Applying the Supremacy Clause for US Debts

The "supremacy clause" refers to the "preemption doctrine," which says whether a state law takes precedence over a federal law or vice versa. This is about how power works and how state and federal laws are enforced. State rules vs. federal rules can help you figure out how to collect debts and what the laws are, and the Supreme Court often steps in to clear things up when there are disagreements.  

This clause can be a powerful tool for consumers looking to fight debt. Most collection agencies or debt collectors are unaware of these protections, and they are a powerful tool.  For instance, if a state has passed a law that places a shorter statute of limitations on certain types of debt than what is required under federal law, then the consumer can use the US Supremacy Clause to challenge the debt collector's claim.

Understanding how the US Supremacy Clause can protect your rights as a consumer is essential for anyone dealing with debt collectors. Knowing your legal rights and using the U.S. Supremacy Clause to your advantage can help you fight back and ensure the laws most favorable to you are applied.

In terms of debt, there is often confusion as to whether the law to consider is a state or federal law and which one will finally rule. The Supremacy Clause in the Constitution explains that federal law always trumps state law, which means federal law always wins if there is a conflict between the two. If there is no conflict, then state law will be used. Still, the federal rule would prevail if there was any question or conflict between the two readings affecting borrowing and property matters.

A common purpose will be if the federal Fair Credit Reporting Act offers more protection than a state fair credit act. The law with the most protection for you will rule. Explore the interpretation of the Supremacy Clause.

Quick Facts About the Supremacy Clause

  • The Supremacy Clause is found in Article VI of the United States Constitution.

  • The clause states that the Constitution, laws, and treaties of the United States are the supreme laws of the land.

  • The clause is the basis for the doctrine of preemption, which holds that federal law preempts state law in the event of a conflict between the two.

  • The clause has been used to invalidate state laws that conflict with federal laws or treaties, including laws that interfere with the federal government's ability to regulate interstate commerce.

  • The clause has also been used to invalidate state laws that conflict with the Constitution, such as those restricting freedom of speech or the right to bear arms.

  • The clause has been used to invalidate state laws that are discriminatory or that violate the Equal Protection Clause of the Fourteenth Amendment.

Where there is conflict, use the Supremacy Clause for Debts

The Supremacy Clause itself does not directly address or support people regarding U.S. consumer debts owed. However, it establishes the precedence of federal and state laws when there is a conflict between the two. In the context of consumer debt, federal laws such as the Fair Debt Collection Practices Act (FDCPA) and the Truth in Lending Act (TILA) provide certain protections for consumers and regulate the practices of debt collectors and creditors. If state law were to conflict with these federal laws, the Supremacy Clause would ensure that federal law takes precedence.

For example, the FDCPA tells debt collectors how and when to contact consumers and what information they must provide. It also says they can't collect debts through abusive or dishonest methods. If a state law allowed debt collectors to be more aggressive or abusive, the Supremacy Clause would ensure that the federal FDCPA rules took precedence. This would protect consumers even in states with fewer strict rules.

The TILA requires lenders to provide clear and accurate loan terms and costs, making it easier for consumers to compare credit offers and understand their borrowing decisions. If a state law allowed lenders to provide less transparent or misleading information, the Supremacy Clause would again protect consumers by prioritizing federal TILA standards.

Sample letter to a debt collector using the Supremacy Clause

[Your Name]

[Your Address]

[City, State, Zip Code]

[Date]

[Debt Collector's Name]

[Debt Collector's Address]

[City, State, Zip Code]

Re: Account No. [Your Account Number]

Dear [Debt Collector's Name],

I am responding to your recent communication regarding the debt you are attempting to collect (account number referenced above). It has come to my attention that your collection practices may not comply with the Fair Debt Collection Practices Act (FDCPA), a federal law that protects consumers against abusive and unfair debt collection practices.

Under the Supremacy Clause of the United States Constitution (Article VI, Clause 2), federal laws, such as the FDCPA, take precedence over any conflicting state laws. This implies that regardless of any lesser state laws you might be attempting to apply, your company must legally adhere to the rules and limitations set forth by the FDCPA.

In light of the Supremacy Clause, I kindly request that you review your collection practices to ensure compliance with the FDCPA. Specifically, I ask you:

1. Provide me with written validation of the debt, including the original creditor's name, the total amount owed, and any supporting documentation as required under 15 U.S. Code § 1692g.

2. Cease any communication attempts at my employment or with any third parties, as outlined in 15 U.S. Code § 1692c.

3. Refrain from harassing, abusive, or deceptive practices, as prohibited by 15 U.S. Code § 1692d and § 1692e.

Please note that if your company continues to disregard the FDCPA and the Supremacy Clause, I reserve the right to report your non-compliance to the Consumer Financial Protection Bureau (CFPB) and the [Your State] Attorney General's Office, as well as to pursue any other legal remedies available to me.

I appreciate your prompt attention to this matter and expect a written response within 30 days confirming your compliance with the FDCPA and the Supremacy Clause.

Sincerely,

[Your Name]

Please note: Always take precautions when writing letters to debt collectors. You may risk renewing the statute of limitations if you make any written promises to pay. Consider if the debt is a sleeping giant (not trying to collect from you or a zombie debt.)

Definition of Supremacy Clause

Article VI, Clause 2 of the United States Constitution says that the Constitution, federal laws passed because of it, and treaties passed because of it are "the supreme law of the land." This means that any state laws that conflict with these federal laws and treaties don't matter.

Also, the Supremacy Clause says that the supreme law is more important than state constitutions, and state courts must follow it. In the Federalist system of the United States, this clause is important for keeping a balance of power between the state and federal governments. It ensures that federal laws and treaties can precede state laws when they are more critical.

History of Supremacy Clause

The history of the "Supremacy Clause" goes back to when the United States Constitution was written. When the Constitution was being written, political activists James Madison, Alexander Hamilton, and John Jay wrote a series of articles, now called the Federalist Papers, to help ratify the Constitution. James Madison published Federalist No. 44 on January 25, 1788. It discussed the need for a clause saying that federal laws are more important than state laws. Ultimately, Article VI, Clause 2 added the Supremacy Clause to the U.S. Constitution.

Throughout U.S. history, the Supremacy Clause has been a key part of ensuring that state and federal laws don't contradict each other. In 1854, an editor named Sherman Booth, who was an abolitionist, was arrested and charged with breaking the Fugitive Slave Act of 1850. This was a well-known case that involved the Supremacy Clause. Booth assisted in mobilizing a mob in Wisconsin to free Joshua Glover, a runaway slave in the custody of a U.S. Marshal. Booth's lawyers said the Fugitive Slave Act was against the Constitution, but the Supreme Court said the act was legal because of the Supremacy Clause. Booth was found guilty.

Another case in point is Colorado's Amendment 64, which made it legal for people to use and sell marijuana for fun. In December 2014, Nebraska and Oklahoma sued Colorado in civil court, saying that the state's marijuana law should be thrown out because it goes against long-standing federal law and practices about the Supremacy Clause. These and other cases show how important the Supremacy Clause has been in managing the balance of power between the federal and state governments in the United States.

Purpose of the Supremacy Clause

The purpose of the Supremacy Clause is to ensure a clear hierarchy of laws within the United States federalist system, where both state and federal governments have authority over the same area. By establishing the Constitution, federal laws made pursuant to it, and treaties made under its authority as the supreme law of the land, the Supremacy Clause creates a framework for resolving conflicts between state and federal laws.

This hierarchy allows the federal government to effectively govern and maintain a unified legal system across the nation, even when state laws differ from or conflict with federal laws. The Supremacy Clause ensures that state courts must abide by the supreme law and that state constitutions are subordinate to it, which helps maintain the unity and integrity of the United States as a single country.

Can states override federal laws?

No, states cannot override federal laws due to the Supremacy Clause of the US Constitution (Article VI, Clause 2). According to the Supremacy Clause, the Constitution, federal laws, and treaties made under its authority are the "supreme law of the land" and supersede any conflicting state laws. State courts and constitutions are subject to federal laws and the Constitution.

State laws are invalid when they conflict with federal laws. States can create and enforce laws in areas where the federal government has not enacted legislation or where there is no conflict. This power balance between state and federal governments is essential.

The 14th Amendment and treatment of Debtors

The 14th Amendment to the United States Constitution is one of the Reconstruction Amendments, adopted on July 9, 1868. It consists of five sections and primarily addresses issues related to citizenship, civil rights, and the legal status of former slaves following the Civil War. The most well-known and frequently cited aspect of the 14th Amendment is the Equal Protection Clause, contained in Section 1. This clause prohibits states from denying any person within their jurisdiction the equal protection of the laws.

Section 1 of the 14th Amendment reads:

"All persons born or naturalized in the United States, and subject to the jurisdiction thereof, are citizens of the United States and of the State wherein they reside. No State shall make or enforce any law which shall abridge the privileges or immunities of citizens of the United States; nor shall any State deprive any person of life, liberty, or property, without due process of law; nor deny to any person within its jurisdiction the equal protection of the laws."

While the 14th Amendment is primarily concerned with citizenship and civil rights issues, it does not directly address consumer debt. However, the amendment's Due Process Clause and Equal Protection Clause have implications for the treatment of debtors. The Due Process Clause requires states to provide fair legal procedures for all individuals, including those facing debt collection or bankruptcy proceedings. The Equal Protection Clause ensures that individuals are not discriminated against based on factors such as race, ethnicity, or socioeconomic status when it comes to debt collection or enforcing debt-related laws.