Legal Question in Credit and Debt Law in Michigan

garnishment on expired collection account?

I incurred a debt in 2000. in 2001 I could no longer make the payments and eventually the account was sold to AA Company LLC in 2006. They in turn got a judgement against me in 2007, and a writ for garnishment in 2008, taking my homestead property tax credit. On my credit report from Experion it states that the account is scheduled to continue on record until Oct 2008. I thought that collection accounts could only stay on a credit history for 6 years. Did AA Company get a judgement and garnishment illegally? If I file for my 2009 homestead Property Tax Credit will they be able to take that too?


Asked on 7/21/09, 4:55 pm

1 Answer from Attorneys
Timothy Klisz Klisz Law Office, PLLC

Re: garnishment on expired collection account?

You may have had a statute of limitations defense in 2007 when they sued you, but you waived it by letting the judgment enter. You cannot bring up the defense now, as your time to fight the default judgment expired in 2008. Yes, they will garnish you until they get paid in full, or you can arrange for a lump sum payoff or a reasonable payment plan. Visit www.kliszlaw.com to discuss further. Tim Klisz

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Answered on 7/21/09, 5:01 pm


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