Sued for a debt? How to respond, and how to get the lawsuit dismissed

A lawsuit usually starts with two documents. The summons is the court's formal notice that you are being sued: it names the court, the case number, the person or company suing you (the plaintiff), and how long you have to respond. The complaint (in some courts, a petition) sets out what the plaintiff claims you owe and why.^[1][9]

"Summons issued" simply means the court has issued the summons so that it can be served on you. "Served" means the papers have been formally delivered, and your deadline to respond usually runs from that date.^[9][10]

In debt cases, the plaintiff is usually the original lender, a debt buyer that bought the account, or a law firm acting for one of them. In some states the complaint must come with the summons in consumer debt cases: New York, for example, requires the complaint to be served together with the summons in actions arising out of a consumer credit transaction.^[11]

A court summons about a debt is not the same as a letter from a debt collector. A collector's letter starts the 30-day dispute period; a summons starts a court deadline, and missing it has far more serious consequences.^[1]

The companies that sue most often are debt buyers, which own the accounts they collect. Our guides to Midland Credit Management, Portfolio Recovery Associates, LVNV Funding, Cavalry, Jefferson Capital and Velocity Investments explain how each one operates and where to send papers.

1. Find your deadline. Look on the summons for the number of days you have to respond, and note the date you were served.^[1][12]
2. Identify the court. Small claims, justice, district, county or superior court: the rules and deadlines differ by court.^[12][13]
3. Read the complaint. Note who is suing you, the amount, the original creditor, and the dates they give.
4. Do not ignore it or avoid service. Refusing to accept the papers does not stop the case, and the court may treat it as ignoring a properly served lawsuit.^[1]
5. Gather what you have. Old statements, letters from collectors, and anything showing when you last paid. The FTC suggests bringing anything that shows the date of your last payment.^[14]
6. Look for help. Many courts run self-help centers, and legal aid offices often take debt cases.^[10][15]

It depends on your state and the court. Deadlines generally run from about 14 to 35 days, and some courts require you to appear on a set date rather than file a written answer.^[12] Always follow the deadline on your own papers. Some examples from official court sources:

If you are not sure, call the court clerk. Clerks cannot give legal advice, but they can tell you the deadline and how to file.^[13][15]

In most courts you respond by filing a written answer with the court and sending a copy to the plaintiff or its lawyer.^[10][15] In the answer, you respond to each claim in the complaint and list your defenses.

It does not have to be complicated. Texas justice courts tell defendants that an answer can be as simple as saying you deny the claim and want to see proof at trial.^[15] Some states publish a fill-in answer form with checkboxes for common defenses, such as Washington's Answer and Affirmative Defenses form.^[17] California uses court answer forms, and the Stanislaus Superior Court self-help center explains how to fill one in.^[10]

Respond even if you owe some of the money. If you dispute the amount, you can answer that you do not owe what the complaint claims, and the plaintiff must then prove its case.^[17] The CFPB puts it plainly: when you respond, the debt collector has to prove to the court that the debt is valid.^[1]

Be careful with defenses. Defenses such as the statute of limitations are generally yours to raise, which is why answer forms like Washington's list them as checkboxes.^[17] Courts typically do not check them for you: in Vermont, for example, vermont does not require a debt collection complaint to state the applicable time limit or the date the claim arose, so you must raise the time limit yourself^[18]. Our time-limit check shows your state's limit for your type of debt.

These are the grounds most often used to defend or dismiss debt lawsuits. Which ones apply depends on your facts and your state.

The time limit has expired

A collector must not sue or threaten to sue you to collect a time-barred debt.^[5][6] If the time limit has passed, that is a complete defense, but you have to raise it. Some states go further: in Wisconsin, when the time limit runs out, "the right is extinguished as well as the remedy" (Wis. Stat. 893.05): the debt itself ends, not just the right to sue^[19][20]. In North Carolina, debt buyers are prohibited from collecting debts that are past the time limit; original creditors are not^[21][22]. See your state's guide.

The case was filed in the wrong place

Federal law requires a debt collector suing you on a consumer debt to file in the judicial district where you signed the contract or where you live when the suit is filed.^[7] If a case is filed in the wrong place, you can ask the court to move it: Texas justice courts, for example, tell defendants they can file a motion to transfer venue.^[23] A collector that sues in the wrong place may also be breaking the Fair Debt Collection Practices Act, which lets you claim damages.^[7][24]

The plaintiff cannot prove it owns the debt

Debt buyers must show that they own the account they are suing on, and the records that came with a bulk purchase are sometimes thin. Some states set specific rules: in Maine, a court may not enter judgment for a debt buyer unless its complaint alleges that documentation, that it is the current owner, and that the suit is within the time limit^[25]. In North Carolina, before suing or starting arbitration, a debt buyer must give the consumer written notice of its intent at least 30 days in advance (G.S. 58-70-115)^[26].

The plaintiff cannot prove the amount

The plaintiff must prove what you owe, including how interest and fees were calculated.^[1] If the complaint does not match your records, say so in your answer and ask for the account statements.

