Some customers have received responses to the Liberty letters with statements like the following: “When your account was opened with us and you used the credit card, you made a promise to pay for all goods and services provided through the related credit card transactions, as well as any associated fees. You renewed that promise each time you used your credit card.”
These customers have felt hurt, guilty, and accused by such statements, and have wondered how to respond. The key principle in law to be aware of in this context is this:
“Fraud vitiates the most solemn Contracts, documents and even judgments” [U.S. vs. Throckmorton, 98 US 61, at pg. 65]. That is a Supreme Court ruling, and it has never been overturned.
This means you can rely on the Supreme Court for your justification. When you originally signed the loan agreement, they had committed fraud by failing to disclose to you that they were not loaning any money at all, out of their accounts. They further failed to disclose to you that they were in violation of various lending acts and failed to perform under those definitions.
They play on your conscience, by avoiding answering to those allegations, and instead distracting your attention over to your so-called “promises” — just like a magician trick. DON’T FALL FOR IT!! If they had truly, genuinely, actually, and authentically loaned real money out of their accounts, DON’T YOU THINK THEY WOULD PROVE IT AND THE COURTS WOULD UPHOLD THEIR EVIDENCE?
Thus it is through no fault of yours that these facts were not fully disclosed to you at the time of signing. Since opening the account, YOU HAVE COME INTO NEW INFORMATION. Hence do not fall for their tear-jerking pull at your honest heart strings.
Why do you think the Liberty system has been undefeated? Why do you think it has never failed to eliminate the debts to which it is addressed, if the one implementing it followed its instructions totally and didn’t give up? Do you think this would happen if there were a genuinely moral, ethical, or legal obligation on your part to repay something?
Basically, YOU OWE NO RESPONSE TO THEIR DECEPTIVE STATEMENT at all. Just continue with the Liberty system, wherever you happen to be in following the Instructions and the Flow Chart.