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You must fill out an Answer, serve the other side's attorney, and file your Answer form with the court within 30 days. If you don't, the creditor can ask for a default. If there's a default, the court won't let you file an Answer and can decide the case without you.
For someone charged with a crime, a case dismissed with prejudice is the best news. It means the judge has made a final ruling, the case is dismissed, the prosecution can't reopen it, and the defendant (the person charged with the crime) is free to go.
A dismissal with prejudice means that the ruling is the final judgment in the case. The dismissal prohibits the prosecutor from refiling the charges. In a dismissal without prejudice, the prosecutor can refile the charges (or file new charges based on the same circumstances) at some future time.
?With prejudice? means that you cannot re-file your case ever. ?Without prejudice? means that you can re-file your case at a later date (as long as you are still within the statute of limitations).
When a court dismisses an action, they can either do so ?with prejudice? or ?without prejudice.? Dismissal with prejudice means that the plaintiff cannot refile the same claim again in that court.