Default Judgement Recieved

[2NeedLawHelp]

This pertains to the State of MD:

I received a court date a month ago for an $800 debt from Midland Collections. I went to court the end of May but disputed the debt with the court, the judge was not present, just a bunch of Midland Reps. They gave me a new court date for Jul 1 but 5 days prior to my court date I received a letter from a Court Mediation Company. I called them and they agreed that they would settle my debt with Midland for a $225 fee for half the price and a judgement, lien, etc would be avoided. I asked them specifically if I needed to go to court and she told me, no, they would be my power of attorney and I did NOT need to go to court. I signed papers and gave the Court Mediation Service $225. All of a sudden, today, I received a summons from the court saying the plaintiff won a default judgement and I have 30 days to file a a motion to vacate judgement. I tried calling the mediation office and they have not returned my call. I think I've been ripped off. If I had known, I would have gone to court and avoided the default judgement.

My question is, Can I file the motion to vacate with this argument? Should I contact the Attorney General to let them know I've been ripped off? I do not want a judgement on my report which could have been avoided by trusting a sham company.

[KeyWestDan]

Although I am not familiar with law in your state or the details of your case, most legal standards and procedures are commom to all states.

Yes, you were ripped off by the mediation service in my view.

They probably have nothing to do with Midland Collections. Chances are they go to the clerk's office and look up cases or use some database of filings. If they are associated in any way with Midland, then it was a fraud. You should demand your money back. Report them to any consumer protection agencies, BBB, etc in your state or county. File a complaint with the Attorney General.

Mediation is required in major civil cases but it comes following discovery and by order of the court. Mediation is in person with the parties and counsel and typically the mediator fee is about $1,200.

What you got was some debt counseling service who claimed they could work out a deal with the creditor. You paid them to do so. Obviously they did not and they lied to you. I assume you have paper work, a copy of which, along with a sworn affidavit from you, should be included with the motion as exhibits.

You need to do some research and find out the exact form and procedures to file a motion to vacate the judgment in your state. Do not delay.

[Mr. Knowitall]

This "mediation service" is a private company? A collection agency? You're stating that they were not authorized to act on behalf of the plaintiff? Did you actually pay them money? Have you asked the plaintiff's lawyer about this?

If this company was just out to commit a fraud, by all means file a motion to set aside the default.