What Happens If You Don’t Answer a Lawsuit
After a case has been filed, and a party has been served with legal papers, defendants typically have several weeks to respond to a lawsuit. A party responding to a complaint generally has two options: they can simply answer the allegations in a complaint, or they can file a motion to try and dismiss the case at an early stage of the case. However, parties sometimes fail to respond to a lawsuit altogether. Some might forget to answer legal papers, and others may refuse to respond to litigation, since they hope that the lawsuit will simply disappear. Nevertheless, you can face serious consequences if you don’t answer a lawsuit, and it is important to respond to litigation to protect your rights.
Default Judgment
The first thing that typically happens if you don’t answer a lawsuit is that the party bringing the litigation will try to obtain a default judgment. The process for obtaining a default judgment is different depending on the state in which the lawsuit is filed and whether the litigation is filed in state or federal court. Generally, the party seeking a default needs to either ask the court to enter a default or make a formal motion seeking that a party be held in default.
In order to support their request, the party seeking a default usually must file affidavits of service showing that the defaulting party was served with legal papers. In addition, the party seeking a default usually must show that the time to respond to the lawsuit has expired, and there has been no agreement to extend this time. Furthermore, before a default is entered, parties must usually prove that the defaulting parties are not part of the military, since certain personnel in the military cannot be held in default if they have certain assignments. Once a default judgment is entered, the party seeking a default can move one step closer to recovering from the defaulting party.
Amount of Damages
The next thing that happens if you don’t answer a lawsuit is that the amount of damages due to the party seeking a default will be determined. If a party is seeking a sum certain, such as from a breach of contract or another clear-cut situation, the court may determine the amount of damages simply by reading a party’s papers. However, if the amount of damages available in a given lawsuit is more difficult to determine, a court will usually order that a proof hearing be held in front of a judge or a specially-assigned judicial officer tasked with hearing this matter.
At a proof hearing, the party seeking the default will have the chance to present testimony, expert reports, documents, and other evidence to support their allegations about damages to which they are entitled. The court officer in charge of the proceeding may ask their own questions, and if after the hearing the court officer is satisfied that the damages sought are reasonable, a judgment in the amount of those damages will be entered. Because of the nature of calculating damages, personal injury matters, malpractice cases, and similar lawsuits usually need a proof hearing to determine the amount of damages that can be assessed against a defaulting party.
Recovering Damages
Once a default judgment has been entered, and damages have been set, the next thing that happens if you don’t answer a lawsuit is that the party that obtained the default judgment will attempt to recover damages. Parties have a number of tools at their disposal when recovering damages. One common method of recovering damages is wage garnishment, which involves a court order requiring employers to pay a certain percentage of a worker’s salary to the party that has a judgment against the employee. In addition, liens can be placed on real property and personal property, and in some instances, this property can be sold to satisfy judgments. Furthermore, parties that have default judgments against another can recover money in bank accounts maintained by the defaulting party. It is sometimes difficult to discover what types of assets a defaulting parties possesses, but a skilled attorney (and often a skilled private investigator) can help locate money that can satisfy a default judgment.
Vacating Default Judgments
Even if you don’t answer a lawsuit and a default judgment has been entered, it is possible to vacate the default judgment, which means that a default judgment will no longer exist against a party. Courts do not like to decide disputes by default, and prefer to hear cases on the merits with the participation of all parties. Generally, in order to vacate a default judgment, a defaulting party must show that they had a reasonable excuse for the default. In addition, the defaulting party must show that they have a meritorious defense to the allegations asserted in a lawsuit. Depending on the jurisdiction, parties may only have a limited time to vacate the default, usually around a year. As a result, it is important to contact a lawyer as soon as possible so that a lawsuit can be answered, or a default judgment can be vacated if one has been entered.
The Rothman Law Firm has substantial experience with default judgments, and we have helped clients pursue default judgments and vacate default judgments that have been entered against them. If you are looking for an experienced New York and New Jersey attorney to handle your default judgment or other legal issue, please feel free to contact The Rothman Law Firm to request a free consultation.