Seeking Assistance vs. CITIBANK Stenger/Stenger - Minnesota

[travis198555068]

1. Who is the named plaintiff in the suit? CITIBANK, N.A.

2. What is the name of the law firm handling the suit? STENGER & STENGER P.C.

3. How much are you being sued for? $10,xxx

5. How do you know you are being sued? Personally served 

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

8. What was your correspondence (if any) with the people suing you before you think you were being sued?  None

9. What state and county do you live in? Minnesota, Dakota

10. When is the last time you paid on this account? 2020? Within SOL

11. When did you open the account?  2016

12. What is the SOL on the debt? 6 years

13. What is the status of your case? Summons and Motion Served, nothing has been filed.  Checked online.

14. Have you disputed the debt with the credit bureaus (both the original creditor and the collection agency?). No

15. Did you request debt validation before the suit was filed? Note: if you haven't sent a debt validation request before being sued, it likely won't help create FDCPA violations, but disputing after being sued could be useful to show the court that you dispute the debt ('account stated' vs. 'breach of contract’).  No, is it too late?  I did have an account.

16. 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?

Served 3/3/23. Deadline to respond to answer is 3/24/23.  No interrogatory received.  Only Summons and Complaint.

Claims for Relief:

3.  To the best of the plaintiff’s knowledge and belief, defendant’s the home depot consumer credit card account with Citibank, N.A., account number ***********___, (“account”) was opened on _____2016 and an agreement was delivered to defendant and is in defendant’s possession.  DENY or Don’t know?

4.  Defendant and/or an authorized user incurred charges on the account. ADMIT?

5.  Defendant has failed to pay the amount due on the account and there is now due a balance of ______.  DENY

6.  Defendant has failed to object to the accuracy of the billings sent to defendant and/or has otherwise assented to the balance and has failed, refused or neglected to pay the balance due and owning to plaintiff.  DENY

7.  The account has become stated between the parties.  DENY

8.  Defendant received, accepted and benefitted from the provision of the agreement and plaintiff has not be fully paid the reasonable and agreed upon value of said agreement rendered in the amount of ____.  DENY

9.  Defendant has been unjustly enriched and is therefore indebted to plaintiff in the amount of _____.  DENY

10.  To avoid substantial injustice, defendant should be required to repay plaintiff the sum due.

17. What evidence did they send with the summons? An affidavit? Statements from the OC? Contract? List anything else they attached as exhibits.  Nothing

18.  How did you find out about this site? Google.com

 

I completed the answer to the complaint.  I did not list out anything other than admit/deny/don't know.  Do I have to go into detail?  

I know MN allows the plaintiff 1 year to file with the court.  I have generated the answer and am planning to CMRRR.  

Affirmative defenses are:  Don't know the amount alledged and abitration, should i list anything else?

I received energy assistance, not employed, so i believe thats exempt status?

 

Seeking advice on how to proceed 

[travis198555068]

this is what i have generated as an answer.

[WhoCares1000]

It is good that you know that you need to serve an answer.

Looking at your answer, I would remove point 1 in the affirmative defenses but others can say more on that. Beyond that, I think it looks good. Also, Minnesota has special court forms for just about everything so use those. They can be found here: https://www.mncourts.gov/GetForms.aspx?c=7

Minnesota is a Pocket Docket state and therefore, they only need to serve you to file a lawsuit. In order to answer, you simply need to have a friend send the answer to the attorneys office certified mail return receipt requested (CMRRR) and then have them fill out an affidavit of mailing and have it signed in front of a court clerk or notary. That form is here: https://www.mncourts.gov/GetForms.aspx?c=33&f=28

About 1 week after they receive the answer, serve on the law office the motion to compel arbitration.Again, use the court forms for that. I am not sure if that can be served personally by you or to use a friend but do it similar to the service of answer.

Wait another week after delivery of the motion and then contact the law office and offer $600 to settle. Tell them that the offer is good until they file in court. I say that much because that is what it will cost you to get to arbitration. They will probably laugh at you on a 5 figure debt but hold firm. Note, for costs, it will be about $325 to file in court, $75 for the motion, and $250 for the arbitration.

Also, find the exemption form and fill that out but keep that to yourself. You can tell the attorneys office that you are exempt from garnishment while receiving energy (and other social) assistance and for 6 months afterwards. You will need that if they do get a judgement. This might convince them to quit because arbitration is expensive.

