Expert: John Hall - 6/28/2006

Question
Hello, I live in New York City. I received a letter in the mail from
Mel S. Harris and Associates  stating " I am the attorney for the
above named client. I have received an affidavit of service from a
process server that a summons and complaint has been served
upon you with respect to the above entitled action. The enclosed
copy of the summons and complaint is being forwarded to you
by regular mail in accordance with New York State Law. If you
wish to discuss this matter to curtail further litigation, it is
suggested that you call this office as soon as conveniently
possible. Your prompt response may lead to a very favorable
settlement or payment arrangement."

They included a copy of the summons and complaint  with the
letter. I don't understand how they have an affidavit of service
because this is the first time I have seen the summons! I never
received this summons, though the "copy" they enclosed is
dated 5/22/2006. The above letter was received in my regular
mail on June 23, and I have the post marked letter with the date
showing as June 22. 2006. The summons says I have 30 days  
after the proof of service is filed with the Clerk to appear and
answer. Evidently, they waited until 30 days elapsed from the
time of the date on the summons to send me this letter.

I don't know how they could have proof of service if I never
signed for receipt of the summons.

The plaintiff on the Complaint is NCO Portfolio Management. It
is in reference to an old Sears credit account from the early '90s
opened when I was in college. The line of credit was 500 bucks. I
made payments, but in subsequent years at college, I fell
behind. The interest and fees climbed and I had just stopped
paying due to inability. I was in school and unemployed. I'm not
sure when was my last activity on the account, but it must be
more than 7 years, the SOL in New York. An old credit report I
have dated 5/15/00 shows a last delinquency on the account of
5/00 and under "comments" it says "account transferred", but I
don't think that date can be right, though I don't know how I
would prove that.

So, to sum it up, it is now 35 days since the date of 5/22/06 on
this copy of this supposedly received summons, which I just saw
for the first time on June 23rd. Do I go down to the court clerk
by myself and answer, and if so, how should I answer? By the
way, they screwed up my name- wrong middle initial and a
shortened form of my first name that I never use. I don't know
how they came up with the ridiculous figure they are
demanding, which is about 7 times my original $500 credit line,
and I'm nervous because I can't pay that. I am self-employed,
and don't have that type of cash. My bank account usually
contains enough to pay my rent and month's bills, and not a
whole lot more. Do I need a lawyer, and will it cost a ton?

Thank You in advance for any help or advice. This is driving me
nuts!

Answer
So, to sum it up, it is now 35 days since the date of 5/22/06 on this copy of this supposedly received summons, which I just saw for the first time on June 23rd.

Obviously, you are not dealing with the most honest people in the world.  This NCO collection agency is one of the worst in the country -  not necessarily efficient or doing any good for the creditor -  just obnoxious and beligerent.  They are entitled to little respect of serious concern.  You can handle this.


Do I go down to the court clerk by myself and answer, and if so, how should I answer? I can explain what you are looking at litigation-wise if we talk on the phone.  You have other options, but if you choose to contest this lawsuit based on the statute of limitations, I can explain to you the process in detail if you call.


By the way, they screwed up my name- wrong middle initial and a shortened form of my first name that I never use.

this is small technical stuff -  You can bring this up, but everything considered, you can do better than that in terms of defending yourself.  

I don't know how they came up with the ridiculous figure they are demanding, which is about 7 times my original $500 credit line, and I'm nervous because I can't pay that.

Not to worry too much.  What I have in mind will not involve paying them anything -  in fact, if you pay them any payment or any type of a settlement at this point, that would be the WORST thing you could do.  That payment would completely restart both the statute of limitations and it would extend the negative entry on your credit report for another seven years.    Not only that, but you are also out the money yhou settled for.  These people are very ungrateful for any effort you make to pay.  This particular collection agency thinks this is a big game where they get to push people around that can't defend themself.  Their work is often counter productive and they shoot themselves in the foot all of the time (by trying to intimidate people into paying more, and then they end up not getting anything).  As stated, they are foolish and merit very little respect.




I am self-employed, and don't have that type of cash. My bank account usually contains enough to pay my rent and month's bills, and not a whole lot more.

Your present lack of resources may work to your advantage.  I can explain that more in detail when we talk on the phone.


Do I need a lawyer, and will it cost a ton?

If you hire a lawyer wehre you are to defend you on this, they will gladly take your money (which could end up being a few thousand or so), but there is a very good chance that their client  could still end up getting a judgment against you.  AGain, I can explain this in more detail when we talk on the phone.  


Call me tomorrow (Wednesday) on my cell if you like.  I will not charge you just to talk on the phone.    Call me on my cell at 661  492-2673      There are a coujple of ways that you can avoid all fo the problems that we talked about above, but to be sure it would be important to know a few more details that are not apparent from your question.