A default judgement is defined as a binding judgement in favor of one party based on the inaction of the other party. A default judgement can be handed down if you skip court. Even if you do not think you will win your case, you should at least show up so you have a chance. In 2017, Tori Spelling failed to respond to City National Bank’s allegations and a default judgement was levied against her. Now she has to pay $220,000.
The Debt
In 2012, Tori and her husband Dean McDermott took out a $400,000 loan. The couple quickly fell behind on payments and in 2017, the bank took them to court. According to court documents, the borrowers still owed about $188,000 for the loan and an additional $17,000 which Tori over drew from her checking account. Unfortunately, the couple had just been taken to court by American Express for failure to pay over $87,000 in credit card charges. Needless to say, their spending was out of control.
The Court Date
Instead of responding to Citi National’s court claims against them, Tori and Dean decided to completely ignore the case. They did not respond to the court via phone or mail. Ultimately, they decided to skip their court date as well which led to a default judgement for Citi National. A default judgement handed a win to the bank and the couple was immediately ordered to pay back over $200,000.
She claims that her financial issues stem from a lavish upbringing. In her memoire, she stated “It’s no mystery why I have money problems. I grew up rich beyond anyone’s wildest dreams. I never knew anything else.” She went on to say, “Even when I try to embrace a simpler lifestyle, I can’t seem to let go of my expensive tastes. Even when my tastes aren’t fancy, they’re still costly. I moved houses to simplify my life, but lost almost a million dollars along the way.”
There are plenty of reasons people fall behind on credit card or mortgage payments, but there is no reason to let it ruin your life. You have options. With the skills and experience of a debt defense attorney like Elias Dsouza, you can reclaim your life and get the fresh start you deserve. Contact Elias for a free consultation.