If they send you discovery, send it back with all questions and requests answered as follows: "Objection - Court does not have subject matter jurisdiction and requesting contractual arbitration." The idea is to get them to file in court where you then file your motion to compel.

They might follow you into arbitration and if they do, they will get a judgement. Another reason to have the exemptions form. In Minnesota, a judgement is good for 10 years and the only way to renew a judgement is to start another court case (and pay all the court fees again) before the old judgement lapses. Most creditors do not renew judgements here because of the expense.

As for the 1 year thing, it is true that they have 1 year to file or the case is dismissed with prejudice. However, this has never been tested in the Minnesota higher courts and many attorneys believe that the dismissal with prejudice is to draconian of a punishment for not filing on time. Certainly go for it but realize that there is a gray area there when it comes to law.

Note that none of this is construed as legal advice from an attorney and that you should obtain your own attorney for legal advice.

[travis198555068]

3 hours ago, WhoCares1000 said:

Looking at your answer, I would remove point 1 in the affirmative defenses but others can say more on that. Beyond that, I think it looks good. Also, Minnesota has special court forms for just about everything so use those. They can be found here: https://www.mncourts.gov/GetForms.aspx?c=7

Minnesota is a Pocket Docket state and therefore, they only need to serve you to file a lawsuit. In order to answer, you simply need to have a friend send the answer to the attorneys office certified mail return receipt requested (CMRRR) and then have them fill out an affidavit of mailing and have it signed in front of a court clerk or notary. That form is here: https://www.mncourts.gov/GetForms.aspx?c=33&f=28

I believe I can serve via mail myself.  I was planning to mail the answer / cover letter CMRRR at the post office and have the affidavit of mailing notarized there.

About 1 week after they receive the answer, serve on the law office the motion to compel arbitration.Again, use the court forms for that. I am not sure if that can be served personally by you or to use a friend but do it similar to the service of answer.  I believe I would just use the document for filing a motion, I believe i have that but did not know i would need to do that prior to actually getting a notice of judicial assignment / or notice of appearance.  But that is good, get it to them so they know i am seeking arbitration.  I do have the card agreement printed out already.

Wait another week after delivery of the motion and then contact the law office and offer $600 to settle. Tell them that the offer is good until they file in court. I say that much because that is what it will cost you to get to arbitration. They will probably laugh at you on a 5 figure debt but hold firm. Note, for costs, it will be about $325 to file in court, $75 for the motion, and $250 for the arbitration.  I don't want to give them that much time frame as they do have a year to file.  Can I just generally give 14 days?  I was planning to offer 500$ good for 14 days.

Also, find the exemption form and fill that out but keep that to yourself. You can tell the attorneys office that you are exempt from garnishment while receiving energy (and other social) assistance and for 6 months afterwards. You will need that if they do get a judgement. This might convince them to quit because arbitration is expensive.  I believe you mean the proceeding In forma pauperis form?  I have no money in my checking...1 car in my name, house is exempt.

If they send you discovery, send it back with all questions and requests answered as follows: "Objection - Court does not have subject matter jurisdiction and requesting contractual arbitration." The idea is to get them to file in court where you then file your motion to compel.

They might follow you into arbitration and if they do, they will get a judgement. Another reason to have the exemptions form. In Minnesota, a judgement is good for 10 years and the only way to renew a judgement is to start another court case (and pay all the court fees again) before the old judgement lapses. Most creditors do not renew judgements here because of the expense.  I plan to file chapter 7 soon as i do have other debts that just got out of hand.  Should i do that before other creditors come after me?  Get it all done so i'm not being sued left and right?

As for the 1 year thing, it is true that they have 1 year to file or the case is dismissed with prejudice. However, this has never been tested in the Minnesota higher courts and many attorneys believe that the dismissal with prejudice is to draconian of a punishment for not filing on time. Certainly go for it but realize that there is a gray area there when it comes to law.  I'm not banking on this at all

Note that none of this is construed as legal advice from an attorney and that you should obtain your own attorney for legal advice.

As for 1. in the DEFENSES section, I'm just afraid if I don't state it then it will be disregarded when it is filed with courts.  I just want to cover all my bases and not leave anything out and have it waived.

Should I send a cover letter to the law firm with my answer?  

To clarify all of these documents, I keep the original safely and have it ready to file with court when they file?

