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What does "discontinued with prejudice" mean in a letter from a debt collection agency?

Brooklyn, NY |

I had a payment plan with a credit card company back in 2010. I defaulted on that payment plan after three months of paying it. Today I received a letter saying that the creditor was "submitting a Memorandum of Law in support of its motion to voluntarily discontinue this action with prejudice" and that the Court should grant plaintiff such other and further relief as the Court deems just and proper. What does this mean please? Does this mean they are going to come after me some other way? I have been unemployed since 2010 and despite my efforts to find work, have been unable to. Please and thank you.

Attorney Answers 4

  1. For some reason they are asking the Judge to close the case and the are giving up the right to bring it again.

    I am a former federal and State prosecutor and now handle criminal defense and personal injury/civil rights cases. Feel free to check out my web site and contact me at (212) 577-9797 or via email at I was named to the Super Lawyers list as one of the top attorneys in New York for 2012. No more than 5 percent of the lawyers in the state are selected by Super Lawyers. The above answer is for informational purposes only and not meant as legal advice.

  2. Discontinued with prejudice means that the case is being discontinued and they will not be refiling the case ever. Unusual action but good for you.

    If this answer is helpful, then please mark the helpful button. If this is the best answer, then please indicate it. Thanks. For further information you should see an attorney and discuss the matter completely. If you are in the New York City area, then you can reach me during normal business hours at 718 329 9500 or

  3. This is great news for you. It means that once the Court grants the credit card company's request, the case will be withdrawn and they can never go after you for the money owed.

    The above answer is only for information. This answer and any response does not create an attorney-client relationship between the parties and the communication is not privileged and confidential. The best course of action is to consult with a lawyer about your specific case. If you need to contact me, please call at 212-537-6936 or email at

  4. Were you actually sued by the collector? That was not clear from you question. If sothen my colleagues are correct, this is good news for you. If you do not think you have been sued, you might want to double check with the Court, just to protect yourself.

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