South Carolina Girl

Being Sued by Portfolio Recovery Associates in Cobb County

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Hello,

I've been back and forth on this forum reading threads from BerryGin and I believe Hockeyguy (I know that's not totally correct) regarding their lawsuit with Portfolio Recoveries.  I had a credit card with World Financial Network Bank/Comenity Bank/ New York & Company which was charged off but then purchased by PRA.  I was served late Saturday night on May 13th.  I haven't submitted my letters to the magistrate court as of yet because I am unsure of what to write and the proper format. I intend on fighting this lawsuit regarding these charges but wanted some insight as I haven't seen any post related to Cobb County.  I also had a question regarding their "validation of the debt".   Prior to being served I was working with a group called Lexington Law to clean up my credit and help me remove items from my credit report.   Lexington Law reached out to PRA asking them to validate the "debt" I had with them.  I've attached what was sent back as well as what was including in the packet when I was served. Will the information from Lexington Law benefit me  with this lawsuit?

 Please Help!

 

Thank you,

South Carolina Girl

EXHIBIT B from packet.pdf

PRA Letter.pdf

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17 minutes ago, South Carolina Girl said:

I haven't submitted my letters to the magistrate court as of yet because I am unsure of what to write and the proper format.

You don't need to worry about format with Magistrate Court.  Cobb County is one of the larger counties and they have a pre-printed form you can use and file with the clerk.  Simply check off "denied", sign and turn it in.  The Magistrate will stamp a copy and give it to you and then they will set a trial date for the next 30-60 days.

21 minutes ago, South Carolina Girl said:

 Lexington Law reached out to PRA asking them to validate the "debt" I had with them.

UGH.  Credit "repair" should be outlawed.  All Lexington Law did for you with regards to PRA is push them faster to sue you.  GA provides no special protections to consumer with regards to debt collections unlike some other states like California or Texas.  PRA did not have to respond to Lexington's request for validation based upon the entry on the credit report.  Under the FDCPA they are only required to validate if you requested it within 30 days of the first dunning contact with you by PRA.  After that they were free to ignore it.  

If they provided that statement copy in response to the DV then they more than complied under the FDCPA.  It will not help you in your case and in fact they can use that letter from Lexington to them as proof you know the debt is yours.

26 minutes ago, South Carolina Girl said:

 I had a credit card with World Financial Network Bank/Comenity Bank/ New York & Company

Get the card agreement for that card and see if arbitration is an option .  If it is type up a Motion to Compel Arbitration and make 2 copies.  Have it with you the day of trial and when the court sends you and the PRA lawyer to the hallway allegedly to settle the debt simply argue you want arbitration.  If the lawyer doesn't dismiss then be prepared to argue it to the Magistrate.

 

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If this were me, I would not "fight" them in Magistrate Court.  The way to win is to either file a counter claim against them or a Motion to Compel Arbitration.  Both of those can be done after you file the answer.  Your answer can be as simple as "I deny all allegations set forth in Plaintiff's complaint".  This buys you at least 30 days to figure out your next steps.

 

Read this:

And this:

And this:

 

And this:

and this:

 

 

 

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Thank you @Clydesmom and @fisthardcheese for responding so quickly and providing me with great information!  I realized that I didn't answer the question regarding my lawsuit so I'm posting them below.  Also, are there different types of MTC; I've seen some threads that reference MTC and MTC Private/Contractual arbitration.  I've also located and attached a copy of the credit card agreement.  I've read over the arbitration piece but I need some clarity.  I'm not sure if arbitration with this credit card will work in my favor or against me.    Thanks Again!!

1. Who is the named plaintiff in the suit? Portfolio Recovery Associates, LLC assignee of World Financial Network Bank

2. What is the name of the law firm handling the suit? (should be listed at the top of the complaint.)  Not sure of the firm but attorney is Tracy H. Reese; I've seen her name in threads. I know where her office is located

3. How much are you being sued for? $1653.19, plus $101.50

4. Who is the original creditor? (if not the Plaintiff) World Financial Network Bank/ Comenity Bank/  New York & Company

5. How do you know you are being sued? (You were served, right?) Yes

6. How were you served? (Mail, In person, Notice on door) In person on 5/13/2017

7. Was the service legal as required by your state? Yes

Process Service Requirements by State - Summons Complaint

8. What was your correspondence (if any) with the people suing you before you think you were being sued? Paper/mail

9. What state and county do you live in? Cobb County, Georgia 

10. When is the last time you paid on this account? (looking to establish if you are outside of the statute of limitations) I believe 05/03/2013

11. What is the SOL on the debt? To find out: 6 Years

Statute of Limitations on Debts

12. What is the status of your case? Suit served? Motions filed? You can find this by a) calling the court or B) looking it up online (many states have this information posted - when you find the online court site, search by case number or your name). Suit Served 5/13/2017

