Dgree

Notice Of Lawsuit (JDB) - Should I Mention Arb now? or Later?

Recommended Posts

Hello,

 

About a month ago I was notified via mail that my wife was going to be sued by JDB. I quickly contacted the law firm representing them to find out if we could settle the account some way (Never admitted to owning the account). After going rounds over email (in which they sent me validation docs) they recently (40 days later) told me again that they are pursuing litigation over email.

My question is, should I mention the fact that I will pursue arbitration to get them to back off? Or should I just wait until served and file a MTC with arbitration via JAMS?

Also if I do need to wait, is there a CA specific template for a MTC that I can use to draft the docs and submit?

Share this post


Link to post
Share on other sites

This depends on the arbitration agreement, and the amount.  

If the card has no arbitration agreement, you can’t file in arbitration anyway.  

If the card is, for example, a Synchronicity card with a great arbitration agreement, you can wait if you want and file an MTC.  Or, if there is a small claims exemption but the amount Hs greater than the small claims limit, same strategy  

If the card has an arbitration agreement, but there is a small claims exemption, and the case will be in small claims court, then you need to file before they sue or else you lose your chance.  

If the case has already passed the SOL in the state where the OC is chartered, but not in your state, then file in arbitration ASAP and demand Delaware or whatever law prevail. 

If there is some very good reason why you want this out of court completely, file in arbitration. For example, I once filed in arbitration so I could act as the representative for my wife who would not have been able to handle the case in court by herself.  

Or, perhaps your wife is in, or will be in, a profession for which having a court case would be really bad, then file in arbitration to keep it out of court.  

 

Does that answer your question?

  • Like 1

Share this post


Link to post
Share on other sites
2 hours ago, BackFromTheDebt said:

This depends on the arbitration agreement, and the amount.  

If the card has no arbitration agreement, you can’t file in arbitration anyway.  

If the card is, for example, a Synchronicity card with a great arbitration agreement, you can wait if you want and file an MTC.  Or, if there is a small claims exemption but the amount Hs greater than the small claims limit, same strategy  

If the card has an arbitration agreement, but there is a small claims exemption, and the case will be in small claims court, then you need to file before they sue or else you lose your chance.  

If the case has already passed the SOL in the state where the OC is chartered, but not in your state, then file in arbitration ASAP and demand Delaware or whatever law prevail. 

If there is some very good reason why you want this out of court completely, file in arbitration. For example, I once filed in arbitration so I could act as the representative for my wife who would not have been able to handle the case in court by herself.  

Or, perhaps your wife is in, or will be in, a profession for which having a court case would be really bad, then file in arbitration to keep it out of court.  

 

Does that answer your question?

 

Thanks for the reply!

The amount is about 20k. I want to represent my wife because she won't do it. She is also in a profession that having a lawsuit could be problematic (but only if a judgement is levied).

There is an arb clause because it is a LendingClub loan. 

The Law office representing the JDB is slow rolling the lawsuit.. they have been threatening a lawsuit since July 15th, haven't filed one yet. A few days ago they threatened a lawsuit again, via email. I am in the process of responding (to the email), but want to know if I should just tell them that they can file, but I will be moving this to arbitration. 

 

What should the strategy be here? Just wait for the summon and immediately file a MTC? Or tell them now that I will file for arbitration to maybe scare them off? I am in CA.

Share this post


Link to post
Share on other sites
17 hours ago, Dgree said:

 

Thanks for the reply!

The amount is about 20k. I want to represent my wife because she won't do it. She is also in a profession that having a lawsuit could be problematic (but only if a judgement is levied).

There is an arb clause because it is a LendingClub loan. 

The Law office representing the JDB is slow rolling the lawsuit.. they have been threatening a lawsuit since July 15th, haven't filed one yet. A few days ago they threatened a lawsuit again, via email. I am in the process of responding (to the email), but want to know if I should just tell them that they can file, but I will be moving this to arbitration. 

 

What should the strategy be here? Just wait for the summon and immediately file a MTC? Or tell them now that I will file for arbitration to maybe scare them off? I am in CA.

The answer to this question depends on how badly you want this case out of court. 

