Served today on balance paid in full

[twistedsister]

Last May I was a patient at the hospital. After my insurance paid I still owed around $3000.00. I called to make arrangements with the hospital, which they stated were unacceptable. I tried to explain, I could only make a small yet reasonable monthly payment for a few months, then pay the balance in full. Well they sent me to collections. I was contacted by a CA in November, I believe, I will have to look back through my papers to confirm. I told them the same, I could make a small monthly until a future date at which time pay balance in full. I also requested they stop adding interest as the hospital does not charge any. They refused to stop charging interest and my offer. After that initial contact, I haven't had any other contact from them. I paid the balance in full to the hospital the first of February. Today I received papers. I am to file my answer within the 14 day allotted time and appear in court the first week of May. I feel as if once I show proof of payment to the Judge all will be over, however, I have learned the hard way, even if it seems cut and dry there is always a hitch. So, I am asking for advice. What would you do? Thanks!!!

[Sandscrit]

Did the hospital give you a receipt that shows the amount paid in full? Did you send the CA a copy of the receipt? You must file an answer before the dead line or face a summary judgment. If the other side is filing a lawsuit with full knowledge that a debt has been satisfied, the oppising counsel and plantiff are asking for big trouble from the court.

[twistedsister]

I have the cancelled check. I did not send anything to the CA. Should I just say "paid" on my answer and attach a copy of the check? And, of course show up at court on specified date. As to the the trouble they could face, please expand on this. What can I do, what should I do. OH, how I would love to see this bite them, they had me served at work...

[twistedsister]

I just called the hospital and inquired as to what was going on. The lady I spoke with said, yes they show paid in full. She called the CA and then called me back. She stated they filed January 23, I paid in full to the hospital on February 7. It seems the CA is suing for interest in the amount of $207.31 since they filed in January but I didn't pay until February. WTH!

[Clydesmom]

I just called the hospital and inquired as to what was going on. The lady I spoke with said, yes they show paid in full. She called the CA and then called me back. She stated they filed January 23, I paid in full to the hospital on February 7. It seems the CA is suing for interest in the amount of $207.31 since they filed in January but I didn't pay until February. WTH!

I would file a motion for summary dismissal because the agreement with the hospital does not provide for interest on the unpaid debt it is actually possibly illegal. check with a consumer attorney they may not be able to bill you for this or sue. You might also talk to the attorney about filing a counterclaim for them illegally suing you for the debt and adding the interest.

[twistedsister]

Thanks Mom! So I should file this motion along with the answer? I was thinking I had read it was illegal to sue knowing the debt was paid, and/or suing for interest. The CA tells the lady at the hospital they are suing for interest, but the summons I received states they are asking for balance(which is paid), plus prejudgement interest at 10 percent per annum as no other rate of interest was agreed upon, well duh, of course not, the hospital doesn't charge interest, and I never had any business dealings with the CA, plus the costs of filing this action for $76.00 plus applicable costs as allowed by the sate, plus costs of executing on the judgment if necessary. This really does smell to me and I think this CA needs someone to stick it to them, but do I have enough to do that?

[Clydesmom]

I would call a consumer protection attorney. Most do first consults for free. A simple phone call from one could send the CA and their case packing. Or they will help you craft the motion so it sticks.

 

The problem is you paid AFTER they filed so the suit was not frivolous on that day because the balance was still owed. However, before you even knew about the suit the OC accepted payment which means there is no more account to sue over. While you could do this yourself you have to REALLY study up on the case law and do it right or you lose and they get a lot more money.

[twistedsister]

Ugh! It is a never ending battle up hill to try to make things right! Thanks MOM for all your insight. My problem is finding a consumer protection attorney in my area, the closest I have found is about 2 hours away, and I haven't spoken with him, I just found his name last night through the NAA (something) website. I will contact him first thing in the am and see if he will talk with me and what if anything he will do. Thanks again! If anyone else has any input it would be welcome...