Motion to Set Aside / Vacate Default Judgment (Debt) - Wyoming

IN THE [DISTRICT / CIRCUIT] COURT OF THE [____] JUDICIAL DISTRICT, IN AND FOR [____________] COUNTY, STATE OF WYOMING

Civil Action No. [____________]

DEFENDANT'S MOTION TO SET ASIDE / VACATE DEFAULT JUDGMENT

Filed Pursuant to Wyo. R. Civ. P. 55(c) and 60(b)

COMES NOW the Defendant, [____________] ("Defendant"), appearing [☐ pro se / ☐ by and through undersigned counsel], and respectfully moves this Court to set aside and vacate the default judgment entered against Defendant in this action on [__/__/____], pursuant to Wyo. R. Civ. P. 55(c) and 60(b). In support, Defendant states as follows:

I. INTRODUCTION AND BASIS FOR RELIEF

1. This is a debt-collection action in which Plaintiff [☐ is a debt buyer / ☐ is a collection agency / ☐ claims to be the original creditor] seeking to collect an alleged consumer debt. A default judgment was entered against Defendant on [__/__/____] in the amount of $[____________], plus [interest, costs, and/or fees].

2. Defendant was not validly served and/or had good cause for not responding, has one or more meritorious defenses to the alleged debt, and brings this motion promptly upon learning of the judgment. For the reasons set forth below, the default judgment should be set aside.

3. Wyoming law favors resolving disputes on their merits, and any doubt should be resolved in favor of setting aside a default judgment so the case can be heard on the merits. The Court has broad discretion under Rules 55(c) and 60(b) to grant relief.

II. IDENTIFICATION OF THE DEFAULT JUDGMENT

4. Date of judgment. The default judgment was entered on [__/__/____].

5. Amount. The judgment is in the amount of $[____________], consisting of [principal $[____], interest $[____], attorney's fees $[____], court costs $[____]].

6. How Defendant learned of the judgment. Defendant first learned of the default judgment on [__/__/____] by the following means:

☐ A writ of continuing garnishment of wages served on Defendant's employer
☐ A bank/account garnishment, attachment, or levy
☐ A post-judgment writ of execution, interrogatories, or examination notice
☐ A docketed-judgment lien or credit report entry
☐ Other: [____________]

7. Defendant files this motion [____] days after first learning of the judgment, which is within a reasonable time and within the applicable limit under [☐ Wyo. R. Civ. P. 55(c) / ☐ Wyo. R. Civ. P. 60(b) and 60(c)(1)].

III. LEGAL STANDARD

8. Rule 55(c) — good cause; broad discretion. Under Wyo. R. Civ. P. 55(c), the Court may set aside an entry of default for good cause and may set aside a default judgment under Rule 60(b). A motion to set aside a default judgment is addressed to the sound discretion of the trial court, exercised with a preference for deciding cases on their merits. In evaluating good cause, Wyoming courts consider whether the defendant's conduct was the result of culpable or willful neglect, whether the plaintiff will be prejudiced if the judgment is set aside, and whether the defendant has presented a meritorious defense.

9. Meritorious defense. A defendant need not prove that it will ultimately prevail; it is enough to present a defense that has merit and would be worthy of consideration on the facts, supported by a factual basis. The existence of a meritorious defense weighs heavily in favor of setting aside a default judgment.

10. Rule 60(b) — relief from a final judgment. The Court may relieve a party from a final judgment for, among other reasons: (1) mistake, inadvertence, surprise, or excusable neglect; (3) fraud, misrepresentation, or misconduct by an opposing party; (4) the judgment is void; (5) the judgment has been satisfied, released, or discharged; or (6) any other reason that justifies relief. Wyo. R. Civ. P. 60(b).

11. A judgment without valid service is void. A Wyoming court acquires personal jurisdiction over a defendant only through valid service of process under Wyo. R. Civ. P. 4. A default judgment entered where the defendant was never properly served is void for lack of personal jurisdiction and is subject to being set aside under Rule 60(b)(4). Wyo. R. Civ. P. 12(b)(2), (4), (5). [Note: a Rule 60(b)(4) voidness motion must still be brought within a reasonable time; build the record of when Defendant first learned of the suit/judgment.]

