How to avoid a judgment?

[blum1176]

So, this is a bit of a delema. About a year and a half ago, my wife and I moved out of a homewe had rented for over 3 years. About 3 months later we were contacted by a CA stating that we owed 10k for damages to property. Our landlord sent us directly to collections. This was long before I found this site, and had no clue what to do. I tried to explain to them that we had no idea of this debt, and frankly we didnt feel that there was any way possible that that much $ in damages should be assessed. Regardless, we received a summons, and got scared.

I was told by a few people that If we didnt have photos to prove that these damages were bogus then we were going to be liable, and that by going to court we would just be increasing what we owed. So, we signed the agrement to pay 100 per month. Well, my wife went on bed rest and we werent able to pay, we just received another notice today one is a "Motion for entry of judgment" stating that we defaulted on the stipulation, the second is an "order of judgement", which hasnt been signed. I dont know what to do. I have done so well with my credit, to have this added would be devistating, I dont agree with the debt, but did we seal our fate by signing an agreement pre maturely? Can any one help me with some advice?

[Debt Guy]

What you are describing sounds like an "agreed judgment". That means the agreement you signed contained language wherein you agreed the creditor could file a judgment in the event of default.

If that is the case, I don't know of any way to prevent the judgment. You could hire an attorney to file an objection to the the Motion for Entry of Judgment. Or you could file the Motion yourself but I'm guessing that this is unfamiliar territory for you.

In my mind, you should not have signed the agreement. My guess is that you would have been better off to have fought the original complaint. I think you got some bad advice and made the situation worse. I don't know any way you can legally unwind that agreement. Perhaps someone else will have an idea.

If this judgment is granted, the creditor will be able to garnish your wages and can take up to 25% of your aftertax pay.

I don't know what your total financial situation is but bankruptcy is an option to consider. Speak to a local bankruptcy attorney to see if you qualify and if it make sense. Bankruptcy attorneys commonly give a free consultation for that purpose.

Good luck to you.