Author Topic: Being sued by Barclays  (Read 10838 times)

kilogulf

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Being sued by Barclays
« on: January 13, 2017, 09:50:44 AM »
Has anyone been sued by Barclays of Delaware?  I received a lawsuit by courier on 12/10/16.  I had a Barclays account when I bought my iMac in Feb 2007 but my Quicken shows I paid it off January 2008.  Experian is showing 2 different account#'s and the lawsuit is showing a third account#.

Experian #1: Feb 2007-Apr 2008 "Paid Satisfactorily"
Experian #2: Jun 2006-Jan 2015 Closed-“Cannot locate consumer”
Lawsuit: Jun 2006-Nov 2014 “Breach of contract.  Plaintiff sues herein for actual damages, cost of court.”

Barclays is being represented by Scott & Associates here in Dallas and is a known junk debt buyer.  I have filed with the court “Defendant generally denies all allegations made by the Plaintiff” and sent a Request For Production of Documents via certified USPS to their attorney.  It shows they picked up the docs on Jan 10.  I have a court date of Feb 9 2017.

Now I’m just waiting to hear from the attorney.  The amount I’m being sued for is $1,517 and I don’t want to pay it nor do I want to hire an attorney.  I know it looks like i should just send them proof I paid it but none of the account #’s match up.  Maybe I owe them money but I really doubt it.

Do credit card companies change account #’s if an account goes into a different status?  I can’t figure out WHY the 3 different numbers.  UGH.  This is not helping me reach FIRE.

KG in Dallas

dude

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Re: Being sued by Barclays
« Reply #1 on: January 13, 2017, 10:43:50 AM »
If you do not get the documents in response to the RFP within say, a week of the court hearing date, you need to file a motion for an enlargement of time, and you need to tell the court the reason you are doing so is that Scott & Associates has failed to provide you the documents in time. Be sure to serve the motion on the law firm in accordance with your state rules. You have a right to see whatever documents they have that links you to this debt; don't go to court without having first seen them.

Also, I would look closely at your state's statute of limitations on these actions. Almost 10 years later seems like a long time to me. If it's outside the statute of limitations, you should move to dismiss the claim AND ask for sanctions against this law firm for bringing a frivolous suit against you.  Ethically, they cannot bring a stale suit. And if it is outside the statute, I would also ask for punitive damages (to deter further bad acts by them) and just compensation for lost work time/free time defending yourself.

Whatever you do, do not fail to respond. This is what they are hoping for so they can get a default judgment against you. And once entered, it will be a lot more work to get it overturned.  Not to mention that if you don't, and don't pay them, they will likely attach your property and file liens against you.

Google these guys -- they have a history of harassment.  I believe the NY Attorney General sued them.

dude

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Re: Being sued by Barclays
« Reply #2 on: January 13, 2017, 10:46:47 AM »
FYI, just looked this up:

http://www.creditcards.com/credit-card-news/credit-card-state-statute-limitations-1282.php

I'd think about filing a motion to dismiss ASAP.

dude

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Re: Being sued by Barclays
« Reply #3 on: January 13, 2017, 10:49:59 AM »
According to the link above, it's 3 years in Delaware and 4 years in Texas. Your card probably has a choice of law provision in it which subjects all claims to Delaware law, so 3 years is likely the operative statute of limitations.

dude

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Re: Being sued by Barclays
« Reply #4 on: January 13, 2017, 10:52:28 AM »
Also, read the notes below the chart in that link -- there's good info there, and a specific reference to Texas.

Fireball

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Re: Being sued by Barclays
« Reply #5 on: January 13, 2017, 12:05:00 PM »
Has anyone been sued by Barclays of Delaware?  I received a lawsuit by courier on 12/10/16.  I had a Barclays account when I bought my iMac in Feb 2007 but my Quicken shows I paid it off January 2008.  Experian is showing 2 different account#'s and the lawsuit is showing a third account#.

