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Consumer Law Keyed to Whaley, 9th Ed.
Tatis v. Allied Interstate, LLC
Citation:
882 F.3d 422 (2018)Facts
Michelle Tatis incurred a debt of $1,289.86 to Bally Total Fitness Holding Corp. over ten years before this action. On May 18, 2015, Allied Interstate, LLC, a debt collection agency, sent Tatis a letter stating that the creditor was willing to accept payment of $128.99 “in settlement of this debt” and that she could take advantage of this settlement offer if payment was received or another mutually acceptable arrangement was made within forty days. At the time Allied sent this letter, the six-year New Jersey statute of limitations applicable to debt-collection actions had already expired, rendering the debt unenforceable through legal action though the underlying obligation remained valid.
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