The best business debt settlement companies in Columbus, Ohio will be able to work fast, because a cognovit judgment can be entered on the same day it is filed in Ohio. Therefore, you need a company with a lawyer licensed in Ohio to set aside and stay the judgment while you negotiate a settlement.
National pages that purport to list the best companies are based solely on review counts, and they don't mention Ohio at all. CPLR 3218(b), as amended in 2019, prohibits confessed judgments in New York for non-New York residents, (see our page on New York City business debt settlement providers), but if you're in Columbus, what you really need to know is what's going to happen in Franklin County.
Where will the funder file to get a cognovit judgment against my business in Columbus?
The funder must file in the courts of the county where you or a co-signer live or signed the warrant, regardless of what the forum clause of the contract says. R.C. 2323.13(A) opens with "Notwithstanding any agreement to the contrary" and sends the confession to the municipal court covering that territory if the amount fits, and otherwise to any court in that county. The Franklin County Municipal Court is in Columbus and covers all of Franklin County, but its jurisdiction is limited to claims of $15,000 or less. See R.C. 1901.17.
Where an Ohio cognovit against a Franklin County maker is filed
| Amount claimed | Court | Authority |
|---|
| $15,000 or less | Franklin County Municipal Court (required) | R.C. 2323.13(A); R.C. 1901.17 |
| Over $15,000 | Franklin County Court of Common Pleas | R.C. 2323.13(A); Ltd. Invest. Group v. Huntington, 2022-Ohio-3657 |
An MCA usually has several makers, the business plus guarantors, and the "any of several makers" language lets the funder choose among their counties. Filing in the wrong court is a jurisdictional issue, and without the original cognovit warrant the judgment is void, though the court can re-enter it once the original turns up. See Ltd. Invest. Group v. Huntington, 2022-Ohio-3657.
How quickly do I have to act once the funder has obtained a cognovit judgment in Franklin County?
Act within days, because by the time you know about the cognovit judgment, it will already have been entered. In Bruner Holdings v. Sleeper, 2024-Ohio-2925, the court entered the cognovit judgment for $6,140,894.01 on the same day it was filed, December 8, 2020. The statute only requires notice by personal service or registered or certified mail after entry.
Then the funder can begin garnishing your bank account. Per R.C. 2716.13, the court sets a garnishment hearing within 12 days of filing, the order reaches whatever your account holds above $400, and you have until the end of the fifth business day after you receive notice to request a hearing. You also need to file a motion to vacate under Civ.R. 60(B) within a reasonable time, and not more than one year for certain grounds. That motion does not automatically stay the judgment, so your attorney will also need to file a motion to stay under Civ.R. 62(A), and the court may condition the stay on security for the funder.
What defenses reopen a cognovit judgment in Franklin County?
The Tenth District requires you to demonstrate a meritorious defense and a timely motion to vacate, but not excusable neglