XLC-1

Entered a settlement agreement with the Plaintiff's attorney but they are still pursuing the lawsuit.

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I have entered into a settlement agreement with the Plaintiff's attorney BHLM for Portfolio Assoc. However they have failed to file the settlement agreement with the court and are still proceeding with the lawsuit as if nothing has happened. They have sent me a copy of the settlement agreement with both their's and mine signatures on it. The settlement agreement says I am to send three payments by a certain due date and I have sent the first payment. I have proof of the first payment being sent and received on time. The settlement agreement also says that if I default on the agreement that the Plaintiff wins by default. I can't imagine why they would not have this filed with the court by now. The plaintiff's attorney has just sent me their disclosure statement showing that they are still pursuing this lawsuit normally as if there is no settlement agreement between us. I asked the court clerk if I could file a motion to set aside with a copy of the signed settlement agreement as proof of there being a settlement agreement in effect. The court clerk didn't think it would have any effect and that the case would just proceed normally to a pretrial conference which has been set for Sept. 2, 2014. Do I still need to send the plaintiff's attorney my disclosure statement? How should I proceed with this?

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In MOST case's, a settlement never works out the way you want it to. You get SCREWED!! I tell everyone to NEVER settle, fight it, you will be way ahead of the game. I think in the end you will regret it, if your not already doing so.

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In MOST case's, a settlement never works out the way you want it to. You get SCREWED!! I tell everyone to NEVER settle, fight it, you will be way ahead of the game. I think in the end you will regret it, if your not already doing so.

Would you care to elaborate on this? Your answer does nothing to address my concerns or to help me in any way. As for regretting this, my only regrets are letting this get to a lawsuit in the first place.

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@ XLC

 

I being sued by them also and after receiving the summons I called and we made an agreement over the phone however when I asked if I can get a written agreement I was denied then I asked if I will get a monthly notice = DENIED again.  So I thought forget it I will not answer or contact nor will I pay anything to them until this is resolve in court.   I asked about the court situation and the rep told me that I must go thru the court proceedings.  So perhaps the only regret is paying them in the first place but I got imitated by "Your Account Went To The Litigation Department."   I would fight it, and do not speak or contact them.   XLC have you posted the questions regarding your lawsuit so that others may help you?

 

I believe Tom is right.  Do not back off, fight them.  Have they proven they own the debt?

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Likew Berfie said, you will only get screwed when trying to deal with a JDB. You need to forget trying to settle with someone that paid pennies on the dollar and then wants the full amount or at least 70% to go away. That's how they make money. Get on here and read and then read a lot more and learn to fight them. e can help you do that, but, you must be willing to fight to make it go away. If your lucky and get a lot of violations, you can win a few thousand dollars from them. It's rare that you will EVER get anything in writing from them and they will LIE to you everytime they open their mouth. By now you should have seen that.

 

Contact them ONLY by US mail CMRRR and stay off the phone. That is the first thing you do. Then, do NOT give them any banking information. If you have, or have sent a personal check, close that account and open another at a new bank. If not, they can and will clean you out if your not on top of it.

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@Berfie @TomnTex

 

This thread is in regards to another thread located here:

 

http://www.creditinfocenter.com/community/topic/323940-being-sued-by-portfolio-associates-in-arizona/

 

Berfie, I've seen your thread and know you are in a similar situation with the same plaintiff.

 

Sounds like you had contacted Portfolio Assoc. I never dealt with them. I ignored everything until I was actually served with the lawsuit. I contacted BHLM via telephone and negotiated with them over a span of three days. I made it very clear that I would not make any payments unless they sent a settlement agreement in writing via mail. They were trying to get me to make a payment that day with a system they have in place that would reveal my account info. I refused and stood firm on that. I told them that I would only pay with a money order.  They relented and gave me their PO Box in Chicago, IL for their payment prcessors and instructions for the money order. In fact I am utilizing a former financial institution I was with that the OC is aware that I had an account with for the money order. A little misdirection to the plaintiff and their attorney. :-) Everything sent to BHLM has been sent CMRRR including the money order. I also put the court case number, CM tracking number and BHLM's ref number (per their request) on the money order and then scanned the money order front and back before mailing it out. Basically there is no way for them to make any false claims concerning my payment.

 

@TomnTex

 

Did you actually read what I wrote in my first post in this thread? Everything that you have written is just a blanket statement on making settlements with JDB's directly. That is not what this thread is about. This thread's purpose is to see if I need to send  a disclosure statement and what action if anything I can take concerning the settlement agreement and what can be done to stop the plaintiff's attorney from proceeding as if no settlement agreement exists. I do have something in writing with both my signature and the JDB's attorney's signature. I did not deal with the JDB directly but through their attorney, BHLM. It's in the form of a court document titled settlement agreement. The JDB or in this case their attorney can only drain your bank account if they get a judgement against you. The banks can't do anything unless it's through the courts. However, I see no reason to give them that info without a court order to do so. And that would mean a judgement was issued by the court in the first place.

 

@Seadragon

 

for the most part, I agree with you and will not default on the agreement. I am doing everything to ensure that they can't make false claims that I defaulted on the agreement. Things like I mailed out the payment late or not at all. I would file it with the court myself if I had the original document. Since I do not have that but only a copy I can't file it. This is per court rules that state anything filed with the court must be the original document with the exception being anything that you file with the document as an attachment can be a copy. Wouldn't refusing to file it with the court or at the least notifying the court of a change in the status of the case be a violation of court rules?

 

@Everyone

 

I still need to know if I need to file a disclosure statement to BHLM or not and how I should proceed on this. I am in the process of getting a disclosure statement made just in case.

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Yes, I read it so fast that I missed the part where you already had the signed papers etc. and Sea caught it. Had I not missed it, I would mainly given you the same info that he had. Like he said, I think your pretty much in a tight spot now and you have also either extended or renewed the SOL. Actually you would still have to be within SOL for them to attempt to sue. I did not go into great detail because I was limited on time. But, there is such things as sewer service ect. for them to try and get a defauly and yes, I am fully aware that they must have a judgement in order to clean out your accounts.

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Do the payments conclude before the trial date?   If they do then the reason PRA has not dismissed the action is so that if you do default on this settlement they can simply go into court on that trial date and file the summary judgment without having to have the trial.  There is NO harm in the case staying open until you make the final payment.  If the payments conclude after the trial date you should show up with your copies of the settlement paperwork and payments.  You can then ask for a dismissal based on a settlement being in place.

 

Another option is to call the law firm and ask why the trial has not been dismissed since a settlement has been reached.  If they are one of those firms who files thousands of suits it is possible one hand does not know what the other is doing.  

 

The last option is if they really do intend to continue with the suit I would keep making the agreed upon settlement payments on time as stipulated then hire a consumer lawyer to sue them in Federal Court for violating the FCDPA by continuing with legal action they agreed not to continue after a legal signed settlement.  I would also make a complaint to the state Bar Association for their violating the settlement as well.

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Do the payments conclude before the trial date?   If they do then the reason PRA has not dismissed the action is so that if you do default on this settlement they can simply go into court on that trial date and file the summary judgment without having to have the trial.  There is NO harm in the case staying open until you make the final payment.  If the payments conclude after the trial date you should show up with your copies of the settlement paperwork and payments.  You can then ask for a dismissal based on a settlement being in place.

 

 

It's not really a trial. It's just a pretrial conference. Basically it's the initial appearance before the Justice. However, the final payment is to be made by Aug. 30th. I was told over the phone by the paralegal I worked the settlement out with, that the lawsuit would not be dismissed until the final payment was received. That is one of the stipulations in the settlement agreement document. Another stipulation says that if I default on the agreement that I agree that the Plaintiff can file a motion to enter judgement and that the original amount plus court costs are due and payable 10 days after default. The stipulation goes on to say that Plaintiff will try to work out a voluntary arrangement via their attorney if I contact their attorney before default occurs. The last two stipulations are that a timely dismissal shall be filed with the court after receipt and clearance of the final payment aand that both parties agree that all future court  appearances are unnecessary due to settlement in this matter, and therefore shall be vacated. As I see it there is no need to continue the lawsuit just have it set aside. I would definately would bring the settlement up with the Justice and show him everthing on it.

