Statute of Limitations - Ontario
Hi,
This is in reference to a consumer debt by the way. I have read that the Ontartio sTatute law was modified
Such that any debt as of jan 1 2004 was "sue-able" within 2 years , any debt before that was "sue-able" for up to 6 years.
Is that correct?
Also, assuming I encounted a debt in Sept 2003, and my last acknowledgement of debt/payment was done in March 2004, given that I have had absolutely no contact with the collection agency, does my debt fall under the 2 year (reason is that the counter restarts each time you make a payment/acknolwedge debt).. so the counter restarted in March.. and given the new laws.. now falls under the 2 yr rule).
Is my understanding correct?
Thirdly, does the Statute apply to only the collection agency or also the original debtor. By this I mean that if my original debt was to Company XYZ and they gave the collection responsilibility to Agency ABC, after 2 years of non-contact/payment/acknoledgement, have both of them lost the right to sue me?
Which offcourse brings me to my next question. When the agencies lose the right to sue as per the Statute, do they also lose the right to garnish/place liens on houses/ repossess property ( I am assuming these can only be done via court order and since they can't sue, they can't obtain a court order) .
Lastly, is it not true that the outstanding collection items fall off the credit bureau report after 6 years? So theortiecally, in 2009, I should be clean?
Any help is appreciated.
Thanks
Syed