Being sued by a collection agency for old bills.

[Shawn]

I just have been served a summons by a collection agency for a hospital bill that is over 3 years old. This collection agency claims that the hospital has assigned all their rights and interest to them.

What is the status of the limitation for filling such a law suit in California?

The plaintiff alleges that this lawsuit is not subject to the provisions of C.C. 1812.10 and C.C. 2984.4; What are those provisions means.

Thank you for your help.

 

[Michael Wechsler]

Originally posted by Shawn
I just have been served a summons by a collection agency for a hospital bill that is over 3 years old. This collection agency claims that the hospital has assigned all their rights and interest to them.

What is the status of the limitation for filling such a law suit in California?

The plaintiff alleges that this lawsuit is not subject to the provisions of C.C. 1812.10 and C.C. 2984.4; What are those provisions means.

Thank you for your help.

TITLE 2. CREDIT SALES
CHAPTER 1. RETAIL INSTALLMENT SALES
Article 12.3. Actions
California Civil Code Section 1812.10

1812.10. An action on a contract or installment account under the provisions of this chapter shall be tried in the county in which the contract was in fact signed by the buyer, in the county in which the buyer resided at the time the contract was entered into, in the county in which the buyer resides at the commencement of the action, or in the county in which the goods purchased pursuant to the contract have been so affixed to real property as to become a part of that real property.
If within the county there is a municipal court, having jurisdiction of the subject matter, established in the city and county or judicial district in which the contract was in fact signed by the buyer, or in which the buyer resided at the time the contract was entered into, or in which the buyer resides at the commencement of the action or in which the goods purchased pursuant to the contract have been so affixed to real property as to become a part of that real property, then that court is the proper court for the trial of the action. Otherwise, any court in the county, having jurisdiction of the subject matter, is the proper court for the trial thereof.
In any action subject to the provisions of this section, concurrently with the filing of the complaint, the plaintiff shall file an affidavit stating facts showing that the action has been commenced in a county or judicial district described in this section as a proper place for the trial of the action. Those facts may be stated in a verified complaint and shall not be stated on information or belief. When that affidavit is filed with the complaint, a copy thereof shall be served with the summons. If a plaintiff fails to file the affidavit or state facts in a verified complaint required by this section, no further proceedings shall be had, but the court shall, upon its own motion or upon motion of any party, dismiss the action without prejudice; however, the court may, on such terms as may be just, permit the affidavit to be filed subsequent to the filing of the complaint and a copy of the affidavit shall be served on the defendant. The time to answer or otherwise plead shall date from that service.

 

[Michael Wechsler]

Re: Re: Being sued by a collection agency for old bills.

California Civil Code
Section 2984.4. (a) An action on a contract or purchase order under this chapter shall be tried in the superior court in the county where the contract or purchase order was in fact signed by the buyer, where the buyer resided at the time the contract or purchase order was entered into, where the buyer resides at the commencement of the action, or where the motor vehicle purchased pursuant to the contract or purchase order is permanently garaged.

In any action involving multiple claims, or causes of action, venue shall lie in those courts if there is at least one claim or cause of action arising from a contract subject to this chapter.


(b) In the superior court designated as the proper court in subdivision (a), the proper court location for trial of an action under this chapter is the location where the court tries that type of action that is nearest or most accessible to where the contract, conditional sale contract, or purchase order was in fact signed by the buyer, where the buyer resided at the time the contract, conditional sale contract, or purchase order was entered into, where the buyer resides at the commencement of the action, or where the motor vehicle purchased pursuant to the contract is permanently garaged. Otherwise, any location of the superior court designated as the proper superior court in subdivision (a) is the proper court location for the trial of the action. The court may specify by local rule the nearest or most accessible court location where the court tries that type of case.

(c) In any action subject to this section, concurrently with the filing of the complaint, the plaintiff shall file an affidavit stating facts showing that the action has been commenced in a superior court and court location described in this section as a proper place for the trial of the action. Those facts may be stated in a verified complaint and shall not be stated on information or belief. When that affidavit is filed with the complaint, a copy shall be served with the summons. If a plaintiff fails to file the affidavit or state facts in a verified complaint required by this section, no further proceedings may occur, but the court shall, upon its own motion or upon motion of any party, dismiss the action without prejudice. The court may, on terms that are just, permit the affidavit to be filed subsequent to the filing of the complaint and a copy of the affidavit shall be served on the defendant. The time to answer or otherwise plead shall date from that service.

 

[Michael Wechsler]

I don't know the specifics of the transaction but I would doubt that the statute of limitations expired with regard to collection. Brief research indicates to me that it may be as low as four years but there are all types of factors such as when the statute begins to run, e.g. four years from the date of the default rather than four years from the date you made the loan. Regardless, it seems that this may fall within the statute of limitations. You can plead that as a defense but it might not help you.