Yes, in Colorado, creditors, can and will sue you if you don't pay your bills. This is true for most types of common debts including credit cards, medical debt and deficiencies on foreclosures and vehicle repossessions.
Sometimes your original creditor will sue you directly but, more often, the creditor will sell the debt to a debt collector who will then sue you. If this happens, the debt collector must prove that they are the owners of the debt but you should not assume that the lawsuit is invalid because you do not recognize the Plaintiff/creditor.
When you are sued in Colorado, the Plaintiff/creditor must personally serve you with a Summons and Complaint. Generally, this means that a process server must hand you the Summons and Complaint directly. Process servers may also serve another adult (18 and older) if they serve them at your home. Once served, you will have only a few weeks to file an Answer to the Complaint. If you fail to file an Answer by the deadline, the creditor will obtain a default judgment against you in the amount they request.
If you're considering hiring an attorney to represent you, it is important to speak with an attorney experienced in credit card and collection lawsuits as soon as possible. An attorney will need time to review your case and prepare an Answer. If you wait until the eve of your Answer deadline, it will likely be hard to find an attorney to represent you. If you are sued and do not dispute the debt, you may be able to settle the debt prior to your Answer deadline. Having an experienced debt settlement attorney can help you get the best deal and can ensure that the settlement is documented correctly and that the case against you is dismissed.
Ultimately, whether you are looking to fight the lawsuit, settle the debt or file for bankruptcy, it is important to act quickly once you are served with a Summons and Complaint. By ignoring a lawsuit, you could miss the opportunity to settle or dispute the debt and the creditor will likely obtain a default judgment against you.