Egg Loan Transferred to Arrow Global

[caspar]

Re: Egg Loan Transferred to Arrow Global

To possibly clarify things I've just found this:

"The burden of a contract cannot be assigned. It is therefore necessary to novate, rather than assign, certain contracts. Novation is, in effect, the rescission of one contract and the substitution of a new contract in which the same acts are to be performed but by different parties."

Putting my last post together with this one, it would appear to me that the debt can be assigned in absolute to Arrow Global. However, the burden of contract, being unable to be assigned, rests with Egg so you continue to argue over the contractual part with the FOS while paying Arrow Global.

Would people agree or am I putting 2+2 together and getting 5?

DS I'll never forgive you for this lol. It's doing my head in trying to find an answer for you!

[The Debt Star]

Re: Egg Loan Transferred to Arrow Global

Hello from Marrow letter attached

The DCA is Wescot

[caspar]

Re: Egg Loan Transferred to Arrow Global

2nd link not working for me!

[The Debt Star]

Re: Egg Loan Transferred to Arrow Global

Should now Caspar.

So, am I right in thinking that all of the advice given above ref breach of the OFT Guidance, AJA s.40, that they've wrongly initiated a rights transfer on a FOS adjudicated dispute and that I can send the letter is now all wrong?

That Egg can sell an account in prior dispute and even if it is with the FOS for adjudication?

That being the case there will be a lot of people out there who are going to have to seriously re-think the advice given on the forums ref DCAs and prior disputes.

[caspar]

Re: Egg Loan Transferred to Arrow Global

Hi DS,

I don't know - that's why I asked the question a few posts ago.

You can see the legislation for yourself. To me, but I am in NO WAY legally trained, I read that to suggest the OFT are correct (as indeed you would hope they would be). There may be guidance against selling a debt while in dispute, and your letter from the OFT states they would hope it wouldn't happen.

However, I have tried to help you by looking for law, not guidance. At the end of the day guidance is just that. Law is cast in stone (generalisation, but will do for this issue).

The law appears to reinforce what the OFT say, and the bit about not being able to assign the contract was totally new to me, I'd assumed Absolute meant absolute - they owned it as if they were the OC. Maybe that is not the case. Maybe they own all the legal rights to collect and enforce, but not the actual contract, hence it still being able to be with Egg as you are presumably disputing the contract.

I'd really like someone else to look at this. For God's sake don't take my interpretation of it as correct without confirmation from someone who knows better than me.

I know this isn't what you want, but I've tried!

A frustrated Caspar!

[The Debt Star]

Re: Egg Loan Transferred to Arrow Global

Nid, any views on this?

[The Debt Star]

Re: Egg Loan Transferred to Arrow Global

I'd assumed Absolute meant absolute - they owned it as if they were the OC. Maybe that is not the case. Maybe they own all the legal rights to collect and enforce, but not the actual contract, hence it still being able to be with Egg as you are presumably disputing the contract.

No, you miss the point. What I had always understood - admittedly without prior reserach of my own but based on what I read on the forums - was that a creditor could not assign a debt to a DCA if it was in prior dispute. My account is in glaring prior dispute and I have a ream of FOS letters to back that up.

So, are we saying that Arrow own the debt but cannot instruct Westcot to pursue it until the dispute is settled?

Is that the line of defence here, or am I flogging a dead horse with this one?

[caspar]

Re: Egg Loan Transferred to Arrow Global

Sorry DS, I think you have missed the point. I think the critical wording comes under Section 78 (6) CCA 1974. That is where it states that the OC cannot enforce the debt while disputed.

I think the crux of this is going to be the definition of that word "enforce." Is selling it seen as enforcement? In my opinion (but as I keep saying, only my opinion) assignment would not be defined as enforcement.

I think you have heard they cannot enforce a debt and possibly confused it with cannot assign a debt.

Just off to find my boxing gloves!

[garlok]

Re: Egg Loan Transferred to Arrow Global

Hi DS,

Casp has just asked me to look in and I've had a quick read through it. i need to get my head around this because I like many others had always assumed that any debt legitimately in dispute could not be assigned i.e. sold to another owner. There are certain circumstances here which may be why and how they are circumventing the OFT's guidelines on this.

I'll get back to you.

regards
Garlok

[The Debt Star]

Re: Egg Loan Transferred to Arrow Global

I like many others had always assumed that any debt legitimately in dispute could not be assigned i.e. sold to another owner.

Thank you. That is exactly the point I was making.

And also others above on this thread viz "cannot initiate a rights transfer" on a prior dispute.

[caspar]

Re: Egg Loan Transferred to Arrow Global

DS,

Would you say that if the new owner started processing your data it would or could cause you substantial damage or distress?

I would guess not, as the monies from a ppi settlement would be used to offset the debt.

From what I read the common argument against selling a debt while in dispute seems to be Section 10 of the DPA 1998. If section 10 does not apply to you, I am increasingly of the belief that they can sell it as selling would not constitute enforcement, but your dispute with Egg re ppi would remain.

The more I read the more issues potentially come into play, and cutting through these to the relevant stuff is difficult.

Have a read of the bits of legislation I've mentioned if you haven't already and see what you think. At the end of the day you have to make the decision so you need to be as informed as possible.

It will be interesting to see what Garlok comes back with.

[The Debt Star]

Re: Egg Loan Transferred to Arrow Global

Arrow have every intention of "enforcing" the debt they have just purchased from Egg: Wescot are on the way. "Hello" letter above refers; contained in the text of the NOA itself.

Section 10 may or may not be relevant; I do not know yet what Arrow intends to do or will do with my data.

[caspar]

Re: Egg Loan Transferred to Arrow Global

I'm sure they intend enforcing it. They wouldn't have bought it otherwise. But when, and in what way? Enforcement doesn't seem to be defined anywhere. They cannot enforce it while it is in dispute. Simple as. BUT what is enforcement? Many of us would like to think sending a letter asking for payment is enforcement, but I suspect it means enforce through the courts.

I do find it interesting that I came up with the bit about the DPA before I read the 2nd attachment mentioning processing of data. The usual tack using section 10 is to send a letter stopping them from processing your data as it may cause substantial damage or distress - hence my question above.

It makes you wonder if they are sort of expecting you to take this route.

You wait till I send you my invoice tomorrow! lol

[Never-In-Doubt]

Re: Egg Loan Transferred to Arrow Global

Hello from Marrow letter attached

The DCA is Wescot

Please load to site mate. We don't link to photophucket here

[The Debt Star]

Re: Egg Loan Transferred to Arrow Global

Casp, the adverse use of any data is always distressing and harmful.