Received attorney summons for debt collect

[Mountain girl]

What is the name of your state? Colorado

My 19 yr old daughter had surgery, under a program by the State of Co for folks who do not have health ins, and can't afford ins. We were covered by this program. I called to find a Dr who would take this program, found one who scheduled the surgery and told us the program would cover the hospital, doctor, and all doctor fees. I verified this with them verbally (not in writing, my mistake). A couple of months after surgery, the Dr office sent us a bill for $155.00. I wrote them back explaining we shouldn't owe them anything. (My mistake for not following up again). Their records show they tried to call me to let me know the $155 was for a Dr visit and not covered, but they could not reach me by phone. I never received the call. Didn't hear from them again, but they turned me in to a collection agency. I can't find ever being notified by mail. It looks like they sent notices to my physical address, but I do not receive mail, only at my PO Box. (The post office returns everything mailed to my physical address, as we live in the mountains and there aren't enough boxes for everyone in this area to have mail delivered to them). They did contact me via phone, and I explained that I was told all expenses would be covered and to please check with the Dr office. (Stupid me!) I really did not think this was a ligitimate charge. $155.00 is not alot for some people, but at that time I didn't have the payment to make. I did not hear from them again. (this surgery occurred in 12/04) A few days ago, someone hand delivered an attorney summons with a court date listed. I called the attorney office and they were incredibly rude, said I owed it no matter what and that the judge would automatically find in their favor. I need to know if this is true. Also, the attorney office had sent some correspondence to my physical address, which I of course we never received. I don't think she believed me when I told her we couldn't get mail, only at the PO Box which they didn't use. So until the hand delivery of the summons, we had no idea any of this was going on.

I have an option to file an answer (which costs $43.00) prior to the court date with a reason why I do not agree with this judgement. As the debtor, do I have a chance with the judge? I can understand the judge ordering someone to pay a ligitimate debt, but we really did not think we owed it. And were unware all this was going on. Had I known what a mess it would be, I would have made payments in the first place to pay it. Is this considered ignorance of the Law?? I need to know what someone else thinks.

Thank you.

mountain girl:

 

[Chien]

(Most amazing of this is that they've filed suit over a $155 debt. Even adding costs and interest, I wouldn't expect this to be more than around $300 now. Amazing.)

Don't know the coverage of your program, but you refer to the obligation as an "uncovered visit". If that's so, or even if it isn't but you don't respond and prove it, yes they will get judgment.

No more discussion of where they should have mailed. It even could be that they were permitted to serve by certified mail and they couldn't send that to a PO Box. The important thing is that you must address the lawsuit or a default judgment will be entered.

Without forgetting that and that there is a time limit, consider the bill itself. I realize all things are relative, but that includes the cost of litigation. Your filing fee is almost 1/3 of the original bill. Then, if the visit really was covered, even if you file an Answer, you're fated to have a judgment against you anyway.

If you're now convinced that it was not covered, my suggestion would to get back to them (try to get another person, because she doesn't believe your mail status and, therefore, your credibility) and try to work out a settlement for payments over time. Your "financial pie" is only so big. The part of you must use to file could also go to reducing a significant portion of the debt. One hopes that both you and they recognize this. If they don't, explain it to them. Then try to make an arrangement that includes relieving you of the cost and obligation to file. It will be by dismissal or Stipulation. Be sure that you get written proof that your obligation to the Court has been suspended or eliminated. It doesn't sound as if you're dealing with the brightest stars in the sky.

If you still think that the visit was covered and want to try to defend yourself, every court has some mechanism that will allow you to file at no cost, based on a showing of financial hardship. (And if you have to resort to that, let them know that too. It should tell them how good their chances of recovery actually are.)

 

[Mountain girl]

Reply to Chien

I hope this reply gets to you. Thanks for your advice. I really would like to be able to pay the original debt, but don't think it is possible. I will try to call and get someone else. Otherwise, will offer a response to the complaint tomorrow when I visit the courthouse and see what happens. I called the court today, but they said I would need to come in to see what the next step is. My Post Office is going to provide me with proof that I can not receive mail at my physical address, but from what you said, that is a moot point! It just proves that the attorney's office is lying when they said they never received back the correspondence. I don't think they are going to back down now, because they want to recoop the cost of having the summons delivered to our home by courier. Oh well. So much for justice.

Thanks,

Mountain girl

 

[Chien]

If by "don't think it's possible" [to pay the original debt] you mean that you don't have the financial resources to pay $155 to $200 (considering nominal interest) over time, I'm not sure what advice to offer except that you let them know that (if necessary, offer copies of tax returns, financial statements filed to get into the medical program or to qualify for a court filing fee waiver, or anything that confirms your financial status). I think they will find that it's impossible to dismiss the case, having taken the step of filing, but something is needed to inject some reality into this situation.

If what you mean is that you don't think they'd accept anything less than their full demand, my advice would be the same, but for a different reason. If someone doesn't see that it will cost them more to take, perfect and maintain judgment rights than they could recover for their client by some compromise agreement, they are too stupid to remain a part of the gene pool and should be taken out and shot for their understanding of their fiduciary responsibilities to their client.

(Never went there before in any of these forums. This is just aggravating on a professional level. I would hope and expect "one of them" to recognize what's going on.)

Judgments accrue interest (8% APR in CO) and can adversely affect you and your credit rating for a long time but, by being implacable, they are virtually gambling on being able to identify assets sometime in the future.

There is an old legal maxim that the law disfavors a frivolous act. To me, turning a blind eye to your situation is a frivolous act on their part.