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Your legal rights are covered by the Fair Debt Collection Practices Act vis-a-vis the collection agency (except if they are actually a collection department within the medical device company). I think the first step is to request that they "verify the debt."
Your legal rights with respect to the medical device company are covered by contract law. Its time to go back and read the fine print on any agreement you signed with them. Can they claim you agreed to return the monitor certified mail, return receipt, and insured? I would also recommend sending the company a letter stating everything that has happened and memorializing the phone call, including date and time. I would also ask them to preserve any recordings of any phone calls between you and the company.
Good luck and keep us posted.
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"I aint pissing nothing away. I got a Porsche already; a 911 with a quadrophonic Blaupunkt"
- Ebby Calvin LaLoosh
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