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Is There a Statute of Limitations on Tuition Debt to a State University

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  • 08-03-2017, 09:16 AM
    Surefine
    Is There a Statute of Limitations on Tuition Debt to a State University
    My question involves collection proceedings in the State of: South Dakota

    -Can the State of South Dakota suspend my Drivers License on a debt that is over 6 years old to the Board of Regants?
    -The original debt was to SDSU for tuition, I withdrew from the university due to medical reasons. I worked with the school over 7 years ago and they decided I did not owe the money and now 7 years later the new "South Dakota Obligation Recovery " sent me a letter saying I could lose my drivers license, any Game Fish and Parks License and the ability to register my vehicles. I had a flood in my basement and the documents were lost.
  • 08-04-2017, 09:05 AM
    Mr. Knowitall
    Re: Is There a Statute of Limitations on Tuition Debt to a State University
    The six year statute of limitations should apply to any effort to collect the debt through a lawsuit. See South Dakota Code, Sec. 15-2-2, 15-2-13. However, what you are describing is not a lawsuit, but is instead an administrative enforcement mechanism for the collection of debts owed to the state. I have not found anything in South Dakota's laws that would prevent it from imposing administrative penalties on a debtor who owes money to the state, even if the debt itself is no longer enforceable through a lawsuit.

    A similar type of situation can arise even with private companies. For example, if you default on a utility bill and later try to open an account with the same company, even if the statute of limitations has run on the prior debt they may tell you that you will not be allowed to open the account until you have paid off your past balance. The key is that the enforcement mechanism they are imposing is not judicial -- it's not a lawsuit, so the statute of limitations does not bar their action.
  • 08-06-2017, 06:52 PM
    Surefine
    Re: Is There a Statute of Limitations on Tuition Debt to a State University
    I could see the university not allowing registration until paid but the University its self just seems like it should not have that type of consequence.
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