When does clock stop ticking for "statute-barred"

drunk_monk

Hi,

I have just received a 40.02 notice from Belgard solicitors. My question is when does the clock stop ticking in terms of the statute-barred time limit? The reason I ask is that the debt will be 6 years old this October but has the clock now stopped on that now as I have received the 40.02 document?

Thanks,

DM

https://www.boards.ie/discussion/2058249615/when-does-clock-stop-ticking-for-statute-barred

Why would they send a 40.02 if statute barred. Did you read if from where it says "if you dispute the claim" etc

blueythebear

"Stature barred" refers to the statute of limitations 1957. If the debt (unsecured) is over six years old and has not been acknowledged as per the act then if legal proceedings issue then you would have a defence that the debt is statute barred.

In this case, the 40.02 notice is a district court summons for a debt claim. They have issued proceedings prior to the 6 year time limit expiring so the 6 year anniversary in october is not relevant as proceedings have issued already.

Claw Hammer

The clock stops when the proceedings are issued. In the case of a debt, even if it has become statute barred, the statute can be reset by a written acknowledgement or a part payment.

Being statute barred is only a pleading point and a creditor is entitled to start proceedings after the 6 years (or 12 in the case of a contract under seal). If the 6 the statute is not pleaded the creditor can obtain judgement.

drunk_monk

Thanks for your answers guys. As I hadn't heard anything from them for years (I believe the last time I spoke to them was in 2016 and my last payment was September 2016) I have registered my defence with the court and have also requested all the documents they mentioned in their papers from them via form 42.06. It only cost me €15 for the court plus registered post so not much and I'll see what happens from here on.

ohnonotgmail

https://www.boards.ie/discussion/comment/119209766#Comment_119209766

so you have acknowledged the debt again? that restarts the clock.

drunk_monk

https://www.boards.ie/discussion/comment/119214809#Comment_119214809

Please can you explain what you mean by this as I haven't acknowledged the debt, my defence is that I do not owe the money. I have to register a defence otherwise it'll go to court and they will get a judgment, at least that's how I understand it.

ohnonotgmail

https://www.boards.ie/discussion/comment/119221590#Comment_119221590

It was a question not a statement. Is your defence that you don't owe the debt or that it barred somehow?

Dempo1

https://www.boards.ie/discussion/comment/119222485#Comment_119222485

I actually do not believe either correspondence from OP solicitors or indeed from and to the court restarts the clock. These communications are subject to privilege.

It's only if OP actually acknowledges the debt even inadvertently by communicating either electronically or in writing with Belgard or have made even a partial payment towards debt after 2016.

OP It's important to understand Statue barred defence is not always accepted by the court , they'll examine the merits of such a defence very carefully. I fear to many people rely on it without fully understanding it.

You don't say Belgard actually issued proceedings and I'd have waited until they did so, no amount of letters they send retarts the clock as long as they are not responded to. (I'm not advocating for avoidance of debt incidently) bit understand there are many reasons for debt.

Finally, worth pointing out the debt remains on your credit report until such time It's cleared , how it's record is updated on a credit report if a successful defence has been achieved, I'm unsure.

Belgard and Cabot are probably the best known entities when it comes to Debt recovery in Ireland, Cabot being the purchaser of Debts (amongst others) Belgard bring the legal representation etc. And I've seen many reports on Boards and elsewhere of them making contact years after a Debt has been purchased .

The claim/ debt is very VERY much alive & "in time". That defence of " I do not owe the money" is very whimsical.....

The simple/ honest question to ask yourself is " do I have an unpaid debt???". Unless you have clear correspondence showing all debts have been honoured you're on a bit of a 'sticky wicket' because, & you KNOW this, Belgard will have correspondence indicating the debt remains outstanding.

Dempo1

https://www.boards.ie/discussion/comment/119222614#Comment_119222614

Hi Ken, just curious if there's no direct acknowledgement of the debt (it's unclear) and I know the defence is often misunderstood, given its dated 2016 and assuming no acknowledgement made , is the defence not a possibility albeit very difficult to get it accepted by a court.

I agree with your other sentiments

The problem I see particularly with Belgard /Cabot is they sit on these debts , sometimes for years , I get their strategy, just seems an extraordinary way to go about dealing with historical debt .

https://www.boards.ie/discussion/comment/119222646#Comment_119222646

See, the OP says " I have registered my defence with the court"....... that correspondence turns a 'straw man' into a defendant with a case to answer.

Belgard/ Cabot ( any debt collection agency really ) ...the 'business model' is all based on getting a return / a result...... very rarely is/ will there be an expectation of settling to 'full' value....... say they bought the debt at 40cent in the euro........a 60cent/ euro is a 50% WIN in their eyes. Using "statute barred' as a defence can turn out to be David v goliath stuff.

Dempo1

https://www.boards.ie/discussion/comment/119222686#Comment_119222686

A i see now yes, it's correspondence through, To and from OP" s solicitors that would not reset the clock but a court filing of a notification of defence essentially acknowledges the debt. Obviously a solicitor would only be corresponding to Belgard if a Summons was issued to appear in court.

