what happens when someone takes you to court but don't have the money for a lawyer

That is, if you lose your case, you won't pay money, but if you win, the law firm will take a portion of the money awarded to you. However, it's important to tread carefully before picking a lawyer. Choose a reputable attorney and make sure the rate is agreed upon before the lawyer takes your case.

Full Answer

What happens if you have no money in a court case?

Sep 15, 2020 · Fortunately, judgment awards in most states are valid for five or more years, and may be renewed before they lapse. If the defendant’s financial circumstances change, you still have a shot at collecting your money. Once you’ve identified the judgment debtor’s assets, you have more options. Option 1: Seize Money in Bank Accounts

What happens if you go to court without a lawyer?

Jun 29, 2018 · The possibilities include garnishing your wages if any, or taking your car or property. You may be employed but not have enough money to pay the full amount of the judgment against you. Creditors can garnish your wages by taking up to 25 percent of your earnings to recover what they lost.

Do I need an attorney to take my case to court?

The most common scenario is that someone brings a lawsuit against another person that exceeds the money they have to pay it. If you don’t have the resources to pay a claim or judgment made against you, you are what lawyers refer to as “judgment proof”. This may sound great, but it’s not quite as invincible as it sounds.

Do I have to pay my attorney's bills?

Even if you have no money, the court can decide: the creditor has won the lawsuit, and, you still owe that sum of money to that person or company. If you lose your case. The judge has already decided that you owe money to the plaintiff. The judge has not decided how you are going to pay the plaintiff back.

Why do people sue others?

There are a multitude of reasons people want to sue others, such as money owed, damage to your property or your business reputation , or because of some sort of accident, among others. Before you decide to take someone to court, there are some basic facts about civil litigation you should know. 1. This Isn't Law & Order.

What is civil litigation?

Civil litigation is between two parties in which one party is claimed to have injured another, and it's the kind of litigation most businesses will be involved in. Criminal law is the government prosecuting a crime against society.

What are the types of civil lawsuits?

The types of civil lawsuits businesses may be involved in can be: 1 Employment lawsuits, in which an employee is suing a business, 2 Insurance lawsuits, in which cases may be (and are) settled out of court, 3 Small claims cases or other cases where one party owes money to the other, 4 Breach of contract cases, in which two parties had an agreement that one party doesn't abide by.

What is bench trial?

A bench trial in front of a judge is common. This changes the dynamic of the situation drastically. The types of civil lawsuits businesses may be involved in can be: Employment lawsuits, in which an employee is suing a business, Insurance lawsuits, in which cases may be (and are) settled out of court,

What is an insurance lawsuit?

Insurance lawsuits, in which cases may be (and are) settled out of court, Small claims cases or other cases where one party owes money to the other, Breach of contract cases, in which two parties had an agreement that one party doesn't abide by. 2. You Never Know How a Case Will Turn Out.

Can you go to small claims court without an attorney?

Unless you are going to Small Claims Court without an attorney, if you are taking this case to court to save money or get a big payoff, it won't happen. A good example is taking a non-compete agreement case to court.

Who is Jean Murray?

Jean Murray, MBA, Ph.D., is an experienced business writer and teacher. She has written for The Balance on U.S. business law and taxes since 2008. There are a multitude of reasons people want to sue others, such as money owed, damage to your property or your business reputation, or because of some sort of accident, among others. ...

What happens if you lose a court case?

If the judge makes a decision that you do, indeed, owe money to the plaintiff, the next step is for the plaintiff to follow-up with an action to collect the money. The possibilities include garnishing your wages if any, or taking your car or property.

What to do if you don't have money right now?

The first thing you should probably do is send a letter to your creditor stating that your situation changed and you just don’t have the money right now to make your payments. A couple of good things can happen from this action.

How many times can a debt collector call you?

There are several prohibitions directed at debt collectors including the following. They cannot call you at home more than twice within seven days, for each debt. They cannot call you at work if you ask them not to call and put that request in a letter to them.

Who is the burden of proof in a lawsuit?

The burden of proof is on your creditor (the plaintiff) who must prove that you owe the debt and must prove the amount of the debt. There is a process of Discovery that allows you to get information from the other side.

What is the process of discovery?

There is a process of Discovery that allows you to get information from the other side. You can request such information as the contract or agreement you signed that says you owe the debt. You can request the account number or the ledger (record) of what you owe.

How much can a creditor garnish your wages?

Creditors can garnish your wages by taking up to 25 percent of your earnings to recover what they lost. Creditors can also go after bank accounts and future assets. If you are a student who will soon graduate and become employed, this could be an example.

Can creditors take your property?

Protected Income. The law does not allow creditors to take everything you own. It protects certain income and properties from creditors. You can keep property that is “protected” from creditors. If all your income, property and possessions are protected, then you are considered “collection proof.”.

