QUESTION
Can a law firm sue me and garnish my wages for a federal crime?
Asked on Feb 21st, 2013 on Bankruptcy - Kansas
More details to this question:
I bought some furniture back in 2005 and shortly after that, I lost my job and could not pay my credit card. I am being sued by a law firm now that says it is a federal case and they can get a warrant for my arrest and garnish my wages for 25 percent if I do not show up to court.
7 ANSWERS
Family Attorney serving Henderson, NV
at
Harris, Yug & Ohlinger
Update Your Profile
A debt by itself does not make it a federal crime and a run of the mill debt should not result in a warrant. I would suggest you take this to a lawyer in your state.
Answered on Feb 25th, 2013 at 4:48 AM
Insurance Attorney serving Redlands, CA
at
Orrock, Popka, Tucker & Dolen
Update Your Profile
Your wages may be garnished if there is a judgment against you whether the judgment is federal or state. If you fail to obey a court order to appear in court or if you are suspected of committing a crime, you may be subject for arrest. You cannot be arrested for defaulting on a loan.
Answered on Feb 25th, 2013 at 2:12 AM
Bankruptcy Attorney serving Phoenix, AZ
at
Law Office of D. L. Drain, P.A.
Update Your Profile
You seem to be mixing criminal with civil. If you do not pay the debt then the credit can sue you. If they get a judgment they can garnish certain assets which are not exempt. Each state has a different exemption list. If the creditor gets a judgment they may order a debtor's examination. If you fail to appear that the examination the court can enter a bench warrant. Perhaps you should talk to a good bankruptcy attorney. Please understand that bankruptcy is a very complicated process. It is wise to talk to an experienced bankruptcy attorney before deciding to take this important step.
Answered on Feb 25th, 2013 at 1:32 AM
They cannot do this. It is an ethical violation for a law firm to make such a statement. It also violates federal law.
Answered on Feb 25th, 2013 at 1:12 AM
That behavior is likely a violation of the Fair Debt Collection Practices Act. No reputable firm should threaten arrest. You should contact a lawyer who specializes in suing debt collectors as soon as possible to determine your legal rights.
Answered on Feb 25th, 2013 at 1:02 AM
Debt Collection Attorney serving Chicago, IL
Partner at
Edelman, Combs, Latturner & Goodwin, LLC
2 Awards
1. Unless you are served with a summons and complaint, you are not being sued. Generally this is done by a sheriff's officer or process server, sometimes by certified mail. 2. Failure to pay a debt is not a crime. You cannot be arrested for not paying a debt. The only way you can be arrested in connection with a debt collection case is if a judgment is entered against you, a court enters an order requiring you to appear and testify about your assets, or turn them over, and you fail to comply with the court order, in which case you may be arrested for contempt of court. 3. Garnishment is limited to 15% of an amount in excess of the minimum wage. 4. The statute of limitations in Illinois is five years for a bank credit card and four years for a contract for the sale of goods. If you defaulted on a debt in 2005 or 2006 you cannot successfully be sued for it, and it is a violation of the Fair Debt Collection Practices Act for a debt collector to even file such a lawsuit. The four or five years is extended by payments that you make. 5. There are numerous scammers who get information about old debts, call people on the phone, and threaten them with dire consequences such as arrest. They should be reported to the local police, the Federal Trade Commission, the state Attorney General, and the Consumer Financial Protection Bureau. Never provide banking or other personal information to such persons or pay them money. If you have given them account information, stop payment and change the account.
Answered on Feb 25th, 2013 at 12:58 AM
Bankruptcy Attorney serving Overland Park, KS
at
Wellman Law LLC
Update Your Profile
This sounds like it could be a scam. This doesn't sound like something that would be litigated in federal court. Have you received any paperwork from any court? If you have been served with an Order to Appear in Aid of Execution (or the like) it should tell you the consequences. If you are leery of this, which you should be, you need to find out where this case is filed and verify the information straight from the courts. If this "law firm" calls again or you are able to get a hold of them ask for the case information (location, case number). If they refuse to give you good information it's probably a scam. In Kansas, if someone does in fact have a judgment against them and the person brushes off Orders to Appear in Aid of Execution, then yes that can be an arrest able offense as contempt of court and generally wages can be garnished at 25% as well, so that part is possible, the whole story just leaves some questions.
Answered on Feb 24th, 2013 at 11:45 PM