Legal Question in Credit and Debt Law in Virginia

Appropriate amount of collection/legal fees

I have a credit card that was referred to a collection agency on 10/9/03. I have yet to receive any written correspondence from them. I don't dispute the validity of the debt & intend to pay the approx. $3000 in full within 30 days. The agency is threatening to sue me because I won't give checking info via phone and they are threatening to add $3000 in legal fees to the balance. They said they would sue the account today. Is there a cap on the amount of legal fees that they add to the account? and can they sue without giving me a little time (less than 30 days) to pay the account in full? I made a payment of $226 on 10/9/03.


Asked on 10/20/03, 1:43 pm

1 Answer from Attorneys
Daniel Hawes Hawes & Associates

Re: Appropriate amount of collection/legal fees

The amount of attorney's fees is a matter of equity, not law, and is always subject to the discretion of the court. As a practical matter, in a routine collection case, whatever it says in the contract is what applies. Btw, if there is no written contract (or in the case of telecommunications carriers, a filed tariff) providing for an award of attorneys' fees, then there aren't any.

The equity thing is complicated - you'd need a lawyer experienced in such matters in Virginia to argue it effectively. More than the debt is worth.

Too bad you waited so long - you had thirty days in which to demand verification from the collection agency, and they are now entitled to assume that the debt is valid.

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Answered on 10/20/03, 3:04 pm


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