Legal Question in Credit and Debt Law in California

"Settle" or "Sue"

My case has not yet gone to court and the defendant has called me to try to make arrangements to pay. If i agree to monthly payments how can i guarantee that he will pay me on time? Also can I ask for a substancial lump sum up front and then payments on the balance? Is there a formula to decide how much the defendant should pay each month dpending on his salary? Your answers would be much appreciated...


Asked on 5/28/99, 11:24 am

1 Answer from Attorneys
Ken Koury Kenneth P. Koury, Esq.

Re:

This can get tricky. If you dont have one, you may want to have a lawyer draft the settlement for you because there are many pitfalls. The way to give you the most security is to settle for a stipulated judgment and outline the payment schedule in the judgment. As far as the amounts, there is no rule of thumb, it is whatever you can negotiate. You want to be sure the judgment states that if a payment is missed the entire amount becomes due. this is very important.

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Answered on 6/02/99, 1:46 am


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