What to do if you lose a lawsuit?

If you have lost a lawsuit or someone has received a judgment against you, your position may feel hopeless. Although it is a difficult one, there are always things you can do. Being informed and proactive is the best starting point. Let’s review.

What happens if you file bankruptcy under Chapter 7?

If you declare bankruptcy under Chapter 7 of the federal Bankruptcy Code, the right of your creditors to collect from you is cut off [ 2]. Sometimes bankruptcy is something people get forced into, but sometimes it is a smart financial move ...

What is wage garnishment?

Own real estate. 1. Employment – If you are employed but lack the funds to fully pay a judgment against you, the opposing attorney or collection agency will likely try to take some of your wages through a process called wage garnishment.

Is bankruptcy a smart move?

Sometimes bankruptcy is something people get forced into, but sometimes it is a smart financial move to protect yourself. Bankruptcy is generally not advised as the response to a singular debt. Consider your total financial snapshot, the scope of relief that bankruptcy offers, and the non-bankruptcy alternatives.

Can you sue someone for no assets?

Although it’s not a very wise decision, it is possible to sue someone, even if the person being sued has no valuable assets. However, most people investigate the possibility of collecting from the individual they are considering suing before they go through the time consuming and expensive process of a lawsuit.

What to do if you can't pay a debt?

If you cannot pay the debt, tell the creditor. Keep reminding the creditor during your case. If you are collection proof tell the creditor. Even if you do not have the money to pay the debt, always go to court when you are told to go.

What is a repayment plan?

A repayment plan is an agreement with the creditor that you will pay back the debt by paying a set amount every month. The repayment plan may be part of a court order called an “agreement for judgment.”. If the agreement is made into a court order and you do not pay back the amount you have agreed to pay, you could be in violation ...

Can a debt collector win a lawsuit against you?

A creditor or debt collector can win a lawsuit against you even if you are penniless. The lawsuit is not based on whether you can pay—it is based on whether you owe the specific debt amount to that particular plaintiff. Even if you have no money, the court can decide: the creditor has won the lawsuit, and, you still owe that sum of money ...

What to expect when taking someone to court?

When you take someone to court, you may have expectations about how the process will go. Most of our expectations come from TV shows like The People's Court, and Law and Order. But real courtrooms aren't like that. You may think you have a good case, but anything can happen - and often does. You may want to make a point, but small claims court isn't about punishing people or making points - it's about the facts of who owes what to whom. Being realistic about your expectations can help you get through the process without tearing your hair out.

What happens if you don't appear in court?

If you don't appear, the judge will almost certainly rule against you. When you file your complaint, the clerk will write the date of the hearing on the paperwork.

How to file a small claims claim?

Filing a claim in small claims court is designed to be an easy process. Go to your county's civil courthouse and talk to the clerk of the court there. Many courts offer document forms that you can fill out with information specific to your case and file -- usually a complaint and a summons. A filing fee is usually required.

Who is Jean Murray?

Jean Murray, MBA, Ph.D., is an experienced business writer and teacher. She has written for The Balance on U.S. business law and taxes since 2008. When someone says, "I will take you to court," they probably mean small claims court. And, yes, Judge Judy and the People's Court are examples of this type of court, ...

Is Judge Judy a small claims court?

And, yes, Judge Judy and the People's Court are examples of this type of court, although most judges aren't as flamboyant. Before you file a case against someone -- or if you receive a summons to appear in court -- understand exactly what happens in small claims court. You should understand the legal process, including where to file the claim, ...

How to prepare for a car accident trial?

They can prepare your claim for trial by gathering evidence and carefully presenting your case. Presentation of Evidence. You will need to provide evidence that convinces the jury it is “more likely than not” that the other driver was negligent or caused your injuries in the car accident.

What is civil case?

Injury claims are known as civil cases, meaning they are more focused on helping the accident victim recovery for their losses than finding someone guilty and punishing them. Civil cases are also heard at a different court than criminal cases.

What is witness interview?

Witness interviews. Expert interviews, such as from a doctor who treated you. Medical records. Other evidence demonstrating your injuries. Accident reports. The defendant (the at-fault driver) and their lawyer are then able to cross-examine you or your witnesses, provide objections to evidence, and present their side.

Do car accidents go to court?

In many cases, a car accident case does not have to go to court. When you hire a car accident lawyer, they will get to work investigating and gathering evidence to demonstrate your damages. If the other driver’s insurance company and your lawyer can come to a fair settlement, the case can be settled and there is often no need for a trial.

Can insurance companies settle cases?

Don’t Trust the Insurance Company. Insurance companies are for-profit businesses, meaning they can want to settle a case by paying out as little money as they can. If they are not willing to pay out what you deserve or they try to place the blame on you, your attorney may advise taking the case to trial.