Am I missing anything?  I just want to let them know that they will win, but i'm not going to be able to pay and all of my assets are exempt.  Wasting their time...but with a 5 figure debt, i'm sure its not that easy unless i go the arbitration route.

 

Thanks!

Edited March 16 by travis198555068
add more information

[BV80]

1 hour ago, travis198555068 said:

As for 1. in the DEFENSES section, I'm just afraid if I don't state it then it will be disregarded when it is filed with courts.  I just want to cover all my bases and not leave anything out and have it waived.

Should I send a cover letter to the law firm with my answer?  

To clarify all of these documents, I keep the original safely and have it ready to file with court when they file?

Am I missing anything?  I just want to let them know that they will win, but i'm not going to be able to pay and all of my assets are exempt.  Wasting their time...but with a 5 figure debt, i'm sure its not that easy unless i go the arbitration route.

 

Thanks!

What are the allegations in #1 and #2?

As for your first defense, did the plaintiff claim breach of contract?  Or maybe account stated?

[WhoCares1000]

1 hour ago, travis198555068 said:

As for 1. in the DEFENSES section, I'm just afraid if I don't state it then it will be disregarded when it is filed with courts.  I just want to cover all my bases and not leave anything out and have it waived.

Should I send a cover letter to the law firm with my answer?  

To clarify all of these documents, I keep the original safely and have it ready to file with court when they file?

Am I missing anything?  I just want to let them know that they will win, but i'm not going to be able to pay and all of my assets are exempt.  Wasting their time...but with a 5 figure debt, i'm sure its not that easy unless i go the arbitration route.

 

Thanks!

You don't need a cover letter. Again, just use the Minnesota Court Forms and the lawyers will know what you are filing and sending them. I would put arbitration as #1 anyways because that is saying the court does not have subject matter jurisdiction to even hear or consider the other defenses. We would need to know what they are basing their case on (account stated vs. contract).

If you have the original contract that was in effect when you defaulted in 2020, you can use that as the basis for your motion to compel arbitration. If not, you can find it on the CFPB site.

Now Citibank has a small claims exemption which is conciliatory court in Minnesota and in Minnesota, the limit is $115,000; but the plaintiff took that out of the equation by using pocket docket. If the plaintiff tries to argues the small claims exemption, simply say it does not apply in civil court in Minnesota and that they should have filed in conciliatory court to begin with.

Don't mention your financial situation until AFTER you filed your answer and motion and made the $600 - $700 offer. They won't care if you mention it now but if you make them realize they are going to spend a ton of money for what is possibly outhouse paper, they might take what you would spend on court and arbitration anyways once they realize they are in a bind. Put them in the bind first, and then give them the way out.

[travis198555068]

55 minutes ago, BV80 said:

What are the allegations in #1 and #2?

As for your first defense, did the plaintiff claim breach of contract?  Or maybe account stated?

1.  Citibank, N.A is a national bank.

2.  Is information regarding me.

I believe they did claim breach of contract and account stated.  Not exactly in those terms...more along the lines of failed to pay amount due on acct and acct is stated.

[travis198555068]

26 minutes ago, WhoCares1000 said:

You don't need a cover letter. Again, just use the Minnesota Court Forms and the lawyers will know what you are filing and sending them. I would put arbitration as #1 anyways because that is saying the court does not have subject matter jurisdiction to even hear or consider the other defenses. We would need to know what they are basing their case on (account stated vs. contract).

If you have the original contract that was in effect when you defaulted in 2020, you can use that as the basis for your motion to compel arbitration. If not, you can find it on the CFPB site.

Now Citibank has a small claims exemption which is conciliatory court in Minnesota and in Minnesota, the limit is $115,000; but the plaintiff took that out of the equation by using pocket docket. If the plaintiff tries to argues the small claims exemption, simply say it does not apply in civil court in Minnesota and that they should have filed in conciliatory court to begin with.

Don't mention your financial situation until AFTER you filed your answer and motion and made the $600 - $700 offer. They won't care if you mention it now but if you make them realize they are going to spend a ton of money for what is possibly outhouse paper, they might take what you would spend on court and arbitration anyways once they realize they are in a bind. Put them in the bind first, and then give them the way out.

Will do on the cover letter and MN court forms i will generate those instead of my own.  Makes sense to not tip them off to anything.  

They are basing their case on account stated per what i typed out in previous posts.

Would i use the contract from 2016 or the current one on CFPB site?