IV. GROUNDS FOR SETTING ASIDE THE JUDGMENT

☐ A. The judgment is VOID — defective or no service of process; lack of personal jurisdiction. Defendant was never validly served with the summons and complaint as required by Wyo. R. Civ. P. 4. Specifically: [describe — e.g., "Defendant did not live at the address where service was attempted," "the return reflects service on a person not residing in the household or not authorized to accept it," "no signed return receipt exists," "Defendant first learned of the suit only through the garnishment"]. Because the Court lacked personal jurisdiction, the judgment is void. Wyo. R. Civ. P. 60(b)(4).

☐ B. Excusable neglect, mistake, surprise, or inadvertence. Defendant's failure to respond was the result of excusable neglect — not culpable or willful conduct — in that: [describe — e.g., "Defendant was hospitalized," "the papers were misdelivered or received late," "Defendant reasonably believed the matter had been disputed/resolved with the collector," "Defendant did not understand the deadline"]. Wyo. R. Civ. P. 55(c); 60(b)(1).

☐ C. Fraud, misrepresentation, or misconduct. The judgment was obtained through fraud, misrepresentation, or misconduct by Plaintiff or its agents, including [describe — e.g., "a false affidavit or 'sewer service' return of service," "misrepresentation of the amount owed," "concealment of the lack of any assignment"]. Wyo. R. Civ. P. 60(b)(3).

☐ D. Newly discovered evidence. Defendant has discovered evidence that, with reasonable diligence, could not have been discovered in time to move for a new trial, namely: [describe]. Wyo. R. Civ. P. 60(b)(2).

☐ E. Defendant has a meritorious defense (see Section V).

☐ F. Any other reason that justifies relief. [Describe.] Wyo. R. Civ. P. 60(b)(6).

V. DEFENDANT HAS A MERITORIOUS DEFENSE

12. Defendant is prepared to present one or more meritorious, fact-supported defenses that, if proven, would constitute a complete or partial defense to Plaintiff's claim. Defendant asserts the following meritorious defense(s):

☐ Statute of limitations. The alleged debt is time-barred. Under Wyoming law, an action on a written contract must be brought within ten (10) years (Wyo. Stat. § 1-3-105(a)(i)), and an action on an oral or unwritten contract or a debt on account within eight (8) years (Wyo. Stat. § 1-3-105(a)(ii)(A)). The last payment/activity on the account occurred on or about [__/__/____], more than the applicable limitations period before suit was filed. [Verify the governing characterization and accrual/last-payment date.]

☐ Statute of limitations — borrowing statute. If the cause of action arose in another state where Defendant resided when it accrued, that state's shorter limitations period bars this action under Wyoming's borrowing statute, Wyo. Stat. § 1-3-117. [Describe Defendant's residence at accrual.]

☐ Not the debtor / mistaken identity / identity theft. Defendant is not the person who incurred the alleged debt and/or the account was opened or used as a result of identity theft. [Describe; attach FTC Identity Theft Report / police report as Exhibit [__].]

☐ Wrong amount. The amount of the judgment is incorrect, inflated, or includes unauthorized interest, fees, or charges. The correct balance, if any, is $[____________].

☐ Debt paid, settled, or discharged. The alleged debt was paid, settled, or discharged (including by discharge in bankruptcy on [__/__/____], Case No. [____________]) and is not owed.

☐ Plaintiff lacks standing / no chain of assignment. Plaintiff is not the original creditor and has not proven a complete, unbroken chain of assignment showing it owns Defendant's specific account. Plaintiff is not the real party in interest under Wyo. R. Civ. P. 17.

☐ Potential separate FDCPA claim—not by itself a defense that the debt is invalid. If a qualifying debt collector failed to provide the notice or verification required by 15 U.S.C. § 1692g, Defendant may have a separate civil claim under 15 U.S.C. § 1692k. A formal pleading is not an “initial communication” under § 1692g(d). Plead such a claim only if procedurally permitted, and evaluate any state-law issue separately.

☐ Plaintiff not licensed under the Wyoming Collection Agency Act. To the extent Plaintiff is required to be licensed to collect claims in Wyoming (Wyo. Stat. § 33-11-101 et seq. [verify]), Plaintiff has failed to plead or prove compliance. [Verify the current requirement and any exemption.]

☐ Other meritorious defense: [____________]

13. These defenses are substantiated by the facts in Defendant's Affidavit, below, and the attached exhibits, and are worthy of consideration on the merits.

VI. NO UNFAIR PREJUDICE TO PLAINTIFF; CONDUCT NOT CULPABLE

14. No unfair prejudice. Setting aside the judgment will cause Plaintiff no unfair prejudice. The relevant inquiry is the prejudice from reopening the case, not the mere loss of the default. Plaintiff retains its evidence and its claim; only the opportunity for a one-sided judgment is lost. Defendant is prepared to proceed promptly.

