Paying off a contract

The payment plan is in his contract. Oops didn't read that part or any part to be honest but now oh poor me

 

Ok, lets not keep going on with the "But it's a contract!!!" thing.

Contracts are only valid if they're fair and legal.

Example: You cannot enforce a contract that requires a party to complete an illegal act.

Example: I'm stupid, but confident. I'm pretty sure I'm going to be worth millions in a year so you and I make a contract to sell me your bicycle for $1,000,000, to be paid in 3 years, since I'm pretty sure I'll be rich by next year. No court is going to enforce that contract. Contracts, to be valid, must be reasonably equal in dividends to both parties.

Now, I'm not saying this contract is illegal or not fair. We haven't seen it. I'm just stating fact. So as much as I believe a man should stand by his word, lets stop with the whole contracts are sacred thing.

What I was saying before is, if this guy is only making say $700/week to live and feed his family, making him pay $200/week is unreasonable and I'd put my money on it in court.

For informational purposes, I'm quoting Maryland contract law. Other states may have slightly altered provisions, except the legality part. No state can enforce illegal actions stipulated in a contract.


Ed

 

The fact that he has a contact has NEVER been in dispute. You need to brush up on your reading skills, you know "put brain in gear before opening mouth"

 

They can't get you fired from a job but you'll also never beat that crap price you agreed to. You can refinance it to lower the payments but their interest is already built in.

 

Just go ahead and take the better job. Don't be afraid of bad credit by not paying debts. Scare tactics are just that. When the collectors call just ignore them. When they send letters, shred them. When you get served and sued this is the negotiation time, settle with the lawyers out of court for a lump sum about $0.10 cents on the dollar. They rather get something than nothing. That's even if it gets that far. Some states, if they don't sue within x amount of time the most they can do is keep it in collections. But if they cannot get ahold of you in a year, 7 years later you have pristine credit again.

 

The op has never stated why after training he suddenly feels the need to bail on the company. You should also brush up on your reading skills. We can just agree to disagree. I hope the best for the op but I hope the company gets the $ they deserve for the time and money they have invested in him.

 

I think the company got what they deserved.

 

This is BEYOND terrible advise. Intentionally destroy your credit? You going to want to buy a new car or expensive used one anytime in the next couple years? Get an apartment or mortgage a house? How about the countless higher paying job that includes a credit check for numerous reasons?

Aside from this level of stupid advise lets correct whats wrong about it. Revolving debt (credit cards, etc) stays on for 7 years, INSTALLMENT DEBT (loans) stays on for 10 years not 7. Aside from that the 7 and 10 year time frames START when the account goes into collection, NOT from when you acquired it. Plus, it's not even that cut and dry because after the first collection agency gives up on you they'll sell it to another one, which mean different account #, different debt. The clock will reset on you! Ask anybody that has destroyed their credit, you will have the SAME original debt pulling down your credit multiple times.

STUPID STUPID STUPID!
You've already f'd up, do what you gotta do but do NOT destroy yourself by taken idiotic advise like this. You WILL pay the price for it (many times over) if you do.

 

We already went over the fact that this contract was written and reviewed by a lawyer.

I know your trying to make a point, but both those examples are far from this case.

To overturn any contract you have to have exceptional and extenuating circumstances. Since this contract was clearly written by a lawyer, weather we reviewed it or not, I am more then confident it will hold up in court.

I wouldn't and I would not advise this guy to test it. Listen if the guy cannot afford $200 a week to pay his debt, how in the hell is he going to pay a lawyer. And a lawyer is what he needs because he cannot even read a contract before signing it.

You fail to get what will happens here. He defaults on the contract and does not pay his $200 a week as he agreed to, they will, by terms of the contract, the will attach a 33% collectors fee on top of the loan and sell the contract to a collection company. Those are all terms he agreed to in the contract.

After he defaults they will tarnish his credit, with non payment of a contract loan for a decade. And the collection company will hound him for years.

You seam to imply the law is going to step in renegotiate a lower payment plan for this fellow. Sorry, their are no loan and contract cops. If he wants a lower loan payment, he will have to default on this contract, accept the collection fee and renegotiate with the collection company that buys the contract from trucking company. Buy that time he will have quite a scar on his credit rating and will be paying a collection fee to both the trucking company and the collection company.

Of course at that point he can hire a lawyer of his own and sue the trucking company for having a onerous payment plan in their contract. The burden of proof will be fully on him. I am guessing the retainer for that suit will start around $10,000 and go up from there. In about 10 years time he should have the preliminary verdict, and another 5-6 after first appeal. Should he win, and I doubt he will, he may collect back his the collection fees accessed by the trucking company and collections company. Good luck with that.

 

Actually the OP said that 200.00 is what they would "ask" for, without knowing the terms of the agreement it's difficult to say what they can demand. Be honest, when you bought your car or house did you read the whole agreement? or did you just look at what you pay and the costs of the loan? did you look at the default terms? I bet you didn't.