13. Have you disputed the debt with the credit bureaus (both the original creditor and the collection agency?) Yes, I was using a group called Lexington Law to clean up my credit and they sent letters on my behalf asking for validation of the debt because it was placed in Collections on my credit report.  (This part concerns me because I became aware of something on my credit but I DID NOT/ DO NOT agree with whom the debt is with which is why Lexington Law requested validation)

14. Did you request debt validation before the suit was filed? Note: if you haven't sent a debt validation request, don't bother doing this now - it's too late. Yes

15. How long do you have to respond to the suit? (This should be in your paperwork). If you don't respond to the lawsuit notice you will lose automatically. In 99% of the cases, they will require you to answer the summons, and each point they are claiming. We need to know what the "charges" are. Please post what they are claiming. Did you receive an interrogatory (questionnaire) regarding the lawsuit?  

30 days to respond

The charges are: The  Defendant opened and incurred charges under credit account WORLD FINANCIAL NETWORK BANK/ COMENITY BANK/ NEW YORK & COMPANY account number **********0197.  All rights and title to the Defendant's account were assigned to Portfolio Recovery Associates, LLC.  Despite numerous and repeated request for repayment on the account, the account still remains delinquent.  After any and all payments and credits, the current balance due and owing is $1,653.19 of which the Plaintiff seeks to recover from the Defendant.

No, I didn't receive an interrogatory regarding the lawsuit

Here is an example of what the summons/complaint may look like: Sued by a Debt Collector - Learn How to Fight Debt Lawsuits

16. What evidence did they send with the summons? An affidavit? Statements from the OC? Contract? List anything else they attached as exhibits.  They sent an Affidavit from the Custodian of Records, Exhibit A , the bill of sale and Exhibit B, the charge off statement.  I've attached those for your review.

 They also sent instruction if case goes to trial and an Affidavit for Service members, which I am not

17. Read this article:

Sued by a Debt Collector - Learn How to Fight Debt Lawsuits

NY& Company Credit Card Agreement.pdf

Affidavit.pdf

EXHIBIT A from packet.pdf

EXHIBIT B from packet.pdf

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3 hours ago, South Carolina Girl said:

Also, are there different types of MTC; I've seen some threads that reference MTC and MTC Private/Contractual arbitration.

They are the same.  The first is merely a generic description the second:  brand name.

3 hours ago, South Carolina Girl said:

 I'm not sure if arbitration with this credit card will work in my favor or against me.

The goal is not to actually arbitrate because if you do, you will lose.  The goal is that the cost in doing so is way more than PRA could hope to collect in an award and therefore they choose to walk away and drop the whole matter.  Preferably with a dismissal with prejudice.

 

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@Clydesmom,  I'm confused.  So once I submit my letter to the court and receive my court date should I NOT request a motion to compel arbitration?   I don't want to lose and I don't feel that I owe them this debt as I don't have a contract with PRA as I've seen other state in various threads.  I've been reading so much information regarding MTC that I am utterly confused on what my next steps should be once I go to court.  Does the dismissal with prejudice go hand in hand or is that something that can be request separately?   

Thanks!!

 

 

 

 

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55 minutes ago, South Carolina Girl said:

@Clydesmom,  I'm confused.  So once I submit my letter to the court and receive my court date should I NOT request a motion to compel arbitration?   I don't want to lose and I don't feel that I owe them this debt as I don't have a contract with PRA as I've seen other state in various threads.  I've been reading so much information regarding MTC that I am utterly confused on what my next steps should be once I go to court.  Does the dismissal with prejudice go hand in hand or is that something that can be request separately?   

Thanks!!

 

 

 

 

Read all of the threads I posted and you will be less confused.  All the threads I posted deal with GA Magistrate court.  Anything else you read will be different than your situation because other courts in other states would require the motion to be filed ahead of time and a hearing specifically on the motion.  You will not do that.  You will type up the Motion to Compel Private Arbitration and bring 3 copies with you to court once they set a date.

The card agreement you posted has a good arbitration clause that allows you to choose AAA or JAMS for the arbitrator.  Either one works fine, as PRA simply does not arbitrate.   How have you determined that the NY & Company agreement applies and not the Comenity Bank or World Bank ones?  I'm just curious as to why they listed more than one OC in their complaint. That part is pretty confusing.

Does the entry on your credit report from PRA match the same amount they are suing you for, or does it report a different amount?

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Thank you @fisthardcheese, I read all the threads you sent and what was confusing me is the word "arbitration".  @Clydesmom said that I don't want to arbitrate because I'll lose but the threads you sent me spoke of motion to compel arbitrate...the terminology was confusing to me that's why I was unsure of what to do.   I truly appreciate both of you helping me and providing your insight, I'm a novice to law procedures so all of this at one time can be overwhelming. 

