Legal Question in Civil Litigation in California

Re: Trying to decide whether to allow a default judgement

You�re talking about nearly a half million dollar judgment! Once a judgment is in place, you�ll likely be subjected to: (1) a debtor�s examination hearing (which involves you having to produce all kinds of financial documents and being subjected to a lengthy oral examination); (2) wage garnishment (up to 25% of your wages); (3) bank accounts being levied (money taken from your bank account and being given to the judgment creditor); (4) liens (security interest) placed on your property; and (5) other harsh remedies. An attorney can analyze your matter, determine what, if any, defenses you may have to the lawsuit, defend you and/or seek to negotiate a payment reduction or payment plan if you owe the money. Don�t be penny wise and pound foolish. Seek legal counsel. You may possibly be able to file for bankruptcy and have the entire debt discharged (wiped out, forgiven) or reduce the debt substantially! Remember, if you don�t timely respond to a lawsuit (normally 30 days after you are served with the Summons and Complaint), the creditor will take a default against you, and you will lose the right to defend yourself against the judgment. Call an attorney today.

Re: Trying to decide whether to allow a default judgement

$430,000 is a huge amount of money if turned into a judgment. They'd slap a lien on any property you own, deplete your bank account, and attach your wages. Your life could be made miserable. A lawyer could attempt to negotiate a payment plan if you owe the money and even try to reduce the amount. It might be foolish to pinch pennies on this one, unless you're considering filing for bankruptcy protection.

Re: Trying to decide whether to allow a default judgement

If you don't respond, you will get a default judgment against you. The plaintiff will then be able to seize any property you own, garnish your wages, and question you about your assets. He will also be able to go after community property assets owned by both you and your spouse. You really need to think long and hard before rolling over.

Re: Trying to decide whether to allow a default judgement

A $430,000 judgment is a huge amount. Once the judgment is obtained they will go after the equity in your house, bank accounts, attach your wages, and all other non-exempt assets. They will also most likely conduct a debtor's exam.

You should talk to an attorney right away. Bankruptcy may be an option.

If would like a free initial consultation, please telephone me or e-mail me with contact information. I have over 25 years experience.

Good luck and thank you for your inquiry.