For a friend: "authorized user"

[single317dad]

What is the name of your state (only U.S. law)? IN

In breach of rule #1, I ask a question for a friend.

He is a truck driver. He worked for 7 years for a hazardous waste company that is now out of business. He drove their trucks under their authority and was paid as an employee.

A credit card company has sued him as an "authorized user" of a card that was used only for fuel and repairs to company trucks. The company has completed bankruptcy so the original creditor (card company) is now pursuing my friend exclusively.

While he claims that someone in the office handed him a card "for company use only", I believe the issue runs deeper than that. I believe he has signed some document years ago that made him responsible.

Assuming said document exists, is the only avenue to force the company to produce it prior to trial to demand it in the discovery/production of records process? The actual complaint, of course, is very thin, but I believe it is more solidly based than he does.

I'm currently trying to convince this man who spends 3 weeks at a time on the road to feed his family that he's going to have to take some time off and hire an attorney. Thanks.

 

[xylene]

KISS (Keep it simple... shipper)


"Buddy, they are pursuing you. If you are being sued, then if you ignore it you lose. They get a default judgment and your money. It won't go away."


I don't know how much time this guy needs to take off, if any, but consulting a lawyer would be a good idea.
Handling this could be as simple as an effective cease and desist letter.

 

[single317dad]

"Buddy, they are pursuing you. If you are being sued, then if you ignore it you lose. They get a default judgment and your money. It won't go away."

Yeah, I pretty much opened with that. I think it helped get him from "This is not my problem" to "It sucks that this is this my problem when my last paycheck from them bounced."

 

[Mark Maroon]

He is a truck driver. He worked for 7 years for a hazardous waste company that is now out of business. He drove their trucks under their authority and was paid as an employee.

A credit card company has sued him as an "authorized user" of a card that was used only for fuel and repairs to company trucks. The company has completed bankruptcy so the original creditor (card company) is now pursuing my friend exclusively.

While he claims that someone in the office handed him a card "for company use only", I believe the issue runs deeper than that. I believe he has signed some document years ago that made him responsible.

I assume that when you say that the trick driver was an "authorized user" of the credit card you mean that as far as the credit card company is concerned the truck driver was an "authorized user" of the credit card and that he was NOT a joint cardholder (see http://www.bankrate.com/finance/credit-cards/sharing-credit-card-accounts-1.aspx).

I assume that there is a separate legal written agreement between the truck driver and the company that he worked for that says the truck driver is personally responsible for charges made using the credit card.

Given the above assumptions, I would say that the credit card company has no standing to sue the truck driver because: (1) someone who is an "authorized user" of the card, but who is not a "joint account holder", cannot be held liable by the credit card company for the charges and (2) the credit card company was not a party to the contract between the truck driver and his former employer regarding who pays for charges on the credit card.

Given the above assumptions, I would say that the truck driver's former employer would have standing to sue him for the charges.

The above is just my opinion - the truck driver should definitely get the opinion of a good attorney and as others have said, should ignore the situation in the hopes that it will get better on it's own or go away on it's own.

 

[LdiJ]

I assume that when you say that the trick driver was an "authorized user" of the credit card you mean that as far as the credit card company is concerned the truck driver was an "authorized user" of the credit card and that he was NOT a joint cardholder (see http://www.bankrate.com/finance/credit-cards/sharing-credit-card-accounts-1.aspx).

I assume that there is a separate legal written agreement between the truck driver and the company that he worked for that says the truck driver is personally responsible for charges made using the credit card.

Given the above assumptions, I would say that the credit card company has no standing to sue the truck driver because: (1) someone who is an "authorized user" of the card, but who is not a "joint account holder", cannot be held liable by the credit card company for the charges and (2) the credit card company was not a party to the contract between the truck driver and his former employer regarding who pays for charges on the credit card.

Given the above assumptions, I would say that the truck driver's former employer would have standing to sue him for the charges.

The above is just my opinion - the truck driver should definitely get the opinion of a good attorney and as others have said, should NOT ignore the situation in the hopes that it will get better on it's own or go away on it's own.

I fixed it for you.

 

[Mark Maroon]

I fixed it for you.

That's what happens when I try to think before coffee. Thank you!!