At what point can you claim SOL for a lawsuit?

[vertekal]

The Florida SOL for contracts or written instruments is 5 years.

If a debt collector is trying to offer a settlement at 4 years and 10 months, and it was ignored, and now it's 5 years and 1 month later and they file a lawsuit .. is that considered to be past the SOL? 

In other words, at what specifc action must occur (sending a notice, stating that a suit is going to be filed, actually filing with the court, etc) in order to determine if SOL is a valid defense if the collector actually brings a case to court?

I hope that made sense ...

If the collector files a suit after 5 years, but tells the judge "we've been trying to collect for the past year with no success" .. will the judge simply say "too bad" ?

Finally, does the 5 years come with a specifc date? For example, if the DOFD is 12/5/2009, is the SOL date considered 12/5/2014? If they file suit on 12/6/2014 is SOL a valid defense?

Thanks!

[RobertEG]

SOL statutes are in terms of when legal action must be filed with the court.

The begn date for running of the SOL period varies by state, and is usually set as the "date of cause of action."

The action that permits a party to seek recovery is the consumer being in default on the account agreement payment date, and thus the date the account became delinquent, and has remained delinquent up to the time of filing of the action.  That is the same as the DOFD for credit reporting purposes.

However, some states base the begin of running of the period upon other dates, such as the date of any last payment on the debt.

Creditors and debt collectors cannot reset the running of the SOL period by simply making an attempt to collect on the debt.

Consult your state statute for details.

[Anonymous]

It's impossible to say for certain what a judge will do. Most likely, though, in the case you described, the case would be dismissed if the CA couldn't prove the SOL had somehow been tolled (how this happens varies by state). Odds are the judge would say "too bad", because SOL isn't how long they have to collect but how long they have to sue. They can continue to pursue you for the debt even after the SOL expires. If they know the SOL is expiring, they can't cry foul about it because they waited too long to lawyer up.

[Anonymous]

Your state statute will determine what date the time for  SOL runs.   BUT you are correct in saying if that date is 12/5/2015 and they file on 12/6/2015 it would be past SOL.   Dates are VERY VERY important in the legal profession......you would have a valid defense using SOL.   You still need to file an Answer with the court denying all allegations and claiming SOL is your defense - don't just assume the court will do it - they will enter a default judgment against you if you ignore the suit.

[Anonymous]

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@vertekal wrote:

The Florida SOL for contracts or written instruments is 5 years.

If a debt collector is trying to offer a settlement at 4 years and 10 months, and it was ignored, and now it's 5 years and 1 month later and they file a lawsuit .. is that considered to be past the SOL? 

In other words, at what specifc action must occur (sending a notice, stating that a suit is going to be filed, actually filing with the court, etc) in order to determine if SOL is a valid defense if the collector actually brings a case to court?

I hope that made sense ...

If the collector files a suit after 5 years, but tells the judge "we've been trying to collect for the past year with no success" .. will the judge simply say "too bad" ?

Finally, does the 5 years come with a specifc date? For example, if the DOFD is 12/5/2009, is the SOL date considered 12/5/2014? If they file suit on 12/6/2014 is SOL a valid defense?

Thanks!

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I agree with the others

The DoFD is the date that governs everything and the action of filing with the courts is what is required to fall within the SOL.

And I would most definitely make a positive defense of the SOL if they did attempt a suit after that date, even if it meant personally appearing before the judge.

You still need to consider settling the debt, but unless you are doing a PFD, I would consider the debt to be 'devalued' because of its age and that they cant use the courts to get payment.  I would consider 50% of the original amount, maybe even less.  After it is past the 7 year mark and will roll off your CRs, it should be of even lesser value, like 20 to 25% tops.  Even when it rolls off your CRs, it is still a valid debt if it remains unpaid.

If you plan to go for a new mortgage or major credit, you might consider settling it sooner.  During a manual review, most mortgage UWs require a debt to be settled, or at least in a mutually approved payment plan.

HTH