Can a car accident lawyer take a case to trial?

Since lawsuits are expensive, most car accident lawyers won’t take a case to trial unless they think it is powerful enough to win you the money you deserve. If you’re unsure about your case, contact a car accident lawyer as soon as possible. Contact a Lawyer Today for Help Preparing for a Trial in Your Case.

Can you sue a car accident in Georgia?

If you’ve been in a car accident in Georgia, you may be wondering if you’ll have to sue the at-fault driver or whether you need to hire a car accident lawyer to recover your damages. Car accident cases don’t always go to court, but there are situations where it’s the best option. And when this does happen, it’s best to be prepared in knowing ...

What to do if you don't have money?

Even if you don’t have a lot of money available, it's a good idea to talk to a lawyer who can point out defenses or legal violations that you didn’t notice. Usually, it’s best to answer the suit. Also, if you have some money available, you might want to consider settling the debt.

What happens at the end of a trial?

At the end of the trial, the judge (or jury, if applicable) will make a decision. The judge or jury’s decision is then entered in the court records as a judgment, and it becomes official. (To learn about how the collector can use a judgment against you, read Types of Debt and Debt Collection Practices .)

What is a debt collection lawsuit?

A debt collection lawsuit begins when the collection agency files a “complaint” (sometimes called a “petition”) in court. The complaint will explain why the collector is suing you and what it wants—usually, repayment of money you owe, plus interest, fees, and costs.

How long does it take to file a lawsuit?

Generally, you’ll get around 20 to 30 days to file a written answer to the lawsuit with the court. You’ll have to respond to the allegations in the complaint and raise any defenses you have, like that the statute of limitations (the law that sets a time limit on the right to file a lawsuit) has expired, or counterclaims against the collector, such as violations of the Fair Debt Collection Practices Act.

What is a summons in court?

The summons informs you that you’re being sued, and gives you information about the case, like the deadline to file a formal response, called an “answer,” in court.

How to challenge summary judgment?

To challenge a summary judgment motion, you’ll have to file paperwork opposing the motion. If you don’t, you’ll probably lose. Because the outcome of the lawsuit is at stake, you should seriously consider consulting with a lawyer, if you haven't already, if the collector files this kind of motion.

What is discovery in a lawsuit?

“ Discovery ” refers to the formal procedures that parties in a lawsuit use to get information and documents from each other to prepare for trial or settle the case. If you don’t raise any defenses or counterclaims, the collector probably won’t engage in discovery. But if you have a good defense or file a counterclaim, you and the collector might want to participate in discovery.

What happens if you don't show up for court?

If they don’t show up the court can issue a civil arrest warrant. Potential result: Arrest and incarceration.

What to do if you can't settle a case?

Do not agree to a settlement that you know you cannot pay. If you cannot settle, prepare for trial. This is really hard without a lawyer, but you need to think of every witness, document, photograph (including ones you can now take), and anything else to help explain your side of the case.

How to execute a judgment?

Generally speaking, a judgment creditor can execute on the nonexempt assets of a judgment debtor pursuant to the remedies afforded to him under state law. This process usually involves: 1 Attaching nonexempt assets by having a sheriff levy upon them: 2 Placing a judgment lien on real estate & either foreclosing upon the lien or waiting until the property is sold; 3 Garnishing goods, effects or credits due the judgment debtor from a third party (wages, bank accounts, accounts receivable, notes etc);

What is homestead exemption?

The next thing you better look at (should have looked at even before initiating a lawsuit) is the homestead exemption laws — what property, assets, or income of the defendant are protected from creditors — including judgments.

How long is a judgment good for?

Your judgment is good for a set period of time (typically 10 years, but this varies depending on state law) and in some cases, you can have it extended. The procedure for doing this also varies from state to state, but if you’re going to do this, don’t wait until the last minute.

What happens if you have no assets?

Continue Reading. If they have no assets and no source of income, you are screwed.

Can you garnish your wages?

File with the court to garnish their wages if they are employed. It’s the responsibility of their employer to answer the court filing and deal with making judgment payments (to you, often via the court) out of their earnings, which tends to make employers rather unhappy with their deadbeat employee.

What happens if you don't have an attorney?

If you don't, or want to hire your own attorney, the judge will give you a short amount of time to hire one.

What happens if you appear before a judge without a lawyer?

If you appear before a judge without a lawyer, and you were already advised to your right to counsel, a Judge could determine that you waived your right to an attorney and try you without counsel. On the other hand, a judge could give you a postponement to get an attorney.

What to do if you don't qualify for unemployment?

Proof of unemployment or other government assistance will be extremely helpful. If you don't qualify, the case will be reset to give you time to get someone hired.