Midland Funding LLC Debt Dismissed

Midland Funding, LLC is one of the largest debt-buying companies in the country and are a subsidiary of Midland Credit Management (MCM). They often collect on debt that they have obtained for pennies on the dollar from original creditors such as Citibank. Once collection ceases they then proceed to sue consumers and often obtain default judgments against them due to improper service of the summons and complaint. These judgments allow Midland to levy bank accounts, garnish wages and even place liens on consumer’s properties. Judgment creditors frequently let interest accrue on these debts for years at the New York judgment interest rate of 9% which can double or even triple the original debt amount that they were attempting to enforce on.

Our client learned that he had a default judgment placed against him in the year 2000 when he received a wage garnishment notice through his job from Selip & Stylianou, a common debt collection law firm in New York, formerly known as Cohen & Slamowitz. The original judgment amount was around $5,000 but had grown to over $17,000 because of the interest and fees that had accrued over 18 years. Our client had no notice about the initial lawsuit or judgment placed against him as he was living in London from the year 2000 through 2011. We immediately drafted an Order to Show Cause to vacate the judgment against him and dismiss the matter in its entirety based on a complete and utter lack of jurisdiction against our client. We included multiple forms of proof that our client did not even reside in this country when this judgment was obtained. Selip & Stylianou contacted us before the assigned court date to notify us that Midland Funding agreed to voluntarily vacate the judgment and dismiss the matter against our client, likely to avoid a definite loss and further embarrassment in court.