I need your help: AP Threat

[GoodSon]

I believe it is an AP. I just wanted to know if it was the actual AP, or if it is a hearing to see if they have enough evidence to file an AP.

Thanks!

[justbroke]

OK, so a hearing has been set for November 7. Does anyone have any idea what will happen here???

This is probably a "scheduling" hearing, also known as a pre-trial hearing. This is where the Judge will hear initial "motions" and do some "housekeeping". The scheduling portion seeks to determine when the plaintiff wants to do discovery and basically look at the "Court's" calendar to schedule the various procedural events that will happen.

I didn't jump into this discussion earlier because the very capable des and debee are doing well; you don't really need my opinion on this. However, I lean to what des wrote earlier and what your attorney "clearly" saw as the best way out; settlement. It may be too late to get the $8K deal now that it has been filed.

This one is going to be tough and it's a very tough call. I do see the point that debee is making with the changes in circumstances, but you basically left one creditor "holding the bag" and they are none too happy! They will attack your timeline, whether you made "minimum" payments (which should have been much lower than your other cards combined), and that you stopped after only 2-3 payments! They will probably call you to the stand to testify as well.

It's still a tough case to prosecute for both sides. I wish you the best since I have the feeling that you are going to proceed to trial.

[GoodSon]

This is probably a "scheduling" hearing, also known as a pre-trial hearing. This is where the Judge will hear initial "motions" and do some "housekeeping". The scheduling portion seeks to determine when the plaintiff wants to do discovery and basically look at the "Court's" calendar to schedule the various procedural events that will happen.

I didn't jump into this discussion earlier because the very capable des and debee are doing well; you don't really need my opinion on this. However, I lean to what des wrote earlier and what your attorney "clearly" saw as the best way out; settlement. It may be too late to get the $8K deal now that it has been filed.

This one is going to be tough and it's a very tough call. I do see the point that debee is making with the changes in circumstances, but you basically left one creditor "holding the bag" and they are none too happy! They will attack your timeline, whether you made "minimum" payments (which should have been much lower than your other cards combined), and that you stopped after only 2-3 payments! They will probably call you to the stand to testify as well.

It's still a tough case to prosecute for both sides. I wish you the best since I have the feeling that you are going to proceed to trial.

Thanks justbroke. This is a very rough time for me. The whole situation is sad. I have so many regrets, I don't know where to begin. My attorney emailed them a few weeks back asking for $6000, but they never responded and filed instead. So, I guess it will go to trial. I will just pray and gather all of my evidence.

Approximately how long after trial is a decision rendered? Will the judge let us know that day?

Thanks!

[GoodSon]

They are claiming "misrepresentation, false pretenses, and/or fraud".

[despritfreya]

My attorney emailed them a few weeks back asking for $6000, but they never responded and filed instead. So, I guess it will go to trial.

Just because they filed the AP and there is a status hearing coming up does not mean the creditor is no longer willing to settle. Your attorney needs to do a follow up if you have an offer on the table.

Des.

[GoodSon]

Thanks Des. I really appreciate it!

If it was just me, I would have zero problem fighting this. But since it is in my wife's name and she is the one in the summons, I would really like to settle for $6000. My attorney's paralegal emailed them about the $6000 offer. Let's see what happens. I believe in my heart that if it goes to trial, we have a strong chance to win, based on our evidence. But I would rather not risk it at this point. I just don't want to put my wife under any extra stress.

[justbroke]

They are claiming "misrepresentation, false pretenses, and/or fraud".

Many times, these "trials" are pretty quick, lasting less than a full day of court and sometimes shorter. It really depends on witnesses, expert testimony, etc. Many times, the Judges don't want to hear closing arguments and ask the attorneys to submit a "Memorandum of Law" which provides the legal theory behind why that party should win. The Judge will usually take the memos under consideration and ponder the case for a week or more. Then the Judge will enter the Order. If it's a significant case and there was a good question of law, the Judge may also issue an opinion on the matter.

So, I don't know how long it will take. It could take 6 months just to get to trial!

[GoodSon]

Evidently, they had sent an acceptance to the $6000, but somehow, my attorney did not receive it.

I spoke with another attorney who basically said our attorney dropped the ball by not having us wait. She also said that the timeline makes this difficult for us. So after she said that, I decided to call my attorney and see what we can do. I was not able to get in touch with them, so I said to hell with it, and called the attorney for the CC company. They will be sending out the $6000 agreement to our attorney.

My wife is extremely happy with this. She did not want anything to drag out, and $150 a month for 40 months is "do-able". I really wish I would have asked for $100 a month. But this will do. I am just happy to get this behind us and move on with our lives.

Thanks everyone for your support. Only the man upstairs knows if we would have won. But I don't want to find out. LOL

[debee]

If you feel good about where you stand now, you won.

[justbroke]

If this $6000 settlement is payable over 40 months at $150 per month with no interest, then you have certainly gained a victory. You may have spent that on litigating this or this could have gone to Judgment for the entire amount -- payable with interest. Make sure that the paperwork is consistent with what you thought is correct. It probably won't be a "Stipulated Dismissal of Adversary Proceeding Without Prejudice". It will likely be a "Joint Motion for Entry of Stipulation of Dismissal and Final Judgment in an Adversary Proceeding". Both sides will sign it. It is technically a judgment against you, but the terms of that judgment will be spelled out. It will probably indicate that should you default in the terms of the stipulated judgment, then the ENTIRE AMOUNT will become due immediately (acceleration) and that the Judgment may be recorded and the debt prosecuted without the need to return to the Bankruptcy Court for any order granting such pursuit of the debt under non-bankruptcy laws. (That was a mouthful.)

In other words, make sure you adhere to the spirit and letter of the stipulated agreement! Or else!