Legal Question in Credit and Debt Law in Florida
Small Claims Forced Settlement
I was awarded a judgement in the amount of $5000.00. The other party refused to uphold their obligation and we went to a contempt hearing. At this hearing the other party offered to pay lump sum $2500.00 to write off the debt or $1,000.00 lump sum and would write off a debt I owed them. I openly stated I do not agree with those options. The judge said he felt inclined to ''Force'' the settlement for $2,500.00 to write off our $5,000.00 judgement. Can they do this, I still have other means of collecting such as levy or garnishment to which I know I can get the full amount. Can a judge force a settlement without my (The judgment creditor) agreeing to it?
3 Answers from Attorneys
Re: Small Claims Forced Settlement
No, Judge cannot make up an agreement or settlement that does not exist.
Re: Small Claims Forced Settlement
Judges do not have the authority to compel the parties to settle. The Final Judgment secured your rights to payment of the full balance owed as detailed in the judgment. The only way to alter those rights (barring your debtor filing for bankruptcy) would be for the judge to vacate that judgment, which can only be done under certain circumstances, and failure to settle is not one of them. Check Florida Small Claims Rules 7.190.
However, the judge cannot use contempt to coerce a debtor to pay either. Your remedy is through garnishment, levy, etc. Check Flroida Small Claims Rule 7.200 and 7.221 as well as Form 7.343(a) for additional information on collections. You can find these rules at www.LaBellaLaw.com under Tools/Rules of Court.
Re: Small Claims Forced Settlement
Assuming you have given all of the information, my answer is no.
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