Author Topic: Got served by Gault Financial, LLC in Tennessee  (Read 3973 times)

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green23

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Got served by Gault Financial, LLC in Tennessee
« on: February 20, 2007 08:14:42 AM »
Help!

I just got served recently and the plaintiff is Gault Financial, LLC (as assignee of the OC) and the court date is only 6 weeks away.  I'm not sure what I should do first.  The amount they are claiming I owe is $10000 - perhaps up to a third of that has been tacked on since I stopped being able to pay it.  My last payment was probably back in '02 and it looks like I'm still within the SOL.   I know I'll need to get my credit report to find out exactly when the last activity was.  A little research found that Gault is listed as a debt buyer.  I'm not sure how much wiggle room that will afford me.  Should I send them a letter to validate the debt or is it too late for that?  Like I said, I've been researching the heck out of everything I can in an effort to relieve some of my anxiety but a of of what I've read is conflicting.  Adding to all that, I owe an additional $15,000 in other unsecured debt plus my car note.  I really got in over my head. :(
« Last Edit: February 20, 2007 08:23:31 AM by green23 »

Shiek Yabuty

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Re: Got served by Gault Financial, LLC in Tennessee
« Reply #1 on: February 20, 2007 12:58:31 PM »
Is this the first time they have contacted you?
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klinked

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Re: Got served by Gault Financial, LLC in Tennessee
« Reply #2 on: February 20, 2007 02:16:13 PM »
What is the name of the atty office?
What kind of debt was the alleged original debt?
Who was the OC?


And as Shiek says- is this the first contact from Gault?
Did I mention that we bought a house? and the dishwasher and freezer and oven were all ruined when the ceiling fell in from the slow leak in the bathtub and we had to tear up 1/2 the kitchen floor-

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Rottweiler

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Re: Got served by Gault Financial, LLC in Tennessee
« Reply #3 on: February 20, 2007 03:03:03 PM »
It appears this would be the first contact; the summons and complaint would give enough information to allow the plaintiff to be researched.  Knowing who the OC was might help, at least as far as knowing whether the debt buyer might be able to get enough documentation to prove the debt in court; the type of debt is essential.  It's not important who the attorney is, and it may be "safer" for the OP to not identify the law firm at this time.

If the first contact was within the 30 day period, a DV would help in one respect, if the law is followed:  It would delay the case until the verification is obtained and forwarded.  However, since the OP has been served, answering the complaint would be necessary anyway, with the information sought in Discovery if the Rules so allow.  In this case, because of the demand amount ($10G's +), it's likely this is not a Small Claims case (in most states, it would not be).  If it IS a Small Claims filing, the OP can almost certainly motion the court to move the case to the regular court docket; they should do so right away.

However, is it really necessary to fight this one?  No, I am not asking the OP to be a doormat for a JDB!  Just look at what they have told us already:  The OP owes more than $10 grand on this debt, plus another $15,000 in unsecured debt, plus their car note!  In other words, it's likely this person owes $35,000 or more...I suspect a lot more.  The debt being sued on defaulted in 2002...around five years ago; most of the rest of the financial mess probably dates to about the same time.  Unless their income is really good now (and garnishable) and/or there are significant assets that can be seized or sold to pay judgments/debts, taking a default and then discharging the judgment (and the other debts) in BK may be a real option for them.
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Flyingifr

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Re: Got served by Gault Financial, LLC in Tennessee
« Reply #4 on: February 20, 2007 03:32:08 PM »
OP -

You need to read the Flyingifr Method - NOW. pay particular attention to:

"They Have an Attorney - now the fun starts"
"Chain of Custody - the JDB's Achilles Heel"
BTW-the Flyingifr Method does work. (quoted from Hannah on Infinite Credit, September 19, 2006)

I think of a telephone as a Debt Collector's crowbar. With such a device it is possible to pry one's mouth open wide enough to allow the insertion of a foot or two.

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green23

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Re: Got served by Gault Financial, LLC in Tennessee
« Reply #5 on: February 20, 2007 07:48:19 PM »
Wow...lots of info here.  The original creditor was National City Visa.  All of the debt (except for the car note) is around 5 years.  Unfortunately, in TN the SOL is 6 years so even if I settle and make arrangements or get garnished (ugh) the other CC company can still come after me before the SOL is up.   in TN small claims is up to 25k.  I have been tossing around BK as a real option but I don't realy want to do that - I'm 32 and would like to be in a position to own a home before I'm in my 40's.  I'm guessing I shouldn't bother contacting the the OC that served me and asking if they can take what I can afford to give them right now - 15-20% of the total and rather saving that money to file BK (in the likely very real event that they get a judgement against me) after I go to court...thoughts?
« Last Edit: February 20, 2007 07:53:28 PM by green23 »

Rottweiler

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Re: Got served by Gault Financial, LLC in Tennessee
« Reply #6 on: February 20, 2007 08:02:17 PM »
National City is no longer in business, if memory serves me correctly.  In any case, attack the chain of custody...I bet they have nothing.  Also, check the Rules to see if you can have the case moved to the next higher court, and move the court to let you do that if you can.

