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INFOLAWYER
INFOLAWYER, Attorney
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How long does a company have to bill you past the original service date

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Back in 2004 signed a service contract for a Visa Machine under an Oregon corporation operating in Washington State. After a few months we terminated the Visa contract and had not heard anything until a month ago saying we owed over $200 for the service that we had canceled. They say they have no record of the cancellation. But since that time we broke off the business relationship with the Oregon corporation and created a new corporation in Washington. I do not have the EIN relating to the old business and they will not let me do anything without the new tax ID. I don't think that we or the old company owe the money, and especially since this company has waited such a long time to bill. The only reason I am concerned is that it impacts my credit negatively.
Submitted: 5 years ago.
Category: Business Law
Expert:  INFOLAWYER replied 5 years ago.

what is your question?

did you cancel in writing?

is the visa application only in the business name or also is there a personal guaranty?

Customer: replied 5 years ago.

I did not cancel in writing I did not know I had to since the rep. from West Coast Bank set up the account and said he would take care of the termination.

 

As far as the personal guaranty I am not sure. I would imagine that would be affirmative since everything in business still runs off of someones social security number until the company is big enough that it can stand on it's own credit.

 

I guess my question is how long after they said they have provided the service to you, do they have to bill you for the service?

 

The reason I ask is that my business does a service for the State. If I do not bill within 90 days after the service I cannot bill at all. I am wondering if this applies to other companies as well.

Expert:  INFOLAWYER replied 5 years ago.

The billing depends on the industry practice so if you did not get a bill for 3 months you can raise defenses of waiver and laches, but practically if the service was rendered and a lawsuit filed a court would likely press for settlement.

Customer: replied 5 years ago.

The bill didn't show up until 4 years later and no purchases were ever put through on the machine. Nothing was ever processed as we never had a need to use it. Therefore it sat collecting dust until the bank rep. came and got the machine.

 

 

Expert:  INFOLAWYER replied 5 years ago.
In that event the waiver/laches defenses are strong, and you can further argue no services were actually rendered and that their conduct is unreasonable and not in line with industry practice plus remember to cite to the date of the oral cancellation by specifying the person you spoke with, time spoken and what was said.
Customer: replied 5 years ago.
What I am more concerned about is even if I pay this they will not close the account becuase I cannot give them the EIN that it was set up under. We parted ways with them in 2005, so I cannot access the account.
Expert:  INFOLAWYER replied 5 years ago.
You can get the EIN from the tax authorities and can subpoena such information if needed. The acoc**t cannot linger open and if you provide proof the corporation is dissolved and no operating that should be more than sufficient for the company as well as for a court.
INFOLAWYER, Attorney
Category: Business Law
Satisfied Customers: 51125
Experience: LICENSED BUSINESS LAWYER
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