You were not properly served

Each state sets rules for how court papers must be delivered, and the deadline usually runs from proper service.^[9][10] Defective service can be a reason to ask the court to reopen a case after a default, but do not rely on it alone: if you know about the case, respond.^[1][12]

It is not your debt, or it was already paid

Identity theft, mistaken identity and debts that were paid or settled are all defenses. Bring proof such as a police or FTC identity theft report, payment records or a settlement letter.^[14]

Counterclaims against the collector

If the collector broke the Fair Debt Collection Practices Act, you may be able to claim damages, statutory damages of up to $1,000, and attorney's fees.^[24] You generally have one year from the violation to sue.^[2][24]

Debt cases are filed in different kinds of courts, and the way you respond depends on which one. In Massachusetts, for example, Pew explained to state legislators that in small claims court the consumer must appear in court on a set date, while in a regular civil lawsuit the consumer must submit a written answer within 20 days of receiving notice.^[27] Missing either one can lead to a default.

The same Pew testimony noted that, in one Boston court, only 7.5 percent of debt claim defendants showed up.^[27] If your papers give a court date, go, even if you have also filed something in writing. If they give a deadline to answer, file the answer by then, even if a hearing date is also listed.^[12]

Many credit card suits in Texas, for example, are filed in justice court under special rules for debt claim cases, with their own 14-day answer deadline and procedures explained in each court's self-help packet.^[13][15]

Once you have answered, the court will set the case for a hearing or trial, or for a pre-trial hearing first. In Texas justice courts, for example, the court sets the case either for trial or for a pre-trial hearing after the answer is filed.^[15]

Either side may ask the other for information and documents before trial, a process called discovery. The Texas justice court packet explains that if the plaintiff sends you written questions or requests for documents, you will get at least 30 days to respond, either by providing the information or by objecting.^[15] You can use the same process to ask the plaintiff for the account statements, the agreement and the records showing it owns the debt.

In many courts either side may also request a jury trial, usually by making a written request a set number of days before trial; the Texas packet, for example, says the request must be made in writing at least 14 days before the trial date.^[15] Keep every court date, respond to every notice, and keep copies of everything you file.^[14]

Answering also opens the door to a negotiated outcome: Pew found that consumers with legal representation in debt cases were more likely to win outright or reach a settlement with the plaintiff.^[28]

Better than most people think, mainly because most people never respond. Pew found that in the jurisdictions with data, courts resolved more than 70 percent of debt collection lawsuits with default judgments for the plaintiff.^[3][4] When a defendant does not respond, the collector wins without having to prove that the right person was sued, for the right amount, within the time limit.^[28]

Pew also found that people sued for debts rarely have lawyers, but those who do tend to have better outcomes: in several jurisdictions, represented consumers were more likely to win outright or reach a settlement.^[3][28] Debt cases have grown from about 1 in 9 civil cases in state courts in 1993 to 1 in 4 by 2013.^[4]

So the single most important step is to answer. Because so many debt cases end by default, a contested case is different: once you respond, the collector has to prove to the court that the debt is valid.^[1][28]

You can often negotiate a settlement or payment plan with the plaintiff before the court enters a judgment.^[1] If you settle, get the agreement in writing, and make sure it says how the case will end: usually that the plaintiff will dismiss it once you have paid.

Filing an answer first protects you while you negotiate, because it stops a default judgment from being entered behind your back.^[1][28] Keep copies of every payment and letter.^[14]

A judgment. If you do not respond, a default judgment is likely for the amount claimed, plus allowed fees, interest and attorney's fees.^[1] Pew notes that all 50 states and the District of Columbia allow pre- and post-judgment interest, so the total can grow beyond the original debt.^[3] Judgments can last a long time: in New Jersey, a judgment can be enforced for up to 20 years, and a wage execution stays in place until the judgment is paid or the job ends^[29].

Wage garnishment. For ordinary debts, federal law limits a weekly wage garnishment to the lesser of 25% of disposable earnings or the amount by which they exceed 30 times the federal minimum wage. Where a state law protects more of your pay, the state limit applies.^[30] Some states protect more: in Texas, current wages for personal service cannot be garnished, except to enforce court-ordered child support or spousal maintenance (Texas Constitution article XVI, section 28)^[31][32]. In Pennsylvania, credit card and medical debts are not among the exceptions, so a creditor who wins a Pennsylvania judgment on them cannot garnish your paycheck^[33][34].

Bank account levies. A collector can also get a court order to take money from your bank account.^[14] But banks must protect two months of directly deposited federal benefits, such as Social Security and VA benefits, from garnishment.^[8] If your income is protected, say so in your response to the lawsuit.^[17]

It may not be too late. Courts can sometimes reopen a case after a default, for example if you were not properly served or had a good reason for missing the deadline, but time limits for asking are short.^[12] Contact the court clerk and legal aid as soon as you find out.^[1]

Check, too, whether the judgment was for the right person and amount, and whether the plaintiff sued in the right place.^[7]

Courts in many states run self-help centers that explain forms and procedures; California's courts, for example, publish answer guides for debt cases.^[10] Texas justice courts publish self-help packets for debt claim cases.^[15] Legal aid organizations often handle consumer debt cases for free, and if a collector broke the law, it can be ordered to pay your attorney's fees, which can make it easier to find a consumer lawyer.^[24]

You can also report a collector that breaks the law to the CFPB, the FTC and your state attorney general.^[2]

Not on its own. A validation letter is for the period before a lawsuit, and it does not answer a court case or stop the court's deadline.^[1] If you are sued, your answer to the court comes first.

That is why our free check stops and points you to the court and legal help if you have court papers, instead of selling you a letter. If you have not been sued yet, our debt validation letter guide explains how to dispute a debt and make the collector prove it.^[5][35]