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MTC granted dismissed without prejudice


Noreturn
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Hearing held via zoom, I argued my motion for literally 60 seconds. Unifund basically said yes there is a contractual arbitration clause therefore had no defense. Judge dismissed without prejudice. Plaintiff requested the case to be reopened in 6 months if I failed to file for arbitration, judge denied this request because he is retiring. 

The hearing happened really quick and I didn't want to ask any questions after the case was dismissed. 

I'm wondering what happens if I wait a couple months to file with AAA or don't file at all? 

Judgement just says dismissed and nothing about a "stay" pending arbitration.

 

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The only difference is that rather than using the current case, they have to file a new case and pay the filing fee again. They can still refile the case anytime they want.

I would suggest not waiting to initiate arbitration. In fact, you should have had the forms ready to go for the MTC hearing. The quicker you get things started, the quicker you put the ball in their court to decide what to do next. Right now the ball is in your court and you don't want it to remain there for too long.

BTW, when they decide that they do not want to continue on with arbitration, because the case was already dismissed without prejudice, you will need to the agreement to include a clause which says that neither they, nor their assignees, executors, trustees, or heirs will file a case in court regarding these matters. This way, you have a permanent stop that a dismissal with prejudice would have achieved.

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56 minutes ago, WhoCares1000 said:

Right now the ball is in your court and you don't want it to remain there for too long.

How so? The case is dismissed so it's up to the plaintiff to continue. They know that OP will elect arb, so why bother suing again? And electing arb, up front, and asserting claims has been shown to paint plaintiffs into a corner where they feel they have to pursue arb to the end - exactly like Unifund did in that Indiana case earlier this year. 

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1 hour ago, Goody_Ouchless said:

They know that OP will elect arb, so why bother suing again?

Because in the granted order the Judge specifically said the Plaintiff could not re-open if the Defendant failed to file.  The party moving for arbitration bears the responsibility to file.  This is not the time to play games or split hairs.

My recommendation is that the OP file.  If/when Unifund doesn't follow them in due to the cost then the OP has a gold plated defense if they try to file again since the dismissal is without prejudice.  If the OP doesn't initiate (whether the other side follows or not) then it leaves the without prejudice dismissal to rear its head.  The JDB can re-file and if another MTC is tried oppose it on the grounds the Defendant never followed through the first time therefore was not serious in their motion. Not worth the risk.  Fully paint them into a corner and be done with it.

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So just got a letter from unifund attorney it says

"While your motion to compel arbitration has been granted, I would request you first consider making an offer to see if we can resolve this issue short of arbitration. While that is your right under the contract, there are additional fees and costs involved that would make the final resolution more expensive for either side. If you wish to discuss that you should contact #$&@+ in my office".

My gut tells me I may have an alternative next move Rather than pursuing my original planned strategy which I formulated from reading the arbitration thread posted here.

Arbitration clause says they will pay my fees if I ask.

I have not filed or sent any documents yet. 

Options and advice appreciated

Edited by Noreturn
Typo
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Sound advice. I do not want to find myself in a situation where they sue again and my motion is denied. 

I'm just trying to understand why the case was straight up dismissed ( and how to capitalize) without any direction from the judge to follow through with arbitration.

I mean don't these motions normally end in an order to stay the case pending arbitration?

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1 hour ago, Clydesmom said:

Because in the granted order the Judge specifically said the Plaintiff could not re-open if the Defendant failed to file. 

Exactly - the case was dismissed, not stayed.  If Unifund wants to do this again, they start over from the beginning - and they already admitted they are bound by arb clause. I would just let this go and expect to not hear from them again. Read the Indy case if you want to see how badly this can turn out if it goes sideways.

 

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I am guessing the judge dismissed the case because he wanted to wash his hands of it. Sometimes judges do unexpected things. This one was in your favor.  

You might respond to their settlement offer like this: more or less mutual dismissal with prejudice.  You won't file in arb and they won't sue you again or sell the debt.

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  • 3 weeks later...
On 5/14/2020 at 2:26 PM, Goody_Ouchless said:

Exactly - the case was dismissed, not stayed.  If Unifund wants to do this again, they start over from the beginning - and they already admitted they are bound by arb clause. I would just let this go and expect to not hear from them again. Read the Indy case if you want to see how badly this can turn out if it goes sideways.

 

I still haven't made a move because I haven't received any documentation from the court, no signed order. Clerk told me today the only way to get documentation is to pay for the court minutes. My mtc order isn't even signed. Judge straight up dismissed and closed the case. court clerk doesn't even have a "dismissed" order to send me.  Gonna lay low for awhile because it seems like this is over... I think I can claim victory for a second time. 

JDB 0

Pro Se 2

 

 

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  • 8 months later...

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