As I mentioned earlier, it was unclear if Belgard had actually issued a summons or proceedings, it would have been wise for OP to respond to either via legal representation, they seemed to have just gone ahead and lodged a notice of defemce with court (obviously their entitlement) but by no means gaurenteed of success.

https://www.boards.ie/discussion/comment/119222731#Comment_119222731

These things are generally best sorted out via " NEGOTIATION" long before anyone seriously mentions court

Dempo1

https://www.boards.ie/discussion/comment/119222764#Comment_119222764

Absolutely 👌

drunk_monk

https://www.boards.ie/discussion/comment/119222764#Comment_119222764

I received form 40.02 last month which gave me 2 options (A) Dispute the claim - 28 days in fill in and return form 42.03 or (B) Pay the amount. Previous to the 40.02 I got a demand letter sent in October last year (which I put to one side and forgot about). Before that the last correspondence I got from them was a statement of account sent to me in September 2016, nothing in between. I choose option (A) with my defence being that after a telephone conversation I had with them in October 2016 (after paying a DD for 3 years) the debt as cleared and therefor I do not owe what they say I owe.

I requested via form 42.06 the Statement of Accounts, the Demand Letter plus also copies of the Terms & Conditions, Deed of Assignment and Deed of Transfer. These are the documents that are mentioned in form 40.02. The return letter I got from Belgard says they have passed on my request to Cabot. It also mentions the call I had with them in September 2016. I have now requested this phone recording via form 42.07.

Let me be clear here, I thought this debt was cleared, I haven't been ignoring letters or phone calls as there have been none (aside the one in October). However I have no documented proof that the debt was cleared, it was a phone call, so if I end up having to pay what is left of this debt so be it but I'm not going to bend over backwards and make it easy for them.

DM

Dempo1

https://www.boards.ie/discussion/comment/119223114#Comment_119223114

I've not personally suggested you ignored letters and from your explanation it would seem Belgard had issued proceedings 🤔 so yes you've obviously done the correct thing re the courts requests .

What is a little confusing is the inability to prove the debt was cleared, are you saying you've no record of repayments over 3 years 🤔. Surely even if you've changed banks that information, statements can be requested. Is it a case that despite the repayments, the full debt was not discharged ?

I do wish you well in the defence , I just found it hard to grasp how there was no correspondence for years and suddenly proceedings issued , which I'd have assumed you would have been aware of before receipt of forms and options from the court.

Proof of repayment of the debt will be crucial, regardless of the Statue Barred defence, which actually wouldn't be even required if proof of debt repayment was available in the first place. A record of DD Must be available even if an old bank.

drunk_monk

Yes I have proof of the DD payments up to what I thought was the final one in September 2016. Looking through my account there are no returned DD after this date. It's as if my account got reactivated October last year out if the blue for some reason. We shall see what happens and give let you know the outcome.

Dempo1

https://www.boards.ie/discussion/comment/119223291#Comment_119223291

Good and best wishes with it .

https://www.boards.ie/discussion/comment/119190054#Comment_119190054

Hi everyone, I've just got my credit report and the credit card debt from early 2001 still appears on it stating legal proceedings as the current credit status.

The last contact I had with Belgard solicitors was early 2018 where the issued what looked like a bogus legal summons.

How can I check to see if this summons was legit. I have since moved house and have received no further communication from Belgard.

Many thanks for any advice.

https://www.boards.ie/discussion/comment/119244878#Comment_119244878

" they issued what looked like a bogus legal summons" ???????? What does that even mean????? If you've moved house all proceedings didn't just disappear when you moved.... most likely you got served at previous address. What baffles me is how you came to think/ assume the 2018 summons was 'bogus'

Claw Hammer

Go to the District vCourt office it purportedly came from and ask to see the original.

If it was a genuine summons they would have got judgement against you long ago.

https://www.boards.ie/discussion/comment/119272518#Comment_119272518

Thank you Claw Hammer for you advice, very much appreciated.

macvin

https://www.boards.ie/discussion/comment/119244878#Comment_119244878

ah come on "it looked like a bogus summons" - so you ignored it even though you knew that you had a credit card debt and the outstanding amount was in that region.

It will stay on your credit record for 6 years AFTER it is settled.

That's why you should never ignore any legal correspondence or demand letters despite what some agitators will tell you. Remember these people who say do not negotiate don't give a toss that it ruins your credit record for many many many years.

As above, negotiate negotiate negotiate. They WILL do deals and once you are reasonable, they can be very reasonable too. But play games and they really won't give a toss and will very quickly dig in and not negotiate.

drunk_monk

Hi,

After sending in my plea and request for copy of documents I received a letter from Belgard informing me that they had passed these on to Cabot and are awaiting further instruction from them. This letter was dated June 13th and I have heard nothing since. Does anyone know how long it typically takes to get a response from Cabot??

Thanks,

DM

drunk_monk

Hi all,

Sorry to resurrect this but it's been over 1 year and I've had no correspondence from either Cabot or Belgard. Does anyone have advice on what my next steps should be? Does the 40.02 registration at the district court that Cabot did last June expire, is it 12 years?

Thanks,

DM