The entry on my credit report does match the amount they are suing me for.

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On 6/1/2017 at 9:52 AM, South Carolina Girl said:

Thank you @fisthardcheese, I read all the threads you sent and what was confusing me is the word "arbitration".  @Clydesmom said that I don't want to arbitrate because I'll lose but the threads you sent me spoke of motion to compel arbitrate...the terminology was confusing to me that's why I was unsure of what to do.   I truly appreciate both of you helping me and providing your insight, I'm a novice to law procedures so all of this at one time can be overwhelming. 

The entry on my credit report does match the amount they are suing me for.

@South Carolina Girl  We have had MANY GA wins by using arbitration.

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Arbitration with AAA or JAMS would take a year to fully complete.  If you went the full distance and had a final hearing, yes, you would likely lose.  Court is over in 1 month and you would also lose by fighting the case on the merits there too.  The difference is arbitration costs PRA $5k - $10k to participate plus the extra time and costs involved with the drawn out, slower process.  They don't participate because of this.  It costs them too much and even if they win the case, they lose money on the deal.  That is why pushing for arbitration is effective and usually results in PRA dismissing the case instead of dealing with arbitration.

Just be aware that we are talking about private arbitration per the card agreement and NOT court appointed arbitration (usually called mediation in GA Magistrate). 

So, who is actually the OC here?  They list 3 different banks on their complaint?  Each bank would have a different card agreement and the details of one may be beneficial to you over others.  For instance one may say they will pay all arb fees (meaning they pay your $200 filing fee), while others may say you have to pay the filing fee of $200.  So knowing which OC is correct here may make a difference should you actually have to file the case in arbitration (you may not, but won't know until you go to court asking for arbitration and see how far they want to push it.  Some times they like to try to call you on it to see if you are bluffing and make you file before they eventually dismiss the case).

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Keemail.me is also associated with well know Ransomware called Repairme2017@keemail.me . The domain/mail-service is used as an Alias for a large number of dark web transactions. I believe a moderator should remove this post and link..

 

 

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2 hours ago, South Carolina Girl said:

Hi @fisthardcheese,  I filed my answer I have not received my court date as of yet. 

 

Cobb may be slower, but Dekalb & Gwinnett usually gives the court date at the same time you file the answer.  You may want to check online or call the court to see if they have a date and you just weren't notified.  You just don't want to have it sneak up on you due to late or non notice by the court.

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I would not worry about arbitration right now.  Midland getting a default judgment using sewer service is an FDCPA violation.  Contact Steve Koval or the law firm of Skaar and Feagle.  They handle issues like this and most likely will take your case on contingency because of the violation(s) Midland committed.  CALL do not email.  They are busy but will get back to you.

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@Toosweet1 I second calling the attorneys that Clydesmom listed.  They will do a good job going after Midland on this mess for you.  Also, I suggest making your own new post if you have further questions or issues as to not confuse things with the OP in this thread.

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Just a note:  Based upon Henson v. Santander, simply purchasing defaulted debts does not make a company a debt collector.   If it were me, I'd bring up Henson when speaking with a consumer attorney in order to determine how that he would proceed.

As with doctors, get more than one opinion.

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4 minutes ago, South Carolina Girl said:

Hi @Toosweet1 would you please start your own thread.  

My case has not happened and I still have questions regarding my case and the things that I have addressed and attached to this thread. 

Thank you!

I had already started a New thread. Just had no idead how to delete this one & still don't. I just edited it to say nothing. I sincerely apologize!

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Hi @fisthardcheese and @Clydesmom  my court date is next Monday July 17th.  I found an example of the Motion to Compel Arbitration form, please see the attached form and advised if this is the correct form.  Also,  do I need to fill out the section highlighted in yellow?   (I'm aware that I need to complete my name and address)

Just to make sure I have my ducks in a row, I should file a "Motion to Compel Arbitration with Prejudice", is that correct?

Also, if my case becomes dismissed what happens to this account on my credit report?  It's currently listed as "in collections"; will PRA update my report based on the outcome of court, since they were the ones to place me in collections.  

 

Thanks again for all of your help!

 

 

MTC EXAMPLE_2017.docx

Edited by South Carolina Girl
Wrong attachment

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9 hours ago, South Carolina Girl said:

Just to make sure I have my ducks in a row, I should file a "Motion to Compel Arbitration with Prejudice", is that correct?

NO.   Just a Motion To Compel Arbitration

9 hours ago, South Carolina Girl said:

Also, if my case becomes dismissed what happens to this account on my credit report?

Not a darn thing.  If PRA opts not to pursue this then their last "weapon" in collections is to report to the bitter end.  The reporting of the account is completely separate from the suit.  If they were to win a lawsuit or arbitration then it becomes a second entry as a public record as a judgment.  Until you pay the status will always be "in collections."

 

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