Legal Question in Credit and Debt Law in California

I have defaulted on a SBA guarnteed loan. I have a notice of a certified letter from a law firm that is for some legal action. I have very few assets for them to attach but do not want to go to court under oath or declare bankruptcy. Can I ignore this legally?


Asked on 5/20/10, 3:00 pm

1 Answer from Attorneys

David Gibbs The Gibbs Law Firm, APC

Seriously? If you just ignore it and don't sign for the certified letter, I think you know that it is not going to go away. They will sue you, they will obtain a judgment, and then they will garnish wages and levy against your assets including bank accounts. Because it is an SBA loan, eventually the claim will be turned over to the Federal Government who can do much of these things (levy bank accounts) without even getting a judgment. You need to respond and deal with this because it is just not going to go away.

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Answered on 5/26/10, 9:31 am


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