However, an outside court settlement usually works only if the creditor is willing to do so.

The collection agency has filed a lawsuit against me. Can my defense attorney dismiss it by negotiating out of court? Is it permissible?

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Your defense attorney will not be able to obtain the dismissal on his own, unless it’s accomplished by court order – either mutually agreed or after a hearing. However, an outside court settlement usually works only if the creditor is willing to do so. Discussions with the collection agency outside the court are allowed and your attorney can try convincing the agency to dismiss the lawsuit.


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