At 8:30 on the morning of April 23rd, I got a phone call as I was getting ready to go to work.
“Mr. Jones” was sued in Small Claims Court by a debt buyer called Midland Funding for $2,000, and he had a trial date at 2:00 p.m. The suit was allegedly for a credit card balance that had been unpaid back when the client had gotten audited by the IRS and hit with a huge tax bill. He tried to settle it with the original credit card company, but he couldn’t keep up the payments. He couldn’t afford to pay the $2000 they were asking for, so he hired me to defend the case.
It was Small Claims, which means that depending on the judge, bad evidence can possibly be allowed into the record, unlike in higher courts. The collection lawyer was there with a lot of documents and some past statements. But I pointed out a few weaknesses in the way they’d brought the case, and I offered $500, which was what my client said he could afford to pay. After reviewing the evidence and considering the possibility that they’d get nothing at all, they agreed to accept the offer.
"Licensed in Alabama and Texas. We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code. No representation is made that the quality of the legal services to be performed is greater than the quality of legal services performed by other lawyers. The use of this website DOES NOT establish an attorney-client relationship between Judson E. Crump, PC and you."
But how much did they pay you? Was it really any savings? $500 plus your fee?
Please be completely honest with the people. We know you don’t do this for free.
Can’t tell if this is a prank or troll, but just in case there are people out there with legitimate questions like this, I’ll gladly answer.
In this particular case, my client’s TOTAL COST ($500 settlement plus my attorney’s fees) was less than $800. Considering that the collector was seeking over $2,000 plus court costs on a judgment that would have accrued interest at 7.5% until paid in full, most people would consider his outcome to be a good deal.
Nearly all of my clients end up saving a lot of money. In fact, my fees are determined by how much money I save my clients. The only times my clients don’t end up saving money are the rare occasions where we go to trial and lose. It doesn’t happen often, and I hate it when it does, but that’s just a reality of the law practice. Going to trial involves risk. Some clients are fine with the risk (if they didn’t hire me they’d lose anyway), and others prefer to try and settle. In every case, I make my clients completely aware of all ranges of outcomes and I settle or go to trial completely in accordance with their instructions.
Unlike debt settlement companies, credit counseling agencies, loan modification “firms,” and other scams, licensed attorneys are required by law and ethical rules to completely and accurately disclose all fees up front. There may be some lawyers out there who don’t follow these rules, but I’m not one of them.
If you don’t believe me, just ask any of my clients.