Who has been sued by AMEX???

[rockyroad]

Got the summons today. Haven't even forced myself to read over yet. Just wondering if I should answer the suit or not. Can't file for a while longer...

This may be a dumb question, but why are judgements the end of the world according to some people if they are just going to be vacated when filing the BK? I realize the attorney will charge extra when a judgement is involved and yes, it will appear on my credit report.
Any other reasons I should be fighting the judgement when eventually I am going to have it vacated?
I'm in TX. so no garnishments...

[BigJohn]

I filed BK because one creditor served me on a business loan. The court was in another State. The agreement claimed they could sue me in another State. I wanted to make sure our business was protected so I felt at that time it was a good time to file. We had already paid our lawyer so all I had to do was bring in our financials.

[lalap123]

rockroad,
How long in between last paying AMEX and being served?

[Pizza]

What I think a lot of us would like to know is what the variables are that trigger lawsuits and other aggressive collections. Looks like it's pretty random. My guess would be that with the financial crisis going on, creditors and collectors are shifting through a huge pile of past due statements and muddling through them in no particular order.

[rockyroad]

Last payment was July 08. They started trying to serve me in Feb. and finally got an ok from the judge to leave it at my front door.

I think in my case they sued fairly quickly because they are the only ones I'm not paying. They can view my credit report and see that I am still paying the mortgage, cars, and other smaller credit cards. Plus it is a buisness card so maybe they are thinking there are some assets there? It is also a huge amount if they take that into consideration when deciding who to sue.

[2Bshinyandnew]

Last payment was July 08. They started trying to serve me in Feb. and finally got an ok from the judge to leave it at my front door.

I think in my case they sued fairly quickly because they are the only ones I'm not paying. They can view my credit report and see that I am still paying the mortgage, cars, and other smaller credit cards. Plus it is a buisness card so maybe they are thinking there are some assets there? It is also a huge amount if they take that into consideration when deciding who to sue.

I think you hit the nail on the head. In addition to your FICO score, creditors have access to your Bankruptcy Risk Score:

http://www.bankrate.com/brm/news/bankruptcy/20060116a1.asp

[Recessionist]

Rule of thumb: NEVER DISREGARD A SUMMONS OF ANY TYPE - EVER. ALWAYS ANSWER IT. Even if you are going to file soon, it is better not to avoid filed court actions. If nothing else, it shows the trustee that you tried to deal with the problem.

[2Bshinyandnew]

Rule of thumb: NEVER DISREGARD A SUMMONS OF ANY TYPE - EVER. ALWAYS ANSWER IT. Even if you are going to file soon, it is better not to avoid filed court actions. If nothing else, it shows the trustee that you tried to deal with the problem.

Hmmm. I think that this strategy would depend entirely on the state you are in and your state's rules of civil procedure. Filing an answer could potentially open a whole can of worms that may be better avoided. It depends on the situation. I would say the Rule of Thumb is, there is no Rule of Thumb. We have debated this extensively here on this board.

A Bankruptcy Trustee is not going to care if you filed an answer to a civil lawsuit. The bankruptcy trustee cares about 1 thing...assets...if you have them and if he/she can get them.

[catleg]

Rule of thumb: NEVER DISREGARD A SUMMONS OF ANY TYPE - EVER. ALWAYS ANSWER IT. Even if you are going to file soon, it is better not to avoid filed court actions. If nothing else, it shows the trustee that you tried to deal with the problem.

That statement amounts to a troll on these boards, and nobody likes a troll!

Just for the record of anyone who just got here, there are some among us with a 180 degree different view on that subject.

[Recessionist]

I am not trying to be a troll - and I may be wrong about the trustee's opinion, but ignoring a summons is rarely a good idea. If someone can tell us when its a good idea to ignore a summons, I want to know. I didn't say any of this to be antagonistic - I am new and this board has been incredibly helpful.

[2Bshinyandnew]

If someone can tell us when its a good idea to ignore a summons, I want to know.

This was a lively thread, entertaining as well:

http://www.bkforum.com/showthread.php?t=34381

Briefly, unless you are collection proof and have nothing a creditor can attach, by answering a money lawsuit you potentially put yourself in the position of being vulnerable to being forced by the judge to answer questions and/or give information the creditor doesn't already have. Some folks disagree with this. That is why I have come to the conclusion that there is no Rule of Thumb

[Recessionist]

Thank you. That is enlightening. I hadn't really thought about it that way - exactly the reason I am here - to learn.

[Recessionist]

I am learning. My apologies.

[2Bshinyandnew]

Please do some reading before you dole out poor advice. You act like this question and the OPs post have never been dealt with on here.

One of the main reasons is, A: the trustee doesn't give a crap if you get sued or not. B: you can vacate a judgment in the proceeding.

And if you even think for one minute a trustee gives a crap on weather you answered a civil suit, your terribly mistaken.

And lastly, by answering you can end up losing a whole a lot more a lot faster than in your just let it go to a default judgment and then vacate it.

We all come here to learn. I don't believe Recessionist intended harm. The more people participate, the better this forum is! Lets not scare the new poster's away. Recessionist will not only be scared to file and scared not to file, he/she will be scared to post as well.

[optimistic1]

Im sorry I can help but seek some clarification to your statement BigBoy, as there is a sticky that goes into lawsuits etc.,etc.

You stated.

"by answering you can end up losing a whole a lot more a lot faster than in your just let it go to a default judgment and then vacate it."

What exactly do you mean by that?

The mantra on this forum has always been to answer the complaint.