 

Another option is to call the law firm and ask why the trial has not been dismissed since a settlement has been reached.  If they are one of those firms who files thousands of suits it is possible one hand does not know what the other is doing.  

I suppose it's possible. There are three BHLM offices involved with this matter. Their Chicago Office where payments are sent and their paralegal works at. Their Phoenix office where all court documents are sent to and from. The Settlement  agreement came from here. Their Tempe office were the lawsuit was filed from and their attorney that is assigned to the case is most likely at. Some of their intimidation notices that they sent to me also came from their Tempe office. The court clerk also suggested that I contact them to see why the agreement was not filed with the court yet. Although I am debating which one of the offices I should call.

 

The last option is if they really do intend to continue with the suit I would keep making the agreed upon settlement payments on time as stipulated then hire a consumer lawyer to sue them in Federal Court for violating the FCDPA by continuing with legal action they agreed not to continue after a legal signed settlement.  I would also make a complaint to the state Bar Association for their violating the settlement as well.

 

I'd probably go as far as to file a complaint with the BBB and the State Attorney General's office as well.

 

Clydesmom, I know you are not in Arizona, but what is your take on what the court clerk told me concerning filing a motion to set aside the suit with the settlement agreement as an attachment? The court clerk told me that I could do that, however they did not believe it would have any real effect and that I would still have to appear at the pretrial conference.

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However, the final payment is to be made by Aug. 30th. I was told over the phone by the paralegal I worked the settlement out with, that the lawsuit would not be dismissed until the final payment was received. That is one of the stipulations in the settlement agreement document.

 

If you knew this then what is the problem?  They have told you up front and put it in writing that the lawsuit will not be dismissed until you fulfill the terms of the settlement.  It is in their best interest that it be done this way.

 

Another stipulation says that if I default on the agreement that I agree that the Plaintiff can file a motion to enter judgement and that the original amount plus court costs are due and payable 10 days after default. The stipulation goes on to say that Plaintiff will try to work out a voluntary arrangement via their attorney if I contact their attorney before default occurs. The last two stipulations are that a timely dismissal shall be filed with the court after receipt and clearance of the final payment aand that both parties agree that all future court  appearances are unnecessary due to settlement in this matter, and therefore shall be vacated. 

 

All standard stipulations and language for a settlement agreement.  

 

 As I see it there is no need to continue the lawsuit just have it set aside.

 

How you see it is no longer relevant.  You signed a settlement agreement that clearly spells out when the suit will be dismissed.  There is nothing to do but make the payments you agreed to in the agreement.

 

Clydesmom, I know you are not in Arizona, but what is your take on what the court clerk told me concerning filing a motion to set aside the suit with the settlement agreement as an attachment? The court clerk told me that I could do that, however they did not believe it would have any real effect and that I would still have to appear at the pretrial conference.

 

I agree with the clerk that you are wasting your time.  Once the Justice reads the settlement agreement that clearly states the suit will not be dismissed until the final payment is made they will deny your motion to dismiss.  You are getting in a lather over nothing.

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Like I said, settlements never work out the way you want them to.

 

That isn't true and you know it.  The reality of this settlement is simple:  if the payments are made there is nothing in the settlement that can hurt them but if they default again there is A LOT in the agreement that will hurt financially.  

 

I have settled several accounts to avoid suit and clean up credit with excellent outcomes in my favor.  

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@Clydesmom

 

Perhaps you are misunderstanding what I am after. There are two similar but different motions that can be filed. A motion to vacate and a motion to set aside. The motion to vacate is dismissal, which I obviously can't do and the motion to set aside, which means that the lawsuit is put on the back burner until one party or the other decides to continue with the lawsuit. I am after the latter. I believe that if the settlement agreement where to be filed with the court, it would have the same affect as the motion to set aside would. In other words, I am not interested in getting the lawsuit dismissed but just put on hold until I can either fulfill the agreement or default on it.

