What happens if I sue someone who has no money?

Asked by: Green Quitzon MD  |  Last update: July 21, 2025
Score: 4.4/5 (58 votes)

If the court finds the defendant responsible, they are legally required to compensate you, even if they currently lack the funds. Winning the lawsuit means the defendant owes you the amount decided by the court, which you can pursue through various legal avenues.

Is it worth it to sue someone with no money?

Economic Sense: Suing someone with no money might not make economic sense. The legal fees and time involved may outweigh potential gains, especially if the defendant lacks recoverable assets. Garnishing Wages: If the defendant later gains employment or assets, you may be able to garnish wages or seize assets.

Can you sue if you're poor?

In many situations, you can file your documents in court without payment or with a lower payment if you also file a "poverty affidavit." A poverty affidavit is a written, sworn statement that you are low income and do not have enough money to pay the fees.

Do you have to spend money to sue someone?

Court filing fees: It costs money to file your lawsuit with the court. The amount of these fees depends on the type of lawsuit, the cost of process servers, and so on. Discovery fees: Most civil lawsuits include a discovery process, and there are costs associated with this process.

What happens if you sue someone and lose?

If you lose, you could be required to pay all court costs and fees, including those of the other parties. Some states, like Nevada, are "loser pays" states, meaning the loser in a lawsuit pays all court costs. If you lose a personal injury claim, you will be out of pocket for your medical expenses and other costs.

Can You Sue Someone With No Money in a Lawsuit?

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What happens if someone sues you and you're broke?

Summary: When you get sued and you have no money, debt collectors can garnish your wages and seize your property to get the funds repaid. However, you may be protected by some of these collection methods, depending on which state you live in.

Will a collection agency sue for $5000?

Unpaid, credit card balances between $5,000 to $10,000 increase the likelihood of legal action by creditors or collection agencies. While agencies typically pursue the full amount owed, debt buyers may accept reduced payments.

How do I sue if I don't have money?

Contingency means that your lawyer will agree to take on your case and represent you without requiring any payment upfront, allowing you to file a case with no money. Your lawyer will only receive payment for their services if and when you reach a positive resolution and some form of compensation in your case.

How expensive is it to sue someone?

The Average Cost of a Lawsuit

On average, a lawsuit costs approximately $10,000 for a simple suit. However, numerous factors can influence the cost of your lawsuit.

Can you go to the police if someone owes you money?

It is a civil matter, not criminal, so the police are not going to get involved. You have to sue and go after her and get a judgment. If she does not pay, you can then enforce it and go after money or assets.

Can you go to jail for being poor?

Yet, today, people are still going to jail for being too poor to pay court debt. One way some courts try to justify debtors' prisons is by claiming the incarceration is for “contempt” or for not complying with a court order, rather than for nonpayment.

Who pays in a civil lawsuit?

The rule for attorneys' fees is that each side must pay their attorneys' fees unless a contract or statute allows an award of attorney fees. A losing party pays attorney fees only if the winner is specifically given the right to recover legal fees in a contract between the parties or through a state or federal law.

What happens if you are sued and unemployed?

The first thing that you should know is that even if this debt collection company wins the lawsuit they will not be able to garnish either your Social Security or Unemployment income. These types of income are already protected by law from creditors.

What happens if someone sues me but I have no money?

Despite your financial constraints, a court ruling against you would still result in a legal obligation to pay the determined amount. This could lead to wage garnishment, where a part of your future income is deducted to satisfy the debt, or even asset seizure, including bank account freezes.

Is it worth suing for defamation?

The answer is, yes, it is worth suing for defamation. When a true case of defamation exists, there are damages that are caused as a result. Those damages are compensable through a civil lawsuit, in California and beyond.

How do you stop someone from suing you?

If you're wondering about how to stop most frivolous lawsuits, you must contact an experienced attorney who can advise you on the best course of action to take. Very often, a wise option is to settle out of court by apologizing or offering a small compensation to resolve the issue even if you were not at fault.

What is the minimum amount to sue?

While most courts don't have a strict minimum amount you can sue for, the practical minimum is usually determined by the small claims court filing fee, which can range from around $25 to $50, meaning you would need to be suing for at least that amount to make it worthwhile to file a lawsuit; however, the maximum amount ...

What is the most expensive sue?

The Biggest Lawsuit Ever: The Tobacco Settlement — $206 Billion. The Tobacco Master Settlement Agreement was filed in 1998 against the four largest tobacco companies in the United States and remains the largest lawsuit in history in terms of dollars involved. Defendants included Philip Morris, R. J.

Can you sue someone over $500?

Small Claims Court 101

While most courts don't have a minimum amount you can sue for, all courts have a maximum amount you can sue for (on average around $10,000, but it varies by state, check out our 50 State Small Claims Limits Guide).

Can someone sue you for not paying?

You can only file in small claims court if the amount owed to you is under a certain dollar amount. The maximum amount varies from state to state, but it's typically between $2,500 and $25,000. If the client you're suing doesn't show up in small claims court, you will win the case by default.

Is it better to have an attorney?

Not hiring an attorney can actually cost you more.

Think about what's at stake in the situation. Hefty fines, loss of a job, jail time? There may be more at stake if you lose without the assistance of an attorney. Courts will treat you as if you have a knowledge of the law upon representing yourself.

Will a collection agency sue for $1000?

If you are wondering about the minimum amount a debt collection agency will sue you for, or if a collection agency will sue for $1,000, $2,000, or $5,000, it's essential to understand the factors that influence such decisions. For most debt collection agencies, suing for very small amounts is not economically viable.

What's the worst a debt collector can do?

Debt collectors are not permitted to try to publicly shame you into paying money that you may or may not owe. In fact, they're not even allowed to contact you by postcard. They cannot publish the names of people who owe money. They can't even discuss the matter with anyone other than you, your spouse, or your attorney.

What is the 11 word phrase to stop debt collectors?

The phrase in question is: “Please cease and desist all calls and contact with me, immediately.” These 11 words, when used correctly, can provide significant protection against aggressive debt collection practices.