Debtors' Rights in a Lawsuit
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0204EN – Rev. 11/2013 Debtors’ Rights in a Lawsuit Introduction • Read the papers carefully The thought of being sued can be scary. A • Mark down on a calendar all the lawsuit can cause emotional and physical dates stated in the documents stress. The best way to protect your rights • Get legal advice, if possible in the lawsuit is pay attention to all the information you get. What court should I appear in? Read this publication if someone sues you The Summons and Complaint will tell you for money. We provide general information. what court you are being sued in. Generally, This publication may help if you need to lawsuits for money are either in Superior represent yourself in court. Court or in District Court. Find more at www.washingtonlawhelp.org. Usually, the amount of money claimed in Look under the category “Consumer and the lawsuit determines which court will Debt” and then “Debt Collection.” You will hear the case. Cases in Superior Court can find publications such as: be for any amount (usually over $75,000). • Debtors’ Rights: Dealing with Cases in District Court can be up to Collection Agencies $75,000. • How to Answer a Lawsuit for Debt There is one exception. The District Court Collection has a separate division called “Small Claims Court.” Under Small Claims Court’s rules: • How to Claim Personal Property Exemptions • The amount at issue in the case can be no more than $5,000. Another publication available at www.washingtonlawhelp.org that might • Small Claims Court can only award help is Small Claims Court. Look under the money damages. It cannot award category “Consumer and Debt” and then personal property such as cars, “Small Claims Court.” We also have equipment, and household furniture information in many other areas of law. or appliances. • Small Claims Court cannot restrain Am I being sued? or enjoin a party. Sometimes debt collectors send multiple This means the court cannot pieces of mail and notices. There is one sure o stop or keep you or the way to know if they are suing you. If you person suing you from taking have gotten documents called a Summons a particular legal act. We and a Complaint, you are being sued. generally call this type of These documents are generally hand- court action an injunction. delivered by a sheriff or a professional An injunction is a court order delivery service. commanding or preventing If you got a Summons and a Complaint, you an action. must: 1 0204EN – Rev. 11/2013 • You or the person suing you may not one. All this information must be on have a lawyer present without the top of the Answer. (All this special permission. You may still talk information is on the Complaint.) to a lawyer or get legal advice. 2. A statement saying what you agree This publication does with and disagree with in the not explain how to put Complaint. If you do not agree with a case on in Small any of the paragraph, deny the Claims Court. Our paragraph. Otherwise, explain which publication called Small parts you disagree with, and why. Claims Court has that a. Example: “I admit statement information. one in the Complaint. I deny statement two in the How do I reply or answer to a Complaint.” Summons and Complaint? 3. If your income is exempt from Once you get a Summons and Complaint, garnishment (see the following you must file an Answer. An Answer is your section “What property cannot be response or defense to the statements taken to pay the Judgment made in the Complaint by the person suing Creditor?”), put a paragraph in your you. The Summons and Complaint usually Answer saying so. have the following information: a. Example: Your only income • The deadline for filing your Answer is Social Security, which is in the Summons federal law exempts from • The Plaintiff is the person suing you garnishment. You could write the following: • The Defendant is the person being i. “My only income is sued (you) Security, which is exempt • What the Plaintiff is claiming from garnishment.” (alleging) happened b. This is not a defense to the • What the Plaintiff is asking for or lawsuit. It does provide the suing you for Plaintiff notice that your • The Court hearing the case income is exempt from garnishment. If you lose the Answering the Complaint can take several lawsuit and the Plaintiff steps. If you disagree with what the Plaintiff garnishes your bank account says, or think the Plaintiff should not get containing exempt funds, what it asked for in the Complaint, you you may have a lawsuit must answer the Complaint in writing. against the Plaintiff. Your written Answer should have: i. What is garnishment? A 1. The name of the court (either garnishment is a court Superior or District Court), the name case the creditor starts to of the Plaintiff and the Defendant, ask the court to order and the court number, if there is you to turn over property or money to cover your 2 0204EN – Rev. 11/2013 debt. The sections “What 7. You must file the original Answer in is a Wage Garnishment?” the court where you were sued. You and “Can a Judgment can file the original copy by Creditor Garnish My Bank delivering it to the Superior Court or Account?” have more the District Court listed on the information. Complaint. 4. If you believe the Plaintiff owes you 8. Keep a copy of the Answer for your money, explain why in writing (this records. is a Counterclaim) If you do not answer within twenty a. What is a Counterclaim? A days, you will be in “default.” If you did counterclaim is a claim for not deliver an Answer to the Plaintiff’s relief or compensation made lawyer or the Plaintiff within the against the Plaintiff. Think of twenty-day period, and the court has it as a counteraction the not entered an Order of Default, Defendant takes against the immediately file and serve an Answer as Plaintiff. explained above. b. There is a filing fee for a What does it mean to default? A Counterclaim. Superior default is a failure to timely answer Courts charge $200 for a a Complaint. If you default, Plaintiff counterclaim. District Courts can win without further notice to may charge $53. you. 5. Your signature, address, phone I filed my Answer. Now what? number, and the date. After you have filed and delivered your 6. You must deliver a copy of your Answer, the Plaintiff may want to settle the Answer to the Plaintiff’s lawyer, or case to avoid going to trial. You also may the Plaintiff if s/he does not have a want to try negotiating with Plaintiff. lawyer, within twenty days after you got the Summons and the There may be a trial if the case does not Complaint. The Plaintiff’s lawyer or settle. Or the court may resolve the case by the Plaintiff must get your Answer motion or other proceedings. One type of within twenty days after you are proceeding is called arbitration. Some served with the Summons and the counties require mandatory arbitration. Complaint. There are two ways to Arbitration is a form of deliver the Answer: dispute resolution. A third a. You can deliver the Answer party who both the Plaintiff in person to the Plaintiff’s and Defendant (you) agree lawyer or the Plaintiff. If that on usually mediates. The person does not have a decision of the arbitration is lawyer, get a stamped legally binding. “received” copy to prove you delivered a copy. There may be other steps before a trial begins, such as motions or pre-trial b. You can deliver the Answer proceedings like discovery. using certified mail. 3 0204EN – Rev. 11/2013 At trial, you may ask questions of the The Judgment Creditor can collect by: Plaintiff and other witnesses. You may also • Garnishing your wages or bank tell your side of the story through your own account testimony, your witnesses, and papers that support your case. • The sheriff can sell your personal property (cars, appliances) or real If you are going to represent yourself, go to property (house and land) the courthouse a few days before your trial. Watch other cases so you know what to • You can voluntarily pay the expect. judgment or try to work out a payment plan with the Judgment What if I lose at trial? Creditor If you lose at trial, the judge will sign an The Judgment Creditor may not: order stating you owe the Plaintiff money. • Garnish your wages or take your This is a “Judgment.” The Plaintiff who has property without a court order won a judgment is now a “Judgment Creditor.” If the Plaintiff loses, the judge • Come into your home or your will sign an order to that effect. garage to take your possessions, unless you voluntarily let the If you have a counterclaim and you win on Judgment Creditor in or the it, the judge will sign an order stating the Plaintiff owes you money. This makes you Judgment Creditor has a court order repossession the “Judgment Creditor.” allowing the . Repossession is the act or an You, as well as the Plaintiff, may appeal the instance of retaking property. judge’s decision. If you have bought a car or The Judgment Creditor has ten years to other property, and have put collect on the judgment, and may renew that property up as collateral the judgment for one more ten-year period. or security for a loan for that purchase, that Creditor may How can a Judgment Creditor be able to repossess the collect? property without a court Going through the process and losing a order.