15. Conduct not culpable. Defendant's failure to appear was not willful, intentional, or in bad faith but resulted from [lack of valid service / excusable neglect], as set forth in the attached Affidavit. Any doubt should be resolved in favor of deciding this disputed debt on its merits.

VII. DEFENDANT'S AFFIDAVIT

STATE OF WYOMING )
COUNTY OF [____________] ) ss.

I, [____________], being first duly sworn, depose and state as follows:

1. I am the Defendant in this action. I am over the age of eighteen (18) and competent to testify, and I make this affidavit on personal knowledge.

2. I was never properly served with the summons and complaint in this case. [State the facts: where you lived on the date of attempted service; whether you received the papers; who, if anyone, was served; how you actually learned of the lawsuit.]

3. I first learned that a judgment had been entered against me on [__/__/____], when [describe — e.g., "my wages were garnished" / "my bank account was levied"].

4. I have a meritorious defense to Plaintiff's claim, namely: [state the facts supporting the defense(s) checked above — e.g., the date of last payment, that the account is not mine, that the amount is wrong, that the debt was discharged in bankruptcy].

5. My failure to respond to the complaint was not intentional or the result of any disregard of this Court. [State the facts establishing excusable neglect or lack of service.]

6. I respectfully ask the Court to set aside the default judgment, allow me to defend this case on the merits, and stay any collection efforts in the meantime.

_______________________________________
[____________], Defendant

Subscribed and sworn to before me this [____] day of [____________], 20[____].

_______________________________________
Notary Public
My commission expires: [__/__/____]

VIII. REQUEST TO STAY EXECUTION AND GARNISHMENT

16. Defendant requests that the Court stay execution on the judgment — including any writ of continuing wage garnishment, bank/account garnishment, attachment, levy, or other post-judgment process — pending the Court's ruling on this motion. Wyo. R. Civ. P. 62. Absent a stay, Defendant faces immediate and irreparable harm from the garnishment of wages or funds that may be exempt and that Defendant needs for basic living expenses, even though the underlying judgment is subject to being vacated.

17. Defendant further requests that any funds already garnished, attached, or levied be held by the garnishee or the Court, and not disbursed to Plaintiff, until this motion is decided.

IX. RELIEF REQUESTED

WHEREFORE, Defendant respectfully requests that this Court:

A. SET ASIDE and VACATE the default judgment entered on [__/__/____];

B. STAY all execution, garnishment, attachment, levy, and other post-judgment collection proceedings pending the Court's ruling, and order that any funds already garnished, attached, or levied be held and not disbursed;

C. QUASH any outstanding writ of garnishment or execution issued on the judgment;

D. GRANT Defendant leave to file an Answer and defend this action on the merits, with the accompanying [proposed] Answer deemed filed as of the date of the order;

E. Set this matter for a hearing if the Court deems one necessary; and

F. Grant such other and further relief as the Court deems just and proper.

X. PROPOSED ORDER

A proposed Order Setting Aside Default Judgment is submitted contemporaneously with this motion for the Court's consideration.

[PROPOSED] ORDER

This matter came before the Court on Defendant's Motion to Set Aside / Vacate Default Judgment under Wyo. R. Civ. P. 55(c) and 60(b). Having considered the motion, the supporting affidavit, any response, and the applicable law, the Court finds that good cause exists and that the motion should be GRANTED.

It is therefore ORDERED that the default judgment entered on [__/__/____] is SET ASIDE and VACATED; all garnishments, attachments, levies, and executions on that judgment are QUASHED and STAYED, and any garnished, attached, or levied funds shall be returned to Defendant; and Defendant is granted leave to file an Answer within [____] days of this Order.

DATED this ____ day of __________, 20____.

_________________________________
District / Circuit Court Judge

XI. SIGNATURE

Respectfully submitted this [____] day of [____________], 20[____].