If you absolutely want it out of court, file in JAMS ASAP.  Send copies of everything to the lawyer.  Being a JDB, that will probably be enough to scare them away.  

If you are willing to take the risk of your wife having to file an MTC and argue it in court, or perhaps you having to file a Motion for Intervention so your name will be on the suit as well, send a letter to the law office demanding arbitration and see if that scares them off.  

One of three things will happen:

1.  They will ignore you and sue anyway. Then you have to figure out your strategy   

2. They will run away and you won’t hear from them again. However, the JDB might get a different law firm later, and you have to go through the same thing all over again.  

3.  They will demand you file in arbitration or else they will sue.  

I have had all 3 things happen to me. 

When I was in a similar situation I filed in JAMS right away on behalf of my wife, noting that I was an unpaid non-attorney representative.  That works with JAMS rules and the state laws in my state.  Some states do not allow that.  Check your state laws.  If that is not possible, then file in JAMS with you and your wife as co-claimants, since you are in a community property state. 

  • Like 1

Share this post


Link to post
Share on other sites
17 minutes ago, BackFromTheDebt said:

The answer to this question depends on how badly you want this case out of court. 

If you absolutely want it out of court, file in JAMS ASAP.  Send copies of everything to the lawyer.  Being a JDB, that will probably be enough to scare them away.  

If you are willing to take the risk of your wife having to file an MTC and argue it in court, or perhaps you having to file a Motion for Intervention so your name will be on the suit as well, send a letter to the law office demanding arbitration and see if that scares them off.  

One of three things will happen:

1.  They will ignore you and sue anyway. Then you have to figure out your strategy   

2. They will run away and you won’t hear from them again. However, the JDB might get a different law firm later, and you have to go through the same thing all over again.  

3.  They will demand you file in arbitration or else they will sue.  

I have had all 3 things happen to me. 

When I was in a similar situation I filed in JAMS right away on behalf of my wife, noting that I was an unpaid non-attorney representative.  That works with JAMS rules and the state laws in my state.  Some states do not allow that.  Check your state laws.  If that is not possible, then file in JAMS with you and your wife as co-claimants, since you are in a community property state. 

Well too late, just got served this morning.

What is the strategy now? File a MTC and a Answer? Is there a template I can use for CA?

Ive read that a judge can grant arbitration without appearing in court... is that true? 

Share this post


Link to post
Share on other sites
4 minutes ago, Dgree said:

Well too late, just got served this morning.

What is the strategy now? File a MTC and a Answer? Is there a template I can use for CA?

Ive read that a judge can grant arbitration without appearing in court... is that true? 

There is a template for a MTC arbitration in the following thread.  It contain U.S. Supreme Court rulings which must must be followed by all courts.

https://www.creditinfocenter.com/community/topic/329436-arbitration-overview-and-strategy-2018-most-up-to-date-info/

 

  • Thanks 1

Share this post


Link to post
Share on other sites
13 minutes ago, BV80 said:

There is a template for a MTC arbitration in the following thread.  It contain U.S. Supreme Court rulings which must must be followed by all courts.

https://www.creditinfocenter.com/community/topic/329436-arbitration-overview-and-strategy-2018-most-up-to-date-info/

 

Awesome. I will look it over.

In CA, do you need to file an Answer AND MTC? Or would an MTC do? I am going to try to file an answer next week, so that I can attempt to get the case stayed without having to appear in court.

Share this post


Link to post
Share on other sites
On 8/31/2019 at 11:15 AM, Dgree said:

Awesome. I will look it over.

In CA, do you need to file an Answer AND MTC? Or would an MTC do? I am going to try to file an answer next week, so that I can attempt to get the case stayed without having to appear in court.

Seeking some advice here...

 

Do I need to file an Answer AND MTC or just a MTC in lieu of an answer?

Also I noticed that for Motions, I am required to add "Point & Authorities" to the motion. Does anyone have an example of this? @BV80 @fisthardcheese

Share this post


Link to post
Share on other sites
On 9/12/2019 at 4:15 PM, Dgree said:

Do I need to file an Answer AND MTC or just a MTC in lieu of an answer?

You should file answer and MTC.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.