June 22, 2011

Company billing for service 5 years after purchase

Dear Consumer Ed:

Is there a time limit as to how long from the time of service a company can bill someone?  For example, I received a service in 2006 and was just now billed in 2011.

Consumer Ed says:

There is no general rule that dictates when a company must bill for a service rendered, (although there may be exceptions for specific industries, such as interstate moving companies or medical bills). However, if you have a contract for the service you purchased, you should check it to see whether it specifies the billing terms. If the contract states that the company was supposed to bill you by a certain time, and it failed to do so, then you may not have to pay the bill. 

If there is no written contract, or if the contract does not mention a billing period, you may still have some legal recourse, depending on the factors involved. The best thing to do is to speak promptly to an attorney to find out what your rights and obligations are.

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