Consumer complaint received 2017-05-05 00:00:00
Product: Debt collection — Mortgage debt
Issue: Attempts to collect debt not owed — Debt was already discharged in bankruptcy and is no longer owed
Company: SELECT PORTFOLIO SERVICING, INC.
State: OH

Complaint narrative:
This complaint stems from a decade-old foreclosure case, and specifically involves the attempted collection of a 'dormant ' mortgage debt.     Ohio law is crystal clear that when a debt is not 'executed upon ' or 'renewed ' within a five-year period, the debt is considered dormant, and the lien is extinguished.     Ohio law further defines the 'execution ' of debt to as " a process of court, issued by its clerk, and directed to the sheriff o f the county.  '' (  XXXX .  XXXX  ).     In my case, there was no 'execution ' as defined above, nor a 'certificate of judgment ' renewed during the period of time from  XXXX   XXXX ,  XXXX  through  XXXX   XXXX ,  XXXX .     As such, the Summary Judgment issues by the  Court of Common Please  became dormant on  XXXX   XXXX ,  XXXX .     Nonetheless, on three occasions since that time - specifically  XXXX   XXXX ,  XXXX ,  XXXX   XXXX ,  XXXX , and  XXXX   XXXX ,  XXXX  - the alleged Plaintiff in my case file a Praecipe Order of Sale with the Court in what amounts to an attempt to collect a debt that I currently do not owe as a result of the statutorily-imposed dormancy.     The specific statute is Ohio Revised Code   2329.07, which codifies when a Judgment may  become dormant : ( A ) ( 1 ) If neither execution on a judgment rendered in a court of record or certified to the clerk of the court of common pleas in the county in which the judgment was rendered is issued, nor a certificate of judgment for obtaining a lien upon lands and tenements is issued and filed, as provided in sections 2329.02 and 2329.04 of the Revised Code, within five  years from the date of the judgment or within five years from the date of the issuance of the last execution thereon or the issuance and filing of the last such certificate, whichever is later, then, unless the judgment is in favor of the state, the judgment shall be dormant and shall not operate as a lien upon the estate of the judgment debtor.
One bankruptcy judge has e  xplained the operation of these statutes as follows from In re  XXXX ,  XXXX    XXXX    XXXX ,  XXXX  (  XXXX .  XXXX  Ohio  XXXX   XXXX  : Execution and dormancy statutes are to be strictly construed.  XXXX   XXXX   XXXX ,  XXXX  Ohio  XXXX   XXXX ,  XXXX ,  XXXX   XXXX   XXXX ,  XXXX  ( Ohio  XXXX   XXXX  ;  XXXX    XXXX   XXXX   XXXX   XXXX     XXXX   XXXX   XXXX   XXXX   XXXX   XXXX ,  XXXX   XXXX   XXXX .  XXXX   XXXX ,  XXXX   XXXX   XXXX ,  XXXX   XXXX   XXXX  ) ;  XXXX   XXXX .  XXXX ,  XXXX   XXXX   XXXX ,  XXXX   XXXX  Okla.  XXXX  ).     Section  XXXX  sets forth the only means in Ohio for preventing a judgment from becoming dormant. The clear language of the statute requires the issuance of execution or a certificate of judgment before expiration of the original five-year period to prevent dormancy.     Section  2329.07  provides that in order to extend the effectiveness of a judgment beyond the initial five year period there must be either execution or the issuance of a new certificate of judgment before expiration of the original execution or certificate of judgment.     As a result of the above, the law is clear that the judgment is dormant, and any action to collect on the debt is a violation of state and federal law.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation