your state's laws.

The statue does allow a CA to use the longer of the two SOL's, and, that they can sue in the county contract was signed, or where you now reside, BUT, due to how foreign judgements are "handled", most file where you now reside. Also, I've been told they cannot cause you to travel a great distance, such as from TX to NY, but, they could cause you to travel to a neighboring county, if contract was signed there. I've no proof, only hearsay.

As to tolling the SOL, you would have to move back to NY for this to occur, and take up residence.

It does not matter if debt was assigned or sold as the original DOLA stands for SOL purposes. This means a JDB cannot reage debt since they now own it.

Do realize that usually the constitutional law of one state requires the others to honor, with full faith and credit, the laws of sister states, but, only so long as the law of the sister state is in conformity with a respective state's law. This simply means that since TX has a 4 year SOL, then the courts should hold the sister state, NY in this case, to the same statute.

Therefore, if this debt is now over the 4 year period, the debt is timebarred and the CA has no legal recourse. But, if you feel that you should pay the debt, you could use this as leverage to cause a settlement for a lesser amount and deletion. An example is that you state that you will pay $.10 on the dollar if they will delete all TL's as you are well aware of the debt being timebarred. Be sure and use the state statute for reference. And, in closing, if they refuse to accept, you say goodby.

[IHateCAs]

Texas has a borrowing statute. If you've lived there for 1 year, you get the best of both worlds. Shortest SOL of current or previous state applies.

[IHateCAs]

Texas has a borrowing statute. If you've lived there for 1 year, you get the best of both worlds. Shortest SOL of current or previous state applies.

Assuming you defaulted before moving to Texas. If you defaulted IN Texas, the answer is obvious.

[IHateCAs]

According to the FDCPA, an OC has the choice of suing you in either the place where the card was opened, or in the place where you live now. I'm guessing, they'd probably pick the one with the longest SOL.

Let me clear this up, since it seems to cause so much confusion.

For starters, the FDCPA would not apply to the OC, but I assume that was a typo or brainfart.

The FDCPA is not giving the CA a specific right to sue. It says so right in the statute.

( Authorization of actions

Nothing in this subchapter shall be construed to authorize the bringing of legal actions by debt collectors.

It would not be a VIOLATION to sue in the judicial district where the contract was signed, or where the real property exists. That doesn't mean the FDCPA grants them the authority to do it regardless of anything else.

They will still need to sue you where you live (except for real estate), because they must have personal jurisdiction over you.

[SOC]

I am not trying to hijack this thread, but if a credit card is conditional (each time you charge something you accept the terms) then would this be right?

I got Chase in NY, then i move to KY, I use chase in KY, then a while later i default. They let me pay my bill from Ky, as i updated my statement billing address. Wouldnt it be unreasonable to think they could sue in NY. I accepted the new terms and so did they when they didnt cancell my card. ? This is hypo, but might help clear this up.