[BV80]

3 hours ago, travis198555068 said:

1.  Citibank, N.A is a national bank.

2.  Is information regarding me.

I believe they did claim breach of contract and account stated.  Not exactly in those terms...more along the lines of failed to pay amount due on acct and acct is stated.

I don’t see the harm in admitting that Citi is a national bank.  In regard to the information about you, as long as it’s basic information like where you reside, admitting that should not be a problem.

Read your rules about the contents of a complaint.  Most rules usually require a plaintiff give short, plain statements about the nature of the complaint.  Breaching a contract is basic contract law.  You enter into a contract and don’t live up to the terms, you’ve breached it.  

[WhoCares1000]

3 hours ago, travis198555068 said:

Will do on the cover letter and MN court forms i will generate those instead of my own.  Makes sense to not tip them off to anything.  

They are basing their case on account stated per what i typed out in previous posts.

Would i use the contract from 2016 or the current one on CFPB site?

You use the contract that would have been in force for your card when you defaulted in 2020. It probably is not the 2016 contract or the current one today. You would need to get the one that was for the 2020 default.

Again, you don't need a cover letter either. The Court form for your answer is all you need. A cover letter will simply make them think you don't know anything and they will play hard nosed based on that.

[travis198555068]

1 hour ago, BV80 said:

I don’t see the harm in admitting that Citi is a national bank.  In regard to the information about you, as long as it’s basic information like where you reside, admitting that should not be a problem.

Read your rules about the contents of a complaint.  Most rules usually require a plaintiff give short, plain statements about the nature of the complaint.  Breaching a contract is basic contract law.  You enter into a contract and don’t live up to the terms, you’ve breached it.  

per the rules, i don't believe i have to write anything out unless i partially agree.  

I admit 1 and 2.  but pretty much everything else out i deny.  i will upload what i have later today once finalized. 

Thank you!

[travis198555068]

This is what i have so far and that's pretty much it.  Can someone look it over?

 

 

 

[travis198555068]

the full complaint attached

[BV80]

@travis198555068

I don’t know MN rules, but your answer looks good to me.  Hopefully, @WhoCares1000will be along soon.

[WhoCares1000]

You want to check the other box and put in "Lack of Subject Matter Jurisdiction", uncheck the "Arbitration and award" because that box is for when arbitration is done and was in your favor. In the facts box, put in "Contract contains required private contractual arbitration that the defendant intends to exercise, see exhibit A." and then attach the contract with with the arbitration clause as exhibit A. Since they did not attach a contract, it would be up to them to come up with a different one if they believe a different one applies.

[BV80]

1 hour ago, WhoCares1000 said:

You want to check the other box and put in "Lack of Subject Matter Jurisdiction", uncheck the "Arbitration and award" because that box is for when arbitration is done and was in your favor. In the facts box, put in "Contract contains required private contractual arbitration that the defendant intends to exercise, see exhibit A." and then attach the contract with with the arbitration clause as exhibit A. Since they did not attach a contract, it would be up to them to come up with a different one if they believe a different one applies.

I didn’t catch that the OP had checked “arbitration and award”.  I only saw that the OP wrote that the contract has a private arbitration clause. Thank you!

[travis198555068]

Thank you you guys, i will be CMRRR this bad boy tomorrow.  Do i have a counterclaim at all?

[BackFromTheDebt]

2 hours ago, travis198555068 said:

Thank you you guys, i will be CMRRR this bad boy tomorrow.  Do i have a counterclaim at all?

I don’t know.  Do you?

Back in the old days when Citi used JAMS for Arbitration, there was a rule that Arbitration could be used against Citi or any of their agents.  I had counter claims against some debt collectors including the law firm.  Having a claim against the law firm made a huge difference in what sort of settlement I could get 

[WhoCares1000]

I don't know if you have a counterclaim or not as I don't know the particulars to your situation. Did Citibank or the law firm violate some law for example that would result in a counterclaim? Did Citibank contract out with any debt collection who violated the law?

[travis198555068]

On 3/18/2023 at 7:16 AM, WhoCares1000 said:

I don't know if you have a counterclaim or not as I don't know the particulars to your situation. Did Citibank or the law firm violate some law for example that would result in a counterclaim? Did Citibank contract out with any debt collection who violated the law?

nope.

[WhoCares1000]

3 hours ago, travis198555068 said:

nope.

Then you probably do not have a counter claim.