About Default Judgments:
"DEFAULT JUDGMENT" - a scary legal term of art that means:
1. You were sued; 2. You were put on notice that you were being
sued; and, 3. You failed to respond to the lawsuit in a
timely manner after having been properly
noticed - so, a judgment is automatically
entered against you.
Now, you need to do one of 2 things if you get sued:
1. Answer - individually or through counsel; or, 2. If you have insurance, IMMEDIATELY put them on notice (b/c if you don't notice
them, they can and WILL DENY COVERAGE to you).
If you don't you may lose by default. After which, you will be noticed a 2nd time - but this notice will be of a hearing on the amount of the judgment. You may think all is lost at this point; however, you may contest the damages amount at the hearing or file a Motion to Set Aside the Default Judgment. But some people and entities even fail at this and a money judgment is entered.
Then, that's when the lawyers start whittling away at your money and property via garnishments, seizures, etc., until the judgment plus interest has been paid out of your pocket - be it $500 in Justice Court against an individual or $500,000 in a Circuit Court against a city.
If the judgment is an entity rather than an individual, and this has been allowed to happen, the entity pays out of pocket and the only source of the funds is the stockholders/taxpayers - which in some cases, leaves designated representative of that entity personally liable.
Don't let the damages associated with a default judgment happen to you! If you get sued, immediately reach out to competent counsel. Call 601-348-9212.
If you are a victim of the gross and inexcusable negligence of an entity's designated representative and that entity is denied coverage, YOU ARE THE VICTIM! And, you may have a claim for damages against the organization's principle officer. Call 601.348.9212 for a consultation.