No Repayment Terms

[Yawa_Worht_A_Se]

What is the name of your state (only U.S. law)? Virginia

My question involves collection proceedings in the State of: Virginia

A real quick law question for anyone who can help.

I live/work in Virginia. I used to work for a small company. Very long story short, they do some pretty shady stuff that is not always by the books, so I am wanting to see what my options are in the following scenario. I thank you all in advance for your advice.

Background: Two years ago I was offered a tuition reimbursement plan if I signed a Terms&Agreements document (which I signed, but it was not notarized). Basically, the TA document states that I have to work for the company for 2 years from the time of graduation or pay the full amount back to the company. NOWHERE in the TA document does it state terms of repayment, timelines, interest, schedule of payments etc. They reimbursed me a total of $XXXX, but I ended up leaving the company 1 year after graduation, thus I have to pay the full $XXXX back.

Problem: I am wanting to make monthly payments of $YYY until they receive back the full $XXXX. They are wanting the full $XXXX by the end of the year or else they will start charging me interest on the outstanding amount.

Question: Can they legally charge me interest and legally demand the money by the end of the year? Can I legally make the $YYY monthly payments with no repercussions?

I have NO problem paying the money back, but I cannot pay the full $XXXX back by the end of the year. Thus the monthly payments of $YYY.

Even if yall could point me in the right direction for online law sites, books, case examples, etc I would appreciate it! Thank you

 

[cbg]

If you are asking whether or not there is a law you can invoke that will force them to allow you to make monthly payments, there is not.

Likewise I don't know of any law that prohibits them from charging interest, although the terms of the original agreement may make a difference.

Whether your signature was or was not notarized does not, in this matter, make one whit of difference.

 

[Dave1952]

To add to CBG's good advice, if they take you to court for the repayment of the tuition and win (likely) they'll be awarded court costs, the tuition, and the legally mandated interest rate which is 6%, I believe. Your credit report may also take a hit. It may be wise to pay this bill.
While it's not clear how much you owe, unless $YYY represents 20% or more of your debt the company should not do it. You've already shown them that you aren't to be trusted over the long term.

 

[single317dad]

To add to the previous answers, in case you're still not clear:

- A notary simply verifies that the person signing the document is who they say they are. Their endorsement is not legally binding nor exceptionally useful. Your signature can be proven by other methods.

- If there are no terms of credit, then payment in full is due, just as it would be at your local supermarket. Your terms as put forth would be acceptable only if the creditor agrees to them. When the court levies a judgment against you, the judge will likely order some kind of payment arrangement.

 

[latigo]

. . . . . . . . . If there are no terms of credit, then payment in full is due, just as it would be at your local supermarket. . . . . . . . When the court levies a judgment against you [sic], the judge will likely order some kind of payment arrangement. (?)

Would you care to explain how a judge in issuing a money judgment could do as you above describe, i.e., "order some kind of payment arrangement" and not be violating Section 10 of Article I of the United States Constitution and if venue in Virginia, also Section 11 of Article 1 of the Virginia Constitution?! To-wit:

"No State (General Assembly) shall . . . . . . pass any . . . . . . Law impairing the Obligation of Contracts . . . . ."

You correctly acknowledge that with no "terms of credit" provided in the agreement, the refund of the tuition is immediately due and payable in full upon breach of the agreement.

Yet you are saying that a judge can independently create "terms of credit" and force the judgment creditor to accept "payment arrangements"?

Obviously you know little or nothing of the subject as what you have suggested would be a direct assault on those constitutional provisions that were designed to preserve the sanctity of contract.

 

[single317dad]

Would you care to explain how a judge in issuing a money judgment could do as you above describe, i.e., "order some kind of payment arrangement" and not be violating Section 10 of Article I of the United States Constitution and if venue in Virginia, also Section 11 of Article 1 of the Virginia Constitution?! To-wit:

"No State (General Assembly) shall . . . . . . pass any . . . . . . Law impairing the Obligation of Contracts . . . . ."

You correctly acknowledge that with no "terms of credit" provided in the agreement, the refund of the tuition is immediately due and payable in full upon breach of the agreement.

Yet you are saying that a judge can independently create "terms of credit" and force the judgment creditor to accept "payment arrangements"?

Obviously you know little or nothing of the subject as what you have suggested would be a direct assault on those constitutional provisions that were designed to preserve the sanctity of contract.

You are correct; I misspoke, or rather my statement was not complete and therefore possibly misleading.

What I should have said was "either at the time of the judgment or during a subsequent proceedings supplemental hearing, the plaintiff will question you as to your assets, income, and ability to pay, then will very likely request that the court order either lump sum asset seizure and/or regular payments either directly or through garnishment, which the court will very likely order."

 

[Proserpina]

Would you care to explain how a judge in issuing a money judgment could do as you above describe, i.e., "order some kind of payment arrangement" and not be violating Section 10 of Article I of the United States Constitution and if venue in Virginia, also Section 11 of Article 1 of the Virginia Constitution?! To-wit:

"No State (General Assembly) shall . . . . . . pass any . . . . . . Law impairing the Obligation of Contracts . . . . ."

You correctly acknowledge that with no "terms of credit" provided in the agreement, the refund of the tuition is immediately due and payable in full upon breach of the agreement.

Yet you are saying that a judge can independently create "terms of credit" and force the judgment creditor to accept "payment arrangements"?

Obviously you know little or nothing of the subject as what you have suggested would be a direct assault on those constitutional provisions that were designed to preserve the sanctity of contract.

I believe you jumped in just a smidge too quickly on this one.

Kind of like what you did with that Florida GPV "opinion" you gave.