Experian #1: Feb 2007-Apr 2008 "Paid Satisfactorily"
Experian #2: Jun 2006-Jan 2015 Closed-“Cannot locate consumer”
Lawsuit: Jun 2006-Nov 2014 “Breach of contract.  Plaintiff sues herein for actual damages, cost of court.”

Barclays is being represented by Scott & Associates here in Dallas and is a known junk debt buyer.  I have filed with the court “Defendant generally denies all allegations made by the Plaintiff” and sent a Request For Production of Documents via certified USPS to their attorney.  It shows they picked up the docs on Jan 10.  I have a court date of Feb 9 2017.

Now I’m just waiting to hear from the attorney.  The amount I’m being sued for is $1,517 and I don’t want to pay it nor do I want to hire an attorney.  I know it looks like i should just send them proof I paid it but none of the account #’s match up.  Maybe I owe them money but I really doubt it.

Do credit card companies change account #’s if an account goes into a different status?  I can’t figure out WHY the 3 different numbers.  UGH.  This is not helping me reach FIRE.

KG in Dallas

I would hire an attorney and countersue for $X amount of money plus attorney's fees. You don't have to pay for the attorney if you're in the right. If you're in the wrong, you should pay whomever is owed.
« Last Edit: January 13, 2017, 12:06:49 PM by Fireball »

AZDude

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Re: Being sued by Barclays
« Reply #6 on: January 13, 2017, 12:11:57 PM »
Possible identity theft? Otherwise who knows. Definitely respond and remember that this is civil court, so only a preponderance of evidence is needed vs the "beyond a reasonable doubt" standard of a criminal trial. So you will need to provide evidence that you paid off the only account you had with them.

kilogulf

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Re: Being sued by Barclays
« Reply #7 on: January 13, 2017, 01:36:39 PM »
Thanks everyone!  Here's the rub; they wouldn't sue if they didn't have an angle of working around the SOL.  That's the first thing I though too....this is WAY past the SOL.  What the hell are they thinking?  Well, they're attorneys, and they're at the shady end of the spectrum, so they obviously have reason to believe they can collect.

The link that Dude sent: Mary Spector, an associate law professor at Southern Methodist University's Dedman School of Law in Dallas, says many consumers ignore court notices about old debts and end up losing cases that might otherwise be thrown out of court because the statute of limitations has run out.

"In Texas, it's usually up to the defendant to show that the debt is time-barred under the statute of limitations," Spector says. Her advice: Don't ignore the court papers and get a consumer lawyer to represent you.


Honestly, I've spent way too much of my spare time on this whole thing.  If there is even a small chance I could counter-sue, I'm on board.  I've read so many blogs and posts and surfed a million sites just to get this far.  But hey, I've learned a lot so far and if it will help out a Mustachian in the future then it's worth it.

Do they have "free" Consumer Lawyers for this sort of thing?  The words 'free' and 'laywer' don't usually go together...

kg

Captain FIRE

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Re: Being sued by Barclays
« Reply #8 on: January 13, 2017, 01:57:23 PM »
Do they have "free" Consumer Lawyers for this sort of thing?  The words 'free' and 'laywer' don't usually go together...

That's because we use the words "pro bono" instead.

Also, insulting the very people you're hoping will help you - for free - is not exactly a recipe for success.

A lot of lawyers do pro bono work.  My state bar sets an expectation of 25/hrs per year.  I've personally helped people get asylum and volunteered at family law court.  Not a lot of professions have this type of expectations -  for example, you don't see a plumbers union or bank tellers group suggesting offering free services.  So, let's maybe not slam the lawyers? 

That said, people tend to do the work for those who can't pay (of low or limited means), rather than ones that simply don't want to pay.  Which category do you fit into?  If you can't pay, look to see if there is a law school in the area, as they often provide (supervised) free services, or check with your state bar.

kilogulf

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Re: Being sued by Barclays
« Reply #9 on: January 13, 2017, 02:15:41 PM »
Please forgive me Captain FIRE...it was not my intention to slam the lawyers.  An honorable profession, to be sure.  And you appear to be at the honorable end of the spectrum with your pro bono work.  I will pursue looking in to a local law school as you suggested.

