How to File a Lawsuit for Money Owed

Creditors and service providers often settle financial disputes out of court through options like refinancing, settlement and reworking of payment amounts and schedules. When these options fail, lawsuits are the next step to collect money owed. This requires formally filing paperwork with the court clerk, as no creditor or service provider, with the exception of government agencies like the IRS, may collect money from someone else without a formal judgment. Filing a lawsuit for money owed doesn't guarantee you will get paid, but the likelihood of payment increases if you follow the protocols dictated by current regulations.

Instructions

1

Hire a competent attorney experienced in small claims cases.

2

Get the contact information for the person or organization you intend to sue. At a minimum, you will need the defendant's full name and mailing address, as well as the defendant's phone number and county of residence or operation.

3

Collect the evidence you have that proves the defendant owes you money. Examples include letters or email correspondences, bank statements and contracts.

4

Go with your attorney to the courthouse and talk to the small claims court clerk. Ask for the forms necessary in your jurisdiction to file a small claims lawsuit. The clerk may have several forms available for small claims suits, so specify you want the form to collect money owed, not the ones to collect property or to initiate a rental eviction.

5

Fill out the form or forms the clerk gives to you and your attorney. You must indicate the exact amount you are trying to collect on this paperwork, including any interest. The amount allowed for collection in a small claims lawsuit varies by state, but can be up to $10,000, according to the Nolo website.

6

Give the completed complaint forms to the clerk.

7

Give the forms to your attorney or the sheriff to serve the defendant with copies of the lawsuit complaint.

8

Watch for a letter from the court that indicates the hearing date for the lawsuit. If the defendant requests a change in the date and time for the hearing, work with the defendant and court to reschedule if necessary.

9

Attend your lawsuit hearing. Present copies of your evidence to the judge for review and have your attorney make a concise, to-the-point case as to the amount owed.

10

File an appeal to the judgment if you lose your lawsuit.