Each case must be considered under its facts and circumstances. Although our Recent Victories reflect many of our outright dismissals, it is important to know that settlement — especially in the context of a frozen bank account — is often the desired outcome. Settlement is certain. Settlement resolves the judgments "on the merits" (forever) versus a dismissal of a technical nature, which may leave the creditor's claim for open.
This holds true even in debt-buyer cases where the underlying evidence may be weak. The fact is that upon enforcement (i.e. bank seizure), you are the judgment debtor with the considerable burden of re-opening the case and requesting that the court excuse your default. Even with good defenses, many clients would prefer a good settlement to resolve the matter faster. Speed and certainty is often desired over cost and uncertainty. Although we consider ourselves competent in this area of law, we note that judges have considerable discretion as to whether to overturn a judgment.
Facing a frozen bank account because of judgment by LVNV Funding for $23,917 entered in 2011, we quickly asserted our client's exemptions and struck a quick settlement for roughly 25%. Our client was aware of prior judgment activity involving the same case, which always impairs the argument that a consumer was not aware of the case or the judgment.
Upon a seizure of a bank account, I would highly suggest contacting counsel and review the exemption sources to see what applies. Asserting these exemptions (including 90% of income earned within the last 60 days) is often critical for stopping a levy.