Being that this is your profession, would you have any insight as to why the plaintiffs attorney-Scott and Associates-would believe they could successfully carry out this lawsuit?  Their website seems to be tooled for success in these matters.

http://www.spalaw.com/creditors.html

kg

Captain FIRE

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Re: Being sued by Barclays
« Reply #10 on: January 13, 2017, 02:43:59 PM »
Possible ideas?
1) There is a mix up within your file.  The original creditor doesn't have a record of you paying off the computer (and mixed up the numbers).
2) There is a mix up with your file and someone else.  Someone else with a similar name really owes this debt.
3) You really owe the debt and forgot somehow completely about it.
4) They are doing volume business in the hopes of some quick results, and didn't really look at/realize details such as statute of limitations.  Honest error, even if it shouldn't have happened.
5) They are doing volume business in the hopes of some quick results, and didn't care about the statute of limitations.  Shady business and should be penalized.

But all that said - my area is health care, not consumer law, so my guesses are no better than the average member of the public!

kilogulf

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Re: Being sued by Barclays
« Reply #11 on: January 13, 2017, 02:58:00 PM »
Again, thank you Captain. I would hope it's #1, 2 or 4. I'm hoping to get a response to my RFP maybe next week when "more will be revealed" but my brain tends to dwell on the least positive outcome and says things like, "Scott and Associates has all their ducks in a row and they will squash you in court" or "They do this all the time and they have an angle that will circumvent the system."

If it's #5 I'll start another thread! :-)

kg

VladTheImpaler

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Re: Being sued by Barclays
« Reply #12 on: January 13, 2017, 03:26:51 PM »
posting to follow.
Best of luck KG

bugbaby

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Re: Being sued by Barclays
« Reply #13 on: January 13, 2017, 04:16:34 PM »
I think Barclays of Delaware is very shady. I used to have an account with them in 05 all paid off & closed. Then suddenly credit report says I have another one as an authorized user. I disputed via Experian (they insisted it's my account) and called to get info but they won't give any.  I hope you defeat those scumbags.



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marty998

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Re: Being sued by Barclays
« Reply #14 on: January 13, 2017, 05:09:46 PM »
Funny how companies will set up in Delaware because of very favourable privacy and tax rules but this works against them when it comes to SOL and being able to collect outstanding debts.

Universal karmic justice?

Good luck OP, if you're in the right, fight the bastards hard :D

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Re: Being sued by Barclays
« Reply #15 on: January 13, 2017, 08:03:22 PM »
Thanks everyone!  Here's the rub; they wouldn't sue if they didn't have an angle of working around the SOL.  That's the first thing I though too....this is WAY past the SOL. 

The angle is that abusive debt collection is a growing industry. They hope you are stupid or scared enough to pay. Or you don't respond, so they get a default judgement.

One other thing to keep in mind. In some states, even if the statute of limitations is expired, if you agree (even verbally) that you owe the debt, that resets the clock.

arebelspy

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Re: Being sued by Barclays
« Reply #16 on: January 25, 2017, 06:10:58 PM »
Any update?
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dividendman

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Re: Being sued by Barclays
« Reply #17 on: January 25, 2017, 08:19:58 PM »
Does umbrella insurance generally cover crap like this?

Gronnie

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Re: Being sued by Barclays
« Reply #18 on: January 25, 2017, 09:31:55 PM »
Thanks everyone!  Here's the rub; they wouldn't sue if they didn't have an angle of working around the SOL.  That's the first thing I though too....this is WAY past the SOL. 

The angle is that abusive debt collection is a growing industry. They hope you are stupid or scared enough to pay. Or you don't respond, so they get a default judgement.

One other thing to keep in mind. In some states, even if the statute of limitations is expired, if you agree (even verbally) that you owe the debt, that resets the clock.

