Legal Question in Credit and Debt Law in Indiana
Previous payment agreement no longer acceptable
May father was in a nursing home for a year and passed away. My mother was advised by her lawyer not to pay anything until medicaid decided whether she was eligable. It was decided she was not eligable and she was responsible for the debt of $27,000.00. The lawyer respresenting the nursing home accepted a repayment schedule of $250.00/month. After 3 months of payments, my mother received a letter from the attorney stating that the repayment schedule was no longer acceptable. This is after my mothers attorney told the nursing home attorney that she was no longer respresenting her. They want a voluntary lein on her house+250.00/month or $1000.00/month. She has not missed a payment. Can they do this, or are they trying to intimidate her because she no longer has a lawyer?
1 Answer from Attorneys
Re: Previous payment agreement no longer acceptable
Is the agreement in writing? What does your mother's former attorney say about the agreement in question-she cant just withdraw and leave Mom hanging-your mother can claim her file from the attorney and there should be something in the file confirming the agreement.
Absent any writing, your mother can claim an oral agreement and seek to enforce it if they try to sue her. However, if they sue and win and get a judgement, the judgement will attach as a lien to the real estate-do not let it get that far!
Bottom line-I would suggest hiring new counsel if you cant get the ols atty to confirm the agreement and state that Mom will sue to enforce it. They may also have violated the Fair Debt Collection practices Act which provides $1000 and atty fees for each violation. Hire new counsel as soon as possible.
John E Bator
Bator Redman and Shive, P.C.
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