Being sued

[lumd44]

What is the name of your state? Texas

I have never been sued before, so I'm not sure what I need to do. I am being sued by a collection agency for a vehicle that I bought several years ago. They picked it up and I never paid for the remainder owed $9,822.58. I have now been served with a Civil Citation. The citations reads "You are commanded to appear by filing a written answer to the Pllaintiff's petition with the Clerk of the Court..." Can you pls. tell me what this means? It also states that if an attorney or myself "do not file a written answer, then a default judgment may be taken against you"...I have not idea what this means either. What would an attorney do for me (what if any options), if I can hire one? Thank you!

[Debt Guy]

Well, it means pretty literally what you just said.

You owe a debt. The creditor has sued you. That means they are tired of not being paid so they are escalating it to a new level. They want their money and they are getting mean.

You have the opportunity to file an answer to the lawsuit. The answer is where you would defend yourself. Logically enough, you defend yourself with a defense. A defense is a reason why the creditor should not be granted a judgment. For example, some defenses might be the debt if time-barred or they are suing the wrong person or they are suing for the wrong amount. In other words, the defenses are your reasons why a judgment should not be granted against you.

Your answer must be in writing. It must be in the format and style required by the court. If you have a good defense, it would be wise to consider hiring a lawyer to make sure it is done right. If you want to represent yourself, then you must get cracking right away to learn what you need to learn.

If you fail to answer, a default judgment will be granted against you. If you answer and lose a summary judgment will be granted against you. Both are judgments and have the same legal effect. They just have different names to distinguish one from the other.

Once the judgment has been granted, the creditor may take different action to collect. Texas is very debtor friendly. Wage garnishment is not allowed. Technically, the creditor cannot attach a lien to your home -- but a quirk in Texas law allows the creditor to cloud the title and thus you will have to deal with the creditor if you ever decide to sell or refinance. They can wipe out your bank account. Subject to your exemptions under Texas law, the creditor can take away your toys.

You did not describe your situation or why you never paid this debt. If it is yours, I suggest you try to work out something with the creditor. If it is not yours, then get thee to an attorney.

[Ladynred]

When did you default on the car loan ??

Statute of limitaitions in TX is FOUR YEARS. If you defaulted on the loan more than 4 years ago, you have a very good affirmative defense to deflect this lawsuit, but you MUST use that affirmative defense, the expiration of the SOL, or you will lose it completely.

[lumd44]

My situation was that my husband & I seperated after 18 years, and I had the only income in our home. I lost mostly everything, my home, etc. I called the creditor and asked to make payment plans as I was getting more & more behind. I was told to send in a certain amount of money and it would keep my account from delinquency. I sent the payment in, but was then called by another person from the same creditors and was told that my plan was never approved, thus making my account more delinquent (by then several months had passed by). I explained everthing that was in agreement with them; however they told me that without it having been approved, there was no agreement. Since I got more behind, I asked them to come pick up the vehicle, and told them that I was unable to continue making additional payments. It took them many months to come pick up the vehicle. Unfortunately, I have no notation of any the phone calls, or the persons involved in setting up the payment plan with me. And as for the Statue of Limitations, it has only been 2-1/2 years. I guess from what I'm reading, I have no "leg to stand on", and since I cannot afford a lawyer (so I have no "answer" on my behalf), I will just have to make that appearance, and let them decide what they will do with this amount due...correct?

[Skapare]

Originally Posted by lumd44

My situation was that my husband & I seperated after 18 years, and I had the only income in our home. I lost mostly everything, my home, etc. I called the creditor and asked to make payment plans as I was getting more & more behind. I was told to send in a certain amount of money and it would keep my account from delinquency. I sent the payment in, but was then called by another person from the same creditors and was told that my plan was never approved, thus making my account more delinquent (by then several months had passed by). I explained everthing that was in agreement with them; however they told me that without it having been approved, there was no agreement. Since I got more behind, I asked them to come pick up the vehicle, and told them that I was unable to continue making additional payments. It took them many months to come pick up the vehicle. Unfortunately, I have no notation of any the phone calls, or the persons involved in setting up the payment plan with me. And as for the Statue of Limitations, it has only been 2-1/2 years. I guess from what I'm reading, I have no "leg to stand on", and since I cannot afford a lawyer (so I have no "answer" on my behalf), I will just have to make that appearance, and let them decide what they will do with this amount due...correct?

The most common mistake most people make is not getting everything in writing.

Being unable to afford a lawyer, you fit into the lower 15% to 20% of the population which does not always get a fair shake from the legal system. OTOH, there are some judges that make an effort to give people a fair shake. But keep in mind you owe a debt and this is not bankruptcy court.

Most lawyers give a half-hour or so free initial consultation. You may be able to get specific legal advice for your situation this way. Or you may be able to get legal assistance at a local free legal assistance service, sometimes operated by law schools.

[Texas Pooh]

lumd44,

You will need to file a written answer with the court, with a copy sent to the Plaintiff. You need to do it before the Monday which is twenty days after the date you got the complaint.

An answer is not complicated. A good form for Texas is:

[url]http://www.cclerk.hctx.net/DLFORMS/H0219.pdf[/url]

Fill in the blanks with the information from your case, and indicate that you deny the debt.

This will prevent a default from being entered against (a judgment for the full amount). If a default judgment is entered, the creditor can begin to collect the judgment.

This will allow you to contact the Plaintiff's lawyer, and see if you can work out a deal to make payments over time. Be prepared to share a substantial amount of financial information about yourself, to justify whatever payment plan you can realistically afford.

While the creditor is not required to accept your payment proposal, you may be able to convince them that your proposal is better than an uncollectable judgment.