Providing Debt Relief for Clients Throughout the State of New York

MEYERS SAXON & COLE BUSINESS AND STUDENT LOAN DEBT

Meyers Saxon and Cole is a debt collection law firm based in Brooklyn that mainly handles business debt matters as well as some private student loan collection. We have defended many businesses against lawsuits by Meyers Saxon and Cole and have also helped businesses whom have judgments against them to both vacate those judgments and settle the debt against them. Business judgments are quite different from consumer debt judgments as they are more complicated to obtain and much harder to vacate. The usual reason for vacating a default judgment against a consumer is that they either were not served at all or were not served properly. However, in business debt cases all the plaintiff must do is serve the New York Secretary of State to meet the service requirement. A problem often develops when a business moves their offices but does not update the Secretary of State with their new office address. The case law is very clear on this matter, as it is the obligation of the business to keep their address current at all times.

Although the rules for vacating a judgment against a business are the same as vacating against a consumer, the burden is more difficult if the business never updated their address. However, a meritorious defense and reasonable excuse may still be enough to vacate the judgment as the courts do favorably view cases being litigated on the merits. It is a common pitfall for many businesses who think that they will simply vacate their judgment just because their actual place of business was not served. Meyers Saxon and Cole commonly obtain judgments against New York businesses in these matters but are usually willing to come to some sort of settlement once we become involved as all parties usually want to avoid prolonged litigation.

Meyers Saxon and Cole often handle private student loan debt matters, specifically for Arrowood Indemnity Co. Arrowood is like the guarantor or insurer of a loan that was originally with a creditor such as AES or Navient. Once the consumer defaults, Arrowood will pay the creditor and acquire the loan to try to recover whatever it can from the consumer through collection and/or litigation. Meyers often sues consumers on these Arrowood matters and also obtains default judgments commonly. However, our experience has shown that these default judgments can be vacated if the consumer was not served or has a reasonable excuse and meritorious defense, and frequently can be settled for 60% - 75% off of the full balance saving the consumer a good deal of money.