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Default judgment is a binding judgment in favor of either party based on some failure to take action by the other party. Most often, it is a judgment in favor of a plaintiff when the defendant has not responded to a summons or has failed to appear before a court of law.
What happens when you get a default judgment against you. After a default judgment, the Plaintiff will try to collect the money you owe. The Plaintiff may be able to take money from your paycheck or bank account and put a lien on your property. If you don't have any assets to pay the debt, you can let the Plaintiff.
A default is a failure to fulfill an obligation. Defaulting is most common in regards to debtor-creditor law and contract law. Typically, a default leads to judicial proceedings or triggers the application of a separate contract provision.
The plaintiff must seek a clerk's default within one year of the default (CPLR 3215(a)). If the plaintiff fails to apply for a default judgment within one year of the default, the court can sua sponte or on motion dismiss the complaint as abandoned (CPLR 3215(c); see Waiver).
Entry of a defendant's default simply means that the defendant is thereafter barred from defending against the lawsuit, whereas the default judgment is the court's pronouncement of what the plaintiff is entitled to against the defendant (such as money damages, declaratory relief, an injunction, or otherwise).
If you're sued, you can choose to do nothing. This means that you do not file any response by the deadline. The Plaintiff then can ask the judge to decide the case without your input. This is called a default or a default judgment.
In New Jersey, that time is 35 days. In federal cases, that time is 21 days. This response is typically in the form of an answer to the complaint or a motion to dismiss. If the defendant fails to respond within the given timeframe, the plaintiff may request the court place an entry of default against the defendant.
§ 3215. Default judgment. (a) Default and entry. When a defendant has failed to appear, plead or proceed to trial of an action reached and called for trial, or when the court orders a dismissal for any other neglect to proceed, the plaintiff may seek a default judgment against him.