Legal Question in Credit and Debt Law in Georgia

I signed a contract for my 16 year old and myself to take martial arts classes. My 16 year old then had to have hernia surgery and shortly after fell into a depression with severe anxiety. He had to be home schooled his senior year and was going to theropy two days a week which is still continuing.

I was told on two seperate occassions from the woman at the Martial Art center that my account would be on hold until he could return. It has taken over 18 months to this point and I have been turned over to a collection agency. $2900 or legal action. I have nothing in writing from them saying that they would extend the hold and havent recieved a bill in 18 months. They ofered $1500 settelment. Pay or fight?


Asked on 6/07/10, 8:59 am

2 Answers from Attorneys
Rachel Hunter

Read the contract which you signed. The child is underage and made a voidable contract. It does not matter what the women told you but what the contract says regarding cancellation.

$1500 is half of the debt - can they do better than 50%?

I can assist you. Please feel free to contact me. If you want to do this on your own, read your contract, explain to the collection agency your son's health condition and start the negotiations at 25% and work up from there.

Rachel Hunter

Attorney at Law

(678)-687-9693

Admitted in GA, PA & NC

Read more
Answered on 6/07/10, 12:21 pm
Scott Riddle Law Office of Scott B. Riddle, LLC

You said YOU signed a contract for you and yourself, so your post does not indicate your son made a voidable contract. Otherwise, we don't have the contract but when you have a written contract, changes to the terms should also be in writing. If you want to fight, they simply present the contract (though most likely they would just keep collecting and it would stay on your report). Half of the debt is not a bad deal, and of course you can offer less. Expect to pay cash up front, and ask that it be removed from your credit report (though for a couple reasons that is less likely these days). Money you pay a lawyer can be money that goes to the settlement. This will be a lesson in handling contracts and agreements later on - it could be worse with a car, home or other more expensive debt. The same rules apply to a settlement - get it in writing.

Read more
Answered on 6/12/10, 5:39 am


Related Questions & Answers

More Credit, Debt and Collections Law questions and answers in Georgia