Hello, I was injured last year at work and the doctors say I will never be able to work again. As most people know w/c laws are for the employer not employee so I will not receive much from them once this case is settled. I checked my credit report on the 26 of Sept. and found a judgement on there from SAC their Lawyer is a person I had called and talked about hiring for my w/c but that doesn't really matter. The settlement according to my credit report was entered 7/11. I was never served papers and have typed up my own Set aside form. Also I asked for the case to be dismissed do to the fact that A. All disputes according to the contract were to be settled by arbritration. B. At the time I entered the contract I was under legal prescription narcotics that I had notified the creditor of and that I even told them I may not be in my right mind as my wife says it because of the way these narcotics affected me. They were for my hand which hand been completely destroyed when a 60 ton press came down on it. I want to make sure I am going about this the right way. I have witnesses that were there when I signed the car loan that after I told them that they said it was okay and not a problem for me to sign. I have no assests and with my disorder of RSD the doctors say I will never be able to work again I have applied for SSI waiting on a hearing for that. I live in Indiana listing that because I know laws depend on where you live. If there is anything else that anyone can tell me to do before I mail this petition in would be helpful. I am going to see a bankruptcy lawyer next Wednesday but not sure if I will be able to afford him either or if that would even be a wise thing to do.

I'm not following what the judgment is for. What is SAC? It sounds like you took out a car loan AFTER your accident. Did you ever take possession of the car?

But, if they obtained a default judgment because you were not properly served, then yes try to have the judgment vacated. Whether you can get the suit dismissed if they refile is another question.

... I am going to see a bankruptcy lawyer next wensday but not sure if I will be able to afford him either or if that would even be a wise thing to do.

The main reason you would file bankruptcy would be if you have assets which are not exempt from execution and which therefore the judgment creditor would be able to take. The bankruptcy lawyer will be able to tell you the whether you do, according to Indiana exemption laws.

Yes it was a car loan we had possession of the car for two days although we had the car paid 6 months ahead. They took possession of the car because the steering column went out they said they were going to fix it but instead sent it to a junk yard.

The main reason you would file bankruptcy would be if you have assets which are not exempt from execution and which therefore the judgment creditor would be able to take. The bankruptcy lawyer will be able to tell you the whether you do, according to Indiana exemption laws.

Yes I have looked up the laws in Indiana and I am judgement proof according to the laws here. I know that is no defense. I was trying to find away to fix my credit so when we get my workman's comp settlement my wife and I can get a home, but with this on my report there is going to be no way I have already made arrangements with my other creditors which in total after almost 2 years is only about 4,000 dollars but have made arrangements with the creditors to pay to delete off my credit. This company on the other hand refuses to try to work with me and just call me a deadbeat when I call them.

They may sing a different tune if you get the judgment vacated. If you can prove what you say, they may not be able to win if you are given the chance to defend yourself.

Filing bankruptcy is not likely to significantly fix your credit rating. So, other than possibly protecting your WC settlement (I don't know if it would be exempt under Ind. Law.), I see no reason to file.

Your best bet at this stage is, as you are doing, try to get the judgement set aside. In addition to the defenses to this that you mentioned your first post, the circumstances in post # 4 should also be pleaded as a defense, should you get the judgment set aside and the plaintiff again goes for a judgment.

It looks to me that their position would be that the stearing column problem was not covered by their warranty. Is this correct?

Thank you for the information. Yes I can easily prove all my statements I have the letter from the junk yard which states that SAC had turned it into them with in the first month of me owning the car. Plus I have all the charges to my bank account which show I had paid the car off for 6 months before they took possession of it. Even the credit report shows the car was never late for the first 6 months.

It was not covered the dealership had made a written contrat with me since the problem happened within 2 days of buying it that they would fix it at no cost to me. I still have this contract. I did not even realize this was a defense thank you for pointing that out to me. Yes all of my workmans comp is exempt from creditors in In.

I would consider countersuing SAC (you never explained who they were, I assume it's a car dealer). They owe you your down payment and 5 months or payments.

Yes I am sorry they are a car dealership. Superior Auto Inc. to be exact.

Well good luck and keep us posted.

Sorry to bother you guys again but noticed another problem with the judgement the orignal amount of the loan was for 7,100 after payments the charge off amount was 5480. I checked my other credit reports the company reported that I wasn't late until August 2007 loan started July 1st 2006 the loan was for 29 months. I looked at my old bank statements and my final payment was in sept. 06 with the initial payment being for 6 months. The judgement is for 13,893 almost 3 times the charge off and what was actually owed. I have no idea how this number was made up. I also talked to some litigation lawyers in Indiana and the cheapest retainer was 2500. I don't know what other legal options I have but I have 2 doctors reports and 1 vocational expert report saying that I will never be able to work again. The lawyers said I had a good case for several reasons 1. The medication 2. The verbal contract that they would fix the car and never did which is shown by the fact they took the car back without me owing money and the letter I have from a dealership stating it was sent to them to fix before they sent it to the junk yard to be fixed. Not sure I can handle this myself in court I know I can not afford a lawyer as is now disablity won't kick in till I go to court and I am still waiting on PTD w/c settlement. So any ideas out there please let me know

Check local law schools. Some have clinics that will help you prepare the paperwork and outline a strategy.

As for the amount, with interest and fees it could easily double or triple what they say you owe.

Okay thank you for the advice will see what I can do I have already contacted legal aid but they haven't responded back yet. Guess time will tell. Lawyers tell me different things one lawyer says fight it other says why bother just file bankruptcy on it but I don't see the point in that if I can get this off my credit report my score will go up to 700 at least. While if I file bankruptcy it will drop me to 575. Just confusing but thanks for your guys help.