In 2001 I was sent summons for judgment for a car that was repoed in 1998. I did not know what to do at time and was scared, I set up payment plan with collector and did not go to court, I made about 3 payments in 2001. I have not paid them since. After 7 years I just recv a summons of garmishment for 12,000. They have not contacted my work yet and there is no garnishment # on the summons, it only states the amount of judgement, judgement # and my employers name. What should I do at this time and is it possible for me to file a traverse on the grounds I never knew about the judgment. Nothing from mazda, primus (the plantiff) or the law office debt collector has ever been on my credit report. Thanks for your help!!

felicity39,

There is a statute of limitations on debts, but I believe it varies from state to state.
Perhaps you should go to a law website for your state and see what it says.

I don't know what "filing a transverse" is, so I'm probably not much help. Can you find the money to get advice from a lawyer? I think that might be your safest bet.

In my area there is a free legal service called "Northwest Justice Project". Is there anything like that in your area? Maybe they could advise you.

Just my thoughts. I'm certainly no expert. (Only by virtue of being in debt myself) :o

Good luck :)

Ok, first you DID know about the judgement. You admit that you got a summons and negotiated a payment plan and did not go to court. So I doubt if you can use lack of knowledge about the summons.

Second, Statute of Limitations is not an issue here. First, the suit was filed in 2001 after a 1998 repo. And you restarted the SOL by making payments.

So basically you are stuck. I'm surprised they sent a notice of garnishment to you before your employer, but I can't see anyway of stopping it short of paying in full. I doubt if they will negotiate a payment plan since you already renenged on one.

A few states ( such as TN) you have to notify the person prior to a garnishment.

But I would "assume" that when you did a payment plan, there was a default judgement awarded, they had court, without you, So of course had you merely paid as promised nothing would have happened.

You can go to court and find out when the judgement was awarded and what method of service was used

Yes and remember that with a judgement there will be interest until it is paid in full