How to get a debt settlement in court

Negotiating a settlement agreement in court

Are you in court because you owe someone money? If you are working on a settlement agreement, understand your rights and what you can ask for:

• The creditor should reduce the overall amount of the debt.
• The creditor should give you a monthly payment that is affordable over the long term.
• The creditor should waive interest, fees, and court costs.
• The agreement should provide that no judgment will be entered against you (unless you fail to make payments).
• The agreement should provide that when you finish making payments as agreed, the case will be discontinued.
• The agreement should provide that if you miss a payment, the creditor will give you written notice and an opportunity to send in a late payment.  This is called “notice and an opportunity to cure.”  Try to get at least 10 days to send in your late payment.

This page offers information and advice for people who have been sued in the NYC Civil Courts and want to negotiate a settlement agreement in court with the plaintiff’s attorney.