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ccjhavock · Dec 5, 2007, 05:39 PM

Can a foreign (they are not a legal entity in the state of SC) agent sue me? or can I use the affirmative defense of "Standing".

excon · Dec 8, 2007, 08:55 AM

Hello cc:

If they did business with you in the state of SC, then they can sue you there. Certainly, if they're not permitted to do business in SC, that would be a good defense.

However, it's not as simple as that. Given the world wide access of the internet, not every company that you do business with is going to be registered in every state.

It's really going to depend on what you did, how state law is interpreted by the judge, and the quality of your lawyer.

excon

Fr_Chuck · Dec 8, 2007, 09:14 AM

If the business transaction happened in your state then the entire question of their legal right to do business in your state.

What is the debt for, how did you occur the debt ?

But I doubt that the defense will hold, since they could sue you as a out of state company. Using an attorney from your state or they may file suit against you in their state, very common in some business, once they win in their state they file to have that judgement reconised in your state.
It all depends on where the action took place to cause the suit

GenePoole · Dec 8, 2007, 12:12 PM

In some states, a business can't sue in small claims court, only an individual.

excon · Dec 8, 2007, 12:41 PM

Hello Gene:

In every state that I know of, a business can do anything an individual can do, except vote. That would include being able to sue in any court.

Plus, I can't think of any reason why some states would bar them from doing so.

excon

GenePoole · Dec 8, 2007, 03:04 PM

Hello excon,

My answer was too short. What I meant to say was that some states require a corporation to be represented by an attorney in small claims court. I think probably all states require it in regular court but in small claims I think some require an attorney and some (probably most) don't. Yes, that's quite different from what I said. When CCJ referred to an "agency" I was thinking it probably is a corporation. If the agency needs to hire an attorney (if so or not in S.C. I don't know), it may not bother for a small amount of money (and once again, I'm making assumptions--CCJ didn't say he might be sued for money).

Gene

ccjhavock · Dec 14, 2007, 09:55 AM

Originally Posted by excon

Hello cc:

If they did business with you in the state of SC, then they can sue you there. Certainly, if they're not permitted to do business in SC, that would be a good defense.

However, it's not as simple as that. Given the world wide access of the internet, not every company that you do business with is going to be registered in every state.

It's really going to depend on what you did, how state law is interpreted by the judge, and the quality of your lawyer.

excon

The corporation in question is a debt collector that has bought a written off debt from the credit card company that I owed money to. However the collector is not registered with my states attonery general, therefore I believe they cannot legally do business in my state. The lawyer that is suing me is registered in the state. Secondly I am not officially doing business with them, because I have not entered into any arrangement with them. Can I then use the defense of "standing" against them?

excon · Dec 14, 2007, 10:09 AM

Hello again, cc:

Sure, but I don't know if it will hold up.

Yes, some of these sleazebags collection agencies buy old debt for pennies on the dollar and hope some schmuck will fall for their intimidation tactics. Who knows how far they'll go and how much they're willing to spend on a maybe?

The same can be said for you. Like I said, I don't know how it will turn out. IF they're serious, and take you to court, and you lose, then your gamble won't have paid off. Not only will you owe what they want NOW, but you'll have legal fees and court costs lumped on too.

You know more about them and the history of the debt than I do. Plus, I don't know how much it's for. It could be $56 for all I know.

excon

GenePoole · Dec 14, 2007, 07:38 PM

If you owe the debt fair and square, pay it. If you feel you don't owe it at all, fight it on principal. If something in between (like maybe you bought a $500 item on credit and ended up paying $600 already and still owe $500), then settle with the debt collection agency. As excon said, they didn't pay much for the debt they bought. Continuing with the example I pulled out of my air, if they bought a $500 debt for $100 and you offer them $200, they come out ahead. That's how they make money, that and the times people get intimidated and pay the whole thing. As excon said, it's a gamble. What's an assured outcome worth to you?

If you fight it on principal and lose and owe the whole thing plus court costs and maybe legal fees, keep in mind that the judge doesn't make you fork over the cash in the courtroom. What the collection company gets is a judgment--another debt it has to try to collect from you. It's one that's a whole lot easier to collect, and an outstanding judgment is not a good thing to have, but it still has to be collected.

Here's the best legal advice I have ever received: Settle.