This. They are hoping you are dumb enough to do one of two things:

1. Pay
2. Not respond and they get a default judgement

Don't forget that Statute of Limitations in an affirmative defense, you have to assert it.

ltt

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Re: Being sued by Barclays
« Reply #19 on: January 25, 2017, 09:39:09 PM »
Do you not have a paper trail of where you paid it off, printed out copies where the payment has been made if done electronically or a cancelled check?

cchrissyy

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Re: Being sued by Barclays
« Reply #20 on: January 25, 2017, 10:35:24 PM »

kilogulf

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Re: Being sued by Barclays
« Reply #21 on: January 26, 2017, 09:31:57 AM »
UPDATE:  It was/is a different account from April 2014....

I got a response from Scott and Associates and the bottom line is, I need a Court Order for Discovery so they objected.  HOWEVER, they did send me 6 months worth of statements from a Hawaiian Airlines visa account which I had a file on at home.  I was on Auto-pay and the account was taken over by Barclays and the auto-pay stopped.  Yes, they sent me a letter saying to change my auto-pay, but this all happened when we were selling our previous house and living in a hotel room with a dog and 2 cats for 3 weeks waiting to close on our new house.  We were living out of suitcases, all of our stuff was in storage, and our mail was in transition forwarding to a new address.  We had a lot going on in April 2014.  And I dropped the ball.

What I don't like is the fact that I received mail from everyone on the planet at our new address but nothing at all from Barclays.  If I would have received something from Barclays at our new address I would have jumped on it.  What also surprises me is no red flag from my lender when getting financing for the new house.  My credit score is around 760 and no one said anything like "Hey you've got a credit card account that has been charged off."  My credit was looked at AGAIN just 4 months ago when I refinanced our mortgage.

But all that is not an excuse in the eyes of the Law, I'm sure.  I totally get that.

Attached is a sample letter of what I want to send to them so we can settle out of court.  My court date is 2 weeks from today.  They're suing for $1500, I want to offer them $300.  My fear is they will want 100%.

The 2 things I want from them:

1.  Stop court proceedings
2.  Inform all 3 credit bureaus as paid satisfactorily

Any advice?  Thanks in advance to my attorney Mustachians who offer advice pro bono and all fellow Mustachians that chime in.  My whole aim with all this is that this experience will benefit others.

kg

arebelspy

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Re: Being sued by Barclays
« Reply #22 on: January 26, 2017, 03:02:09 PM »
Oh, that's a bummer.

Yeah, large parts of those funds are fees, penalties, etc.

They probably paid 5-10 cents on the dollar, then inflated the amount due.

Good luck with the debt negotiations!
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J_Stache

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Re: Being sued by Barclays
« Reply #23 on: January 26, 2017, 03:14:45 PM »
Attached is a sample letter of what I want to send to them so we can settle out of court.  My court date is 2 weeks from today.  They're suing for $1500, I want to offer them $300.  My fear is they will want 100%.


Not a lawyer, but I bet they'll go for $300 if they don't have to appear in court.  They bought the debt for much less than the full amount.  You'll have to negotiate, though.

arebelspy

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Re: Being sued by Barclays
« Reply #24 on: January 26, 2017, 03:30:58 PM »
Attached is a sample letter of what I want to send to them so we can settle out of court.  My court date is 2 weeks from today.  They're suing for $1500, I want to offer them $300.  My fear is they will want 100%.


Not a lawyer, but I bet they'll go for $300 if they don't have to appear in court.  They bought the debt for much less than the full amount.  You'll have to negotiate, though.

They won't go for it if it's the initial offer.

What are you prepared to go up to?
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Re: Being sued by Barclays
« Reply #25 on: January 28, 2017, 01:35:36 AM »
Attached is a sample letter of what I want to send to them so we can settle out of court.  My court date is 2 weeks from today.  They're suing for $1500, I want to offer them $300.  My fear is they will want 100%.


Not a lawyer, but I bet they'll go for $300 if they don't have to appear in court.  They bought the debt for much less than the full amount.  You'll have to negotiate, though.
Yeah, can't hurt to give it a shot, I guess.

arebelspy

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Re: Being sued by Barclays
« Reply #26 on: January 28, 2017, 01:13:43 PM »
OP found out it was a valid debt.
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