“I got sued by a debt collector and the case was dismissed without prejudice — what does this mean?”
Being sued by a debt collector or debt buyer (Midland, LVNV, Portfolio, Cavalry, etc) is no fun, so it is often with great joy the consumer realizes that the debt collector has agreed to dismiss without prejudice.
This is not necessarily a bad thing.
However, it is not a complete victory and it opens you up to being sued again.
As… (Read more)
“What is an Answer to a collection lawsuit and should I file one?”
When you are sued in Alabama by a debt buyer — whether it is Cavalry, LVNV, Midland or Portfolio Recovery — you will be served with the lawsuit or the “complaint” and you need to answer the lawsuit.
To answer means that you respond and either agree to what the debt buyer/debt collector says or you don’t agree with the allegations in the complaint.
If you don’t… (Read more)
“What is a dismissal with prejudice in a debt collection lawsuit?”
A case ends in either a judgment (for defendant or plaintiff) or it is dismissed.
If it is dismissed, it is either WITH or it is WITHOUT prejudice.
We think of “prejudice” as a bad thing but if you have been sued it is a wonderful thing.
It means that the lawsuit is truly over.
You cannot be sued again for the same thing by the Plaintiff — the… (Read more)
“Who is Cavalry Portfolio (SPV) and why are they suing me?”
Many consumers in Alabama have been sued by Cavalry Portfolio (often it is “Cavalry SPV”) which is a debt buyer (debt collector) based out of New York.
Cavalry files a good number of lawsuits in Alabama. Just this month, from December 1 to December 20, there were over 80 lawsuits filed by Cavalry.
So if you have been sued by Cavalry, understand you are not alone.
Many have been… (Read more)
“I’ve received a complaint from a debt collector. What exactly is this?”
The “complaint” is the legal document (pleading) that starts the lawsuit against you.
It does several things:
Once you are served with it, your time limit to answer starts running to answer the lawsuit (30 days in circuit court; 14 days in district court; 14 days in small claims court [this is for Alabama]);
It tells you who is suing you — this is the “plaintiff” who started… (Read more)
“Why am I being sued by some company I have never heard of like Midland Funding, LVNV Funding, Portfolio Recovery, etc?”
Another way to ask the question is “What is a debt collector or a debt buyer?”
A “debt collector” is a company which collects debts and is not the original creditor.
A “debt buyer” — examples above — is a company that claims to have bought your old debt and is now suing you for it.
Remember there is… (Read more)