Legal Question in Credit and Debt Law in North Carolina

I do not remember signing a contract with a home security system company that I used for several years. Recently I received a bill for services I had stopped using over eight years ago. They are not asking for the equipment back, only a large payment. If I send them the equipment back, how should I word the letter so they cannot use it against me, since I do not owe them any more money and do not admit to owing the bill?


Asked on 5/12/14, 3:04 pm

1 Answer from Attorneys
Rachel Hunter

What does your contract say? A lot of these contracts with security companies had auto-renew clauses in there. Meaning that if you had a 3 or 5 year contract, unless you wrote and cancelled it as specified in the contract prior to the termination date (usually 60 days before) then the contract automatically renewed for a 3 or 5 year period regardless of whether you used it or not.

And if you still have the equipment you might be held liable too.

I would dispute the debt and ask for proof of (a) your financial responsibility for the debt and (b) how the debt was calculated. Most contracts in NC are subject to either a 3 or 4 year statute of limitation so something is not right if you stopped using the system 8 years ago and you are only now getting a bill.

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Answered on 5/13/14, 1:59 am


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