Selip & Stylianou, the collection law firm formerly known as Cohen
& Slamowitz obtained two default judgments against our client in 2008
and 2009 respectively. The first creditor was Metro Portfolios, Inc.,
and the second was Gemini Asset Recoveries both of which are debt buyers.
Our client is an elderly Vietnam veteran who spent most of his time in
VA hospitals or shelters during those years due to his severe financial
and medical hardship. Selip sued our client on behalf of both of these
debt buyers and were able to obtain default judgments against our client
for both even though service upon him would have been virtually impossible.
The amount on both judgments had increased to over $5,000 due to New York
judgment interest accruing at 9%.
Our client had recently recovered from some difficult years and moved out
of New York. His only source of income was a combination of Social Security
Disability as well as Veterans benefits both of which are considered to
be exempt income. Neither Metro Portfolios nor Gemini Asset were ever
able to enforce on these judgments or recover any assets or property.
We contacted Selip & Stylianou and demanded that they both vacate
the judgments against our client and dismiss both cases against him. Otherwise
we would file a motion to vacate the judgments and ask the court to dismiss
the cases based on a number of defenses including a lack of standing by
the debt buyers. Knowing that it would be very difficult to enforce a
judgment against someone who is out of state and receives exempt income
only, as well costly to defend a motion to vacate and dismiss, both Metro
Portfolios and Gemini Asset agreed to vacate the judgments and dismiss
the cases against our client.