What to Know if Facing a Nebraska Furniture Mart Lawsuit in Texas

Receiving a lawsuit notice from Nebraska Furniture Mart can be a confusing and stressful experience. You may consider ignoring it, but that could result in you losing the case by default. You may have viable legal options to defend yourself against the lawsuit and resolve it in a way that works for you. Below, our debt defense attorneys discuss what to expect and what you can do if facing a Nebraska Furniture Mart lawsuit in Texas.

What Is Nebraska Furniture Mart, Inc.?

Nebraska Furniture Mart, or NFM, is a home furnishing retailer headquartered in Omaha, Nebraska. It has an online store and a few retail locations. One of its primary stores is the Dallas-Fort Worth store in The Colony, Texas. NFM offers a wide range of products, such as furniture, electronics, and appliances.

Why Is Nebraska Furniture Mart Suing Me?

As a large retailer, Nebraska Furniture Mart provides credit services to consumers. NFM offers financing options on purchases if the consumer opens a credit account with NFM. The consumer must use their NFM credit card to buy the items. Consumers can use their store cards to furnish their homes on credit and make payments over time.

If you have received a lawsuit notice from NFM, it may be due to a defaulted account. When a consumer fails to make payments as agreed by their credit agreement, NFM may consider the account in default. Nebraska Furniture Mart may take legal action against you to recover the money it alleges you owe and pursue other damages against you.

Nebraska Furniture Mart hires law firms that focus on consumer debt collection to represent it in litigation. It often works with the Dallas-based law firm Blalack & Williams, P.C. for its Texas cases. 

Does Nebraska Furniture Mart Repossess?

Yes, Nebraska Furniture Mart may pursue repossession if a consumer defaults on their account. Repossession is a legal process that allows a creditor to take back purchased items when a consumer fails to fulfill the agreed-upon terms of the financing contract.

Under its credit terms, NFM has a purchase money security interest in any item financed using an NFM credit card. These terms mean it has the legal right to repossess furniture and other home goods financed by NFM credit until the goods have been paid off. 

If NFM is suing you, you may have more to worry about than losing the furniture or home goods you purchased. Nebraska Furniture Mart may seek all of the following damages from you:

• The balance it alleges you owe on your NFM credit card, including accrued interest
• Repossession and foreclosure of purchased property
• Any interest that accrues on your NFM account balance during pre-judgment and post-judgment of the case
• Attorney’s fees
• Court costs  

What Happens When You Get Sued by Nebraska Furniture Mart?

If Nebraska Furniture Mart sues you, you should receive a summons and complaint notifying you of the lawsuit. This notice will include important information, such as why NFM is suing you, which court is handling the case, and how long you have to respond to the lawsuit.

When Nebraska Furniture Mart files a lawsuit, it wants a judgment from the court that will allow it to collect the damages it seeks from the consumer. Your top priority should be filing a formal response to the lawsuit with the court handling your case to defend yourself. 

You may only have 14 days to respond, so it is essential to act quickly. We recommend working with an experienced Texas debt defense attorney to help you draft and file your answer, so it best protects your interests and is filed correctly.

If you ignore the lawsuit, the court may award a default judgment to NFM. A default judgment means NFM wins the case because you did not object or defend yourself. If it gets a default judgment, it may pursue various collection methods to get its money, including bank garnishment, property seizure, or property liens. 

What Are My Legal Options if Being Sued by Nebraska Furniture Mart?

You may have more options than you think to put a Nebraska Furniture Mart lawsuit behind you. Depending on your situation, you may be able to resolve the case through:

• Defense. You may have viable defense options to fight NFM’s allegations in court. Our debt defense lawyers can assess the strengths and weaknesses of NFM’s claims. Based on our investigation, we can then develop the strongest defense strategy for your situation. 
• Negotiation. Attempting to negotiate a settlement outside of court with NFM may be in your best interest. Negotiating a settlement may actually benefit both parties. Because it occurs out of court, it is less costly and time-consuming than litigation. Additionally, NFM may be more inclined to settle because it avoids the risk of losing the case through litigation. Our lawyers may be able to help you reach a settlement that is less than the original alleged amount owed.
• Bankruptcy. Do you have debts that feel too overwhelming to manage? If so, you may consider exploring bankruptcy. Bankruptcy is an alternative form of debt resolution. It can offer a fresh financial start if you are eligible for it. Our debt defense lawyers are also experienced bankruptcy attorneys. We can explore this option with you and determine if it may fit your situation.

Contact Warren & Migliaccio About Your Potential Legal Options

Are you facing a Nebraska Furniture Mart lawsuit in Texas? If so, consider contacting Warren & Migliaccio about your situation. Our experienced debt defense attorneys are happy to review NFM’s claims against you. We can discuss your options and how we can help you work toward the best possible outcome for your situation. 

Our firm has office locations in Dallas and Richardson. However, we help individuals throughout Texas to resolve debt collection cases. Contact us today to schedule a consultation to discuss your legal options and next steps toward resolution. You can call one of our offices or contact us online, and we will contact you soon.