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@Clydesmom

 

Perhaps you are misunderstanding what I am after. There are two similar but different motions that can be filed. A motion to vacate and a motion to set aside. The motion to vacate is dismissal, which I obviously can't do and the motion to set aside, which means that the lawsuit is put on the back burner until one party or the other decides to continue with the lawsuit. I am after the latter. I believe that if the settlement agreement where to be filed with the court, it would have the same affect as the motion to set aside would. In other words, I am not interested in getting the lawsuit dismissed but just put on hold until I can either fulfill the agreement or default on it.

 

I understand what you are saying but I don't believe there is a difference.  The hearing in September is PRE-trial and not the actual trial so I do not see a court setting aside ANYTHING in this case.  Odds are pretty good you would not even get your motion on the court calendar before the pre-trial anyway.  Even if you did get a hearing prior to August 30th the Justice is going to note you agreed the case would remain on the docket until you make the last payment.  I doubt they would set aside anything.  It is unnecessary and simply takes up court time.  

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I understand what you are saying but I don't believe there is a difference.  The hearing in September is PRE-trial and not the actual trial so I do not see a court setting aside ANYTHING in this case.  Odds are pretty good you would not even get your motion on the court calendar before the pre-trial anyway.  Even if you did get a hearing prior to August 30th the Justice is going to note you agreed the case would remain on the docket until you make the last payment.  I doubt they would set aside anything.  It is unnecessary and simply takes up court time.  

I see. would this also be the reason why BHLM has not filed the settlement agreement with the court, it takes up the courts time to do so?

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I see. would this also be the reason why BHLM has not filed the settlement agreement with the court, it takes up the courts time to do so?

 

Yes.  Time and money.  Many courts charge a fee for each motion filed.  All they need to do is dismiss once the last payment is made.  Until you either make that last payment or default there is nothing for either side to do on this.

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Yes.  Time and money.  Many courts charge a fee for each motion filed.  All they need to do is dismiss once the last payment is made.  Until you either make that last payment or default there is nothing for either side to do on this.

Ah ok. Well they are still pursuing the lawsuit normally since it is still on the docket by sending me their disclosure statement. So apparently I will have to as well or risk a default judgement per the court notice sent to me. The disclosure is not filed with the court but is just mailed to each party. I'm not sure but I think the Discovery is as well. I'll have to double check that with the court rules. I was just hoping to save a bit of money by not having to mail all of this stuff out CMRRR by having the lawsuit put on hold. I guess the best thing I can do is just play along and abide by the settlement agreement and hope the suit will get dragged out long enough for the settlement to be fulfilled. I plan on having that last payment out as early as possible.

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Ah ok. Well they are still pursuing the lawsuit normally since it is still on the docket by sending me their disclosure statement. So apparently I will have to as well or risk a default judgement per the court notice sent to me. The disclosure is not filed with the court but is just mailed to each party. I'm not sure but I think the Discovery is as well. I'll have to double check that with the court rules. I was just hoping to save a bit of money by not having to mail all of this stuff out CMRRR by having the lawsuit put on hold. I guess the best thing I can do is just play along and abide by the settlement agreement and hope the suit will get dragged out long enough for the settlement to be fulfilled. I plan on having that last payment out as early as possible.

 

One way to avoid the costs is to call the paralegal you spoke to and ask that they hold off on the trial procedures since a signed settlement agreement is in place.  Again, they may not even be aware that the documents were sent out to you.

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One way to avoid the costs is to call the paralegal you spoke to and ask that they hold off on the trial procedures since a signed settlement agreement is in place.  Again, they may not even be aware that the documents were sent out to you.

I'll see about doing that and see what happens. Now at least I have some options to pursue. Thanks for your help Clydesmom.

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That isn't true and you know it.  The reality of this settlement is simple:  if the payments are made there is nothing in the settlement that can hurt them but if they default again there is A LOT in the agreement that will hurt financially.

I have settled several accounts to avoid suit and clean up credit with excellent outcomes in my favor.  

