Legal Question in Credit and Debt Law in Iowa

Sole-proprieter business

I formerly had a small business(got out of it 6 years ago). It was a sole-proprietorship. I have a yellow pages advertising debt from when I was in business. I now work in a factory, and can not afford to pay it all. Do I have any rights under the Fair Debt Collection Practices Act? Since it was a sole-proprietorship, and my personal debt and this debt are one in the same, wouldn't this be considered a personal debt and therefore, subject to the FDCPA? The collection agency handling this collection refuses to validate the debt. Any help would be appreciated.


Asked on 11/15/03, 11:44 am

1 Answer from Attorneys
Daniel Hawes Hawes & Associates

Re: Sole-proprieter business

You're a "consumer" but the "debt" isn't "consumer debt"; so the fair debt collection practices act does not apply.

" (5) The term "debt" means any obligation or alleged obligation of a consumer to pay money arising out of a transaction in which the money, property, insurance, or services which are the subject of the transaction are primarily for personal, family, or household purposes, whether or not such obligation has been reduced to judgment."

U.S. Code 15 U.S.C. � 1692a

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Answered on 11/15/03, 6:06 pm


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