28 Feb Settling Debt-Related Lawsuits–Proceed With Caution!
Often, when consumers are sued for an outstanding debt, they contact the lawyer for the company (or the company) who sued them seeking to work out a payment plan. If a payment plan agreement is reached, the consumer assumes that the pending lawsuit is no longer an issue. That is not the case! Making a deal with a debt collector who sued you does not end the lawsuit! The case must be withdrawn or dismissed or it can proceed. Often times, a consumer assumes nothing must be done and a judgment by default is entered against the consumer. While a judgment may not be worth the paper it is printed on, it is best to be sure the case is withdrawn or dismissed. If you have been sued for an outstanding consumer debt, you should contact an experienced consumer law attorney to consider your options–before contacting the collector.
Bankruptcy Law Network (BLN)
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