 

I disagree with you. I am probably twice your age and have had more than my share of credit problems in the past. Besides reading on here and many other forums about being screwed over by JDB's when trying to settle. You seem to be the only one on these boards that have had success. I would say that less than 10% actually get what they want.

 

Look at the OP, they started out trying to settle, now they are commited to a stipulated judgement if they fail to finish what they started. I am sure that was not their intent to shoot thereself in the foot. Only time will tell. They will either finish paying the debt and having it show as paid for the remainder of the TL and not removed from their CR. Or,   they will default and have a judgement against them without going to court and have their day. The percentage is against them. Once in awhile you actually put out decent advice.....But, all over the internet you have many people disagreeing with you.

 

Time will tell........I've seen it before and I stand by it.

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I disagree with you. I am probably twice your age and have had more than my share of credit problems in the past. 

 

Unless you are over 100 years old there is absolutely NO way you are twice my age.  Once again you simply assume that what you believe is a fact.

 

You seem to be the only one on these boards that have had success. I would say that less than 10% actually get what they want.

 

Your view is that if isn't what you believe and have defined as success it isn't a win.  A win is what each person defines it as not what you say it is.

 

Unless you have actual studies that state less than 10% get what they want you are only guessing but think that stating it vehemently over and over makes it true.

 

Look at the OP, they started out trying to settle, now they are commited to a stipulated judgement if they fail to finish what they started. 

 

They DID settle the account.  The reality is unless they entered into that agreement their chances at trial in a creditor friendly state were slim to none.  COULD he fight and hope to win:  sure but if he loses not only does he pay more than double what they sued for but lives with a public record for a long time to come on his credit.  

 

I do not know of ANY JDB that will enter into a payment arrangement once they have filed suit without a consent judgment.  While I loathe their business model lets face it, they are dealing with DEFAULTED debt.  The consumer has already shown at least once they will not pay why should they trust them again?  

 

They will either finish paying the debt and having it show as paid for the remainder of the TL and not removed from their CR. Or,   they will default and have a judgement against them without going to court and have their day. The percentage is against them. 

 

While you or I would have negotiated the TL removal the OP was likely not aware they could do that.  This is a learning curve like anything and your rushing through their first post to jump on your conspiracy soap box berating them for their choices doesn't help those struggling one bit.  The OP has now learned more tactics should they need to defend themselves again.  Hopefully it isn't to over react and be emotional as you advocate.

 

Once in awhile you actually put out decent advice.....But, all over the internet you have many people disagreeing with you.

 

I have numerous PMs from people who I have helped defeat JDB suits in a half dozen states who deliberately chose to contact me privately for help to avoid the "chicken little sky is falling" crisis posters who over take their threads for their own agenda as you do.  The emotional fervor of your posts suggests your personal vendetta and crusade is far more important than the laws and the defense.  You speak in absolutes that are not true:  i.e. "that NEVER happens" or "it is always this way" when you know it isn't accurate.  If you notice most of my advice starts with "what typically happens is" and I end with "while I cannot guarantee this will work it has had success several times."  You might open your mind just a tad that the world runs a whole lot differently that the picture you try to paint.

 

I could care less if people disagree with me it is their right but that disagreement alone doesn't make them right by default.  It means they have a different opinion. 

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Like you said, most people on here, Credit boards, and DB all disagree with you. Must be something in the water. Yes, I am closer to a hundred than I am to twenty-five. Most people that have been around on these boards just ignore you. It's the new people that don't  know and will learn.

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Like you said, most people on here, Credit boards, and DB all disagree with you. Must be something in the water. Yes, I am closer to a hundred than I am to twenty-five. Most people that have been around on these boards just ignore you. It's the new people that don't  know and will learn.

 

If by "most people" you mean the Arizona crowd who all lost their cases behind their sword of disagreement, or a couple of other troll posters including the professional deadbeats on Credit Boards who don't pay bills for any reason I take that as a badge of honor that they disagree with me.  Being upset that they disagree with me is the equivalent of being upset that the Taliban doesn't want you as a member.  I sleep just fine at night regardless of whether strangers on the internet "like" or agree with me.  Only cranky old people with no life worry about such things.

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