Legal Question in Credit and Debt Law in California

About 4 and a half years ago in 2004 I made a mistake by signing up for Cingulars (AT&T) for my sister. I was paying it for her but later she offered to pay it herself but later I found out that she haven't paid a dime. The bill came up to over $900 after the penalty charge for the 2 yr contract. Now 4 and a half years later (today) I received a call from a collection company he said if I didn't take the settlement today they will serve me on Friday for the bill which is now $2800. So I took the settlement deal but I asked for him to hold it until the 5th of Nov. Is there a way that I can fight this in court or should I just pay the settlement. The settlement is for $980. My question is what is the best way to deal with this?


Asked on 10/28/09, 9:53 pm

1 Answer from Attorneys
Ramona Hallam Law Offices of Ramona R. Hallam

The claim should be past the statute of limitations by now and, therefore, would be unenforceable in court but you would have to answer a lawsuit and claim that. If you or your sister paid even a dime or signed an agreement, the statute of limitations would no longer be a good defense. There are numerous ways you can win or lose. Paying debts is always the best policy because it shows good moral character, but if you have a good defense to the debt, you might want to use it. The caveat is that a bad debt stays on your credit report much longer than it is enforceable in court. Does this help?

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Answered on 11/02/09, 10:21 pm


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