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MTC help


Bugsy
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Hello everyone I had my hearing this morning and to my surprise the plaintiff (midland credit) asked the court to dismiss the case so I can pursue the motion. Unfortunately they dismissed without prejudice. My question is do I continue to pursue this in arbitration? Or should I just leave it alone? Thanks in advance 

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  • 2 weeks later...
6 hours ago, Bugsy said:

Yea I filed just in case I just said “billing dispute” as the reason. I don’t think I have any fdca violations. If they follow how should I settle it with them?

Right now is the perfect time to settle.  
1.  Make sure you send a copy of the filing to their attorney 

2. Wait a few days, then contact the attorney’s office and offer a mutual dismissal of all claims by both sides in arbitration and court.  

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5 hours ago, womanonfire said:

Is the general rule here "never arbitrate with an OC unless you have viable defenses or counter claims?" 

Well, what is the alternative?  If you have a bad case in arbitration, you also have a bad case in court.  There are advantages to arb even with an OC.  First, it raises their costs.  With a small debt, some OCs might prefer to dismiss and sell the debt off to a JDB rather than bleed money in arb fees.  I beat an OC in court over a small debt (about $2K) just by being aggressive with discovery.  This is before arb was a viable option.

Second, arb is unfamiliar territory for most debt collection attorneys.  They are used to filing cases in friendly courts, where they show up all the time, maybe are friends with the judge and court personnel.  Plus, their filing fees provide financial support to the court.  Arb forces them into a strange forum, with rules they may not know, and have to study up on, with an arbitrator who is a stranger.  Remember, these attorneys are used to getting default judgments that involve almost no work.  Just file a boilerplate motion.  Arb is a whole new ballgame, one they would probably prefer to avoid.

 

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