Can an Attorney Sue for a Debt Owed Past Seven Years?

Perhaps the last person that an individual wants to run up a debt with is an attorney. While some creditors may not be aware of the collection methods available to him, the debtor can assume that an attorney will be well versed in all the legal options he has to get paid for his services. An attorney will be legally able to file suit to receive payment of the money owed him so long as the debt has not exceeded the state's statute of limitations.

Legal Fees

Generally, attorneys bill clients after their services has been rendered. This is because, unless the attorney has agreed to represent client for a flat fee in advance, the attorney will not be able to calculate the cost of his services until after the case has concluded. Usually, attorneys will have clients sign contracts in advance detailing how much the attorney will be charge and when the client must pay by.

Debt Collection

If a client incurs a debt to an attorney, this debt resembles any other outstanding debt, such as one incurred through a loan. In seeking to be repaid, the attorney has all the options afforded to any creditor. This includes filing suit against his client for breach of contract. However, if too much time has elapsed since the bill was due, the attorney may be forbidden from filing suit by a statute of limitations.

Statute of Limitations

Each state has its own statute of limitations, one that places a time limit on when a creditor can pursue collection of a debt. The exact amount of time after which a debt can no longer be collected will depend on what type of debt it is. States generally have different statutes for different types of debts. In some states, the statute for unpaid bills will be shorter than seven years: In this case, the attorney's fee would not be collected.

Considerations

In most states, the statute of limitations will reset if the status of the debt changes. This means that if a person makes partial payment of a debt, the statute of limitations will reset. So, it a debt goes unpaid for several years and then the debtor makes a payment on it, the statute of limitation will restart from the beginning. In this way, an unpaid debt can be collected well past the original statute of limitations period.