BTW:  Even if you did declare BK, you could still own a home before you are 40, if you handle it right; a lot of people have bought homes just a year or two out of BK. I would not recommend that, but that's just me.
“This is a court of law, young man, not a court of justice."
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green23

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Re: Got served by Gault Financial, LLC in Tennessee
« Reply #7 on: February 21, 2007 01:21:46 AM »
Hey thanks for all the help.  I can say that I'm not a jittery bundle of nerves like I was yesterday.  I'm prepared to go to court (for the first time) and see this through.  I am not sure how all of this will work, though.  When I appear will the case be decided then?  Will I be made aware of what evidence they have to prove that the amount of the debt is legitimate and not out of SOL? Will that even matter?  I'm not sure what Discovery is and if/when I will be in that phase.  In the meantime, should I follow up with a DV and/or make a settlement offer after I've reviewed the information (provided it looks like enough for them to get a judgement)?

Mischievous Smurfy

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Re: Got served by Gault Financial, LLC in Tennessee
« Reply #8 on: February 21, 2007 01:36:03 AM »
OK ... 

Read the Rules of Civil Procedure for the court you will be in ...  you can try looking in the regional boards.
You should be asking for Admittions and Discovery ...

Admitions are where you ask them to state a fact as they know it ...  for example ... When was the last Payment Made on this alleged debt?  (It's ALWAYS alleged debt , the debt I allegedly owe, etc.  everything is alleged until they prove it)

Discovery is where you ask for  things ...  a copy of a full accounting record of this alleged account or alleged debt..
copies of the assignment to each JDB in the chain of custody.. (See Fly's post on the JDB's achilies (however its spelled) heel in court...)

This is where and how you find out what they can prove and what they can't prove... remember ... they are counting on you not showing up and winning by default ... on just thier word that you owe them a debt ...

You may be limited on how many items of discovery or admittions you can ask for ...
You may have time restrictions on requesting it ...
You may have to file everything with the clerk AND send to the plaintiff ... and vice versa
You may not have to file everything with the clerk but motions ...  it all depends on the rules where you are ...

You and They WILL have a time limit to answer discovery and admittions ...  keep up with your deadlines and thiers ... if they miss one ... file for a dismissal and/or motion the court to compel them to cooperate.... also keep in mind that if you miss a deadline they WILL be filing a motion for default judgment against you ...

Generally speaking ... NOW is the time for discovery .....
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why are we requesting validation instead of disputing???  Why Why Why

green23

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Re: Got served by Gault Financial, LLC in Tennessee
« Reply #9 on: February 21, 2007 04:03:00 AM »
Thanks, Smurfy...I've read the Rules for Civil Procedure in my state and through all the legalese, I am unclear about how to get information.   
Do I need to file an "Answer" first and then make subsequent filings for information requests or can I simply send them a letter asking them for pertinent information such as date of the last activity,full account history, etc?

Mischievous Smurfy

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Re: Got served by Gault Financial, LLC in Tennessee
« Reply #10 on: February 21, 2007 04:14:40 AM »
Oh Sheesh ... yes file an answer ... then move on to discovery ...  they should be seperate...

You should try and comply with formality as best you can ... but being a pro se defendant the court is not likely to draw and quarter you over a misstep.

Discovery likely does not have to be in any specific form ... see above ... but you need to send it to them CMRRR and find out what if anything needs to be filed with the court.
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why are we requesting validation instead of disputing???  Why Why Why

CreditFighter

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Re: Got served by Gault Financial, LLC in Tennessee
« Reply #11 on: February 21, 2007 04:17:03 AM »
Yes, you need to send them an answer first.  Take special note on how long you have to send that answer.  Here in NY, if you're personally served, you have only 10 days to file the answer...  I don't know what the case is in TN...
CA's that have settled:  7
Settlement funds received (FDCPA):  $8500.00  (TCPA):  $9500.00
Negative TL's removed:  4
Amount of money paid on my alleged debts by CA's: $7324.00
Intent to Sue letters currently outstanding: 0
Cleaning my credit at the expense of dirty, violating CA's:  Priceless

Rottweiler

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Re: Got served by Gault Financial, LLC in Tennessee
« Reply #12 on: February 21, 2007 04:40:02 AM »
Thanks, Smurfy...I've read the Rules for Civil Procedure in my state and through all the legalese, I am unclear about how to get information.   
Do I need to file an "Answer" first and then make subsequent filings for information requests or can I simply send them a letter asking them for pertinent information such as date of the last activity,full account history, etc?

The Answer comes first.  Always.  That normally tells the court you are contesting the Plaintiff's case; you state any defenses or counterclaims you may have in the Answer.  (This filing is always done if you wish to avoid a default due to not answering.)  If there are no defenses or counterclaims available to you,  you must file admissions as your answers; since a JDB owns and has sued for the alleged debt, this will NOT be the case.

Discovery is presented in a specific format, which is NOT in the form of a letter.  The format tends to be relatively simple:  Header with the information about the case as it appears on the summons and complaint, then the questions with space to answer them, and  a signature block with a "certificate of service" attached.  The OP should look at sample Discovery if they can find it, and/or check a forms book to make sure that local rules are followed.
« Last Edit: February 21, 2007 04:44:41 AM by Rottweiler »
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Mischievous Smurfy

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Re: Got served by Gault Financial, LLC in Tennessee
« Reply #13 on: February 21, 2007 05:31:27 AM »
LOL ... yes listen to Rotty, Fly and E. Normis on procedural issues ...

My thing is caselaw and thats what I know the most about ...  Procedure ... eeeeeeeee not so much....


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