creating a new contract to replace the first
A Novation is a new agreement and is recognized in the law. The definition of Novation from Bouvier’s 1856 law dictionary illustrates:
NOVATION, civil law. 1. Novation is a substitution of a new for an old debt. The old debt is extinguished by the new one contracted in its stead; a novation may be made in three different ways, which form three distinct kinds of novations.
2. , The first takes place, without the intervention of any new person, where a debtor contracts a new engagement with his creditor, in consideration of being liberated from the former. This kind has no appropriate name, and is called a novation generally.
Your Novation Contract substitutes a new debt (zero) and a new engagement for the one claimed by the credit card company.
EVERY credit card company uses the novation contract process. Any time you get a Notice of an update to the terms and conditions of your credit card agreement, this update is in fact an offer to enter into a novation contract (a new agreement). When you use the credit card after receiving the new update, you have agreed to the new terms. Your act of using the card is an acceptance of the new agreement. How else could they change your credit card agreement? Insurance companies use this also, such as when you have a claim for $20,000 for damage and they send you $3,000.
YOUR CARD DISPUTE AND NOVATION
You can use the same process to enter into a new agreement with a card company, under your terms and conditions, by making the company an offer, which it can accept with an act. Simply, you send the card company a check for some amount, say $25, with the stated condition that by accepting the check, it agrees to your new terms and conditions (your Novation Contract). When the card company accepts the check by cashing it, it has agreed to your new Novation Contract. And you eliminate credit card debt in a simple, legal procedure. Get out of debt by using their law to your advantage.
Your notice of debt dispute and Novation Contract is designed to do the following:
(1) Bind your credit card company to the terms and conditions of your Novation Contract which include but are not limited to:
a) the cancellation of any and all prior in-force agreements;
b) its admission that the debt and all prior agreements are now paid in full;
c) its waiver of all claimed right of arbitration against you;
d) its obligation to report the account in dispute as “paid as agreed” to credit reporting agencies;
e) its agreement to not take any collection activity against you and to inform any assignees of the account that it has agreed that the account is “paid as agreed”;
f) the requirement that it verify under oath the amount of debt you allegedly owe in any correspondence to you; and
g) its agreement that any breach of the terms of the Novation Contract by them will injure and damage you and that it will be liable for all damages;
(2) Upon notice, bind any and all collection agents of your credit card company and third party collection companies to your Novation Contract;.
(3) Establish a legal basis for a claim of zero liability for the disputed credit card account;
(4) Establish a legal basis for declaring invalid any and all allegations of debt made against you that are associated with the credit card account and sent through the U.S. mails;
(5) Establish a legal basis for claiming injuries and damages should the credit card company or any collection agency breach the terms and conditions of your Novation Contract; and,
(6) Destroy any legal basis for the credit card company or any collection agent to ignore your card dispute and Novation Contract by your:
a) choosing and using a procedure permitted and recognized by contract common law, the Uniform Commercial Code, the Fair Debt Collection Practices Act, and the Fair Credit Reporting Act;
b) establishing the card company’s obligation and third party collector’s obligation to verify under oath the amount of any debt they allege you owe;
c) removing any controversy between your demand for verification of any alleged debt and any and all presentments by third parties containing unverified allegations of debt against you; and,
d) removing any presumption that you willfully avoided a known debt.
They are not stupid. They will not accept a check that you send "with the stated condition that by accepting the check, it agrees to your new terms and conditions (your Novation Contract)." When the card company rejects the check by not cashing it, it has reject to your new Novation Contract, and it will charge you a late fee because of your failure to send a check without conditions. And they keep you in credit card debt in a simple, legal procedure.
