Expert: Ontrack Financial Group llc - 1/7/2009

Question
Hello and thank for your time.

We live in the state of Texas. My wife was just serviced on 1-6-09  by Midland Funding LLC what appears to be documentation stating that she is being sued for a credit card debt. Attached to the paperwork are transaction histories labeled as Exhibits A1 and A2. I looked over the transactions and the last payment that she made on the account was 10 SEP 2004, but the account continued assessing late fees, over limit fees, and finance charges until 04 APR 2005. Also attached is a sworn oath made in front of a notary public and signed dated 09 SEP 2008 by the servicer of the account.

From what I understand, Texas collections law SOL is 4 years from the date of last payment - is this correct? Does the signed oath 1 day before the 4 year mark mean anything significant? Should I get my group legal involved? Or is there a simple response that I should make?

The principal owed is roughly $1,800 - and the document states that she is being sued for the usual attorney fees, court costs, etc. We're on a tightened budget nowadays, my wife never told me about this credit account and she is in panic mode now. Does this sound like a problem to you, or is this lawsuit possibly barred by SOL?

Thanks again for your time,

David

Answer
Dear David,

Thank you for your question.  

In Texas a person (or company) must bring suit on the following actions not later than 4 years after the day the cause of action accures... Debt. (last day of payment)

Tex. Civ prac. &Rem. Code Ann.16.004(3)  

This matter is pretty straight forward.  

File a motion with the courts to dismiss with prejudice.

DWP ='s When a case is dismissed for good reason (SOl expired) and the plaintiff is barred from bringing an action on the same claim.

Warm Regards,

Ontrack Financial Group llc