/s/ [____________________________________]
[____________________________________]
☐ Defendant, pro se ☐ Attorney for Defendant
Wyoming State Bar No. (if attorney): [____________]
[Street Address]
[City], Wyoming [____]
Telephone: ([____]) [____]-[________]
Email: [____________________________________]

XII. CERTIFICATE OF SERVICE

I hereby certify that on the [____] day of [____________], 20[____], I served a true and correct copy of the foregoing Defendant's Motion to Set Aside / Vacate Default Judgment, the supporting Affidavit, and the proposed Order upon Plaintiff's counsel of record (or upon Plaintiff, if unrepresented) in accordance with Wyo. R. Civ. P. 5, by the following method:

☐ Wyoming C-Track / electronic-filing system (notice to all counsel of record, where authorized)
☐ U.S. First-Class Mail, postage prepaid
☐ Certified Mail, Return Receipt Requested
☐ Hand Delivery
☐ Email (by agreement / where permitted under Wyo. R. Civ. P. 5(b))

Addressed to:

[____________________________________]
[____________________________________]
[____________________________________]

/s/ [____________________________________]
[____________________________________]

WYOMING PRACTICE NOTES

• Authority and deadline. Wyo. R. Civ. P. 55(c): the court may set aside an entry of default for good cause and a default judgment under Rule 60(b). A Rule 60(b) motion must be made within a reasonable time, and for reasons (1), (2), and (3) not more than one (1) year after entry (Wyo. R. Civ. P. 60(c)(1)). Void-judgment (60(b)(4)) and "any other reason" (60(b)(6)) motions are governed only by the reasonable-time standard. Recent authority makes timeliness a front-line issue even for void-judgment motions — file promptly once a garnishment or other enforcement gives notice of the judgment.
• Good-cause factors. Wyoming courts weigh whether the default resulted from culpable/willful conduct, whether the plaintiff would be prejudiced by setting it aside, and whether the defendant has a meritorious defense, with a strong preference for deciding cases on their merits. [Confirm and cite the current controlling Wyoming Supreme Court formulation before filing.]
• Void for defective service. A judgment entered without valid service is void for lack of personal jurisdiction (Rule 60(b)(4)). Common in debt cases where the consumer first learns of the suit through a garnishment ("sewer service").
• Courts. Confirm whether the judgment was entered in District Court ($50,000 or more) or Circuit Court (under $50,000). Small claims is handled within Circuit Court (Wyo. Stat. § 1-21-201 et seq.); confirm the proper vehicle to reopen a small claims default.
• Statute of limitations on debt. Written contract — 10 years (Wyo. Stat. § 1-3-105(a)(i)); oral/unwritten contract and debt on account — 8 years (Wyo. Stat. § 1-3-105(a)(ii)(A)). Wyoming's borrowing statute (Wyo. Stat. § 1-3-117) can apply a shorter foreign limitations period where the cause of action arose in another state.
• Stay collection. Request a stay of execution/garnishment under Rule 62 with the motion; ask that garnished or attached funds be held pending the ruling and protect exempt property (Wyo. Stat. § 1-20-101 et seq. exemptions).
• State consumer statutes. Wyoming has no stand-alone state mini-FDCPA; rely on the federal FDCPA, the Wyoming Uniform Consumer Credit Code (Wyo. Stat. § 40-14-101 et seq.), and the Wyoming Consumer Protection Act (Wyo. Stat. § 40-12-101 et seq.).
• Attach the proposed Answer. Provide the proposed responsive pleading so the case can proceed immediately if relief is granted.

Sources and References

• Wyoming Rules of Civil Procedure: https://www.wyocourts.gov/courts/court-rules/
• Wyo. R. Civ. P. 55(c) — setting aside a default / default judgment (good cause; default judgment under Rule 60(b)).
• Wyo. R. Civ. P. 60(b), 60(c)(1) — grounds for relief; timing (reasonable time; one year for reasons (1), (2), (3)).
• Wyo. Stat. § 1-3-105 (limitations — contracts): https://wyoleg.gov/statutes/compress/title01.pdf
• Wyo. Stat. § 1-3-117 (borrowing statute): https://wyoleg.gov/statutes/compress/title01.pdf
• Wyo. Stat. § 40-14-101 et seq. (Uniform Consumer Credit Code): https://wyoleg.gov/statutes/compress/title40.pdf
• Wyo. Stat. § 40-12-101 et seq. (Consumer Protection Act): https://wyoleg.gov/statutes/compress/title40.pdf
• Fair Debt Collection Practices Act, 15 U.S.C. § 1692 et seq.: https://www.ftc.gov/legal-library/browse/rules/fair-debt-collection-practices-act-text
• CFPB — time-barred debt: https://www.consumerfinance.gov/ask-cfpb/can-debt-collectors-collect-a-debt-thats-several-years-old-en-1423/