I understand the Texas statue of limitations on consumer credit card debt is 4 years, but was told it was 2 years on business-related. Any truth to that? I was just served a citation named as co-defendant on old LLC debt and looking for options.
No. You best advice is to hire a LAWYER.Banks have the power of the purse behind them.
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Breach of Contract matters have mostly a four year SOL in Texas, with some strange exceptions (promissory notes come to mind).
AVVO is a general forum for discussion purposes only. My answers, comments, ideas, approvals and endorsements do not constitute legal advice, opinions or even suggestions, as I do not have enough facts and you are not my client. As well, my response is with respect to only the laws of the State of Texas. Hire an attorney in your location if you want assistance upon which you may rely.
The statute of limitations is four years on a credit card debt, but it is often difficult to determine when limitations begins to run. In any event, that is not your only defense.
Credit card debts are sued on in the hope that the debtor will default. It is extremely difficult to prove up credit card debt if it is contested. Rarely will the debt collector have sufficient documentation to prove the amount owed. In addition, there is often a violation of the Fair Debt Collection Practices Act which entitles you to file a counterclaim. This puts the credit card company in the position of not only possibly losing the claim but having to pay you statutory damages and attorney's fees. For these reasons, it is quite common for the credit card company to dismiss their case once it is contested.
If you are being sued by a debt buyer (someone to whom the debt has been assigned) as opposed to the actual credit card company, your case is even stronger.
You should contact an attorney who is board certified in consumer law to discuss your options.
It depends on the cause of action being sued for. If you go to Google and type in statute of limitations Texas it will provide you with list and you can look for yourself
There is no separate statute of limitations for personal/individual debt versus a debt owed by a business. That said, there are different causes of action that one might be brought as part of a garden-variety debt collection case, and those other causes of action might have a shorter limitations period. For example, some debt-oriented cases might include an alleged violation of the Texas Deceptive Trade Practices Act or perhaps the torts of conversion or negligence. Those other causes of action "are" governed by a two-year limitations period.
The take-home here is "What exactly does the debt arise from?" If it's a clear-cut breach of contract case, it's four years all the way. But if it's something less distinct than an amount unpaid per contract, other causes of action might be in play.
I suggest you consult further with an attorney for a definitive answer. My guess is you have a distinct answer within 5-10 minutes of conversation. A comparatively nominal charge for the consultation is entirely worth the peace of mind you'll emerge with.
The statute of limitations is generally 4 years. There are certain claims that are limited to 2 year statutes of limitation, but they are not as common as a straight-up breach of contract claim that carries a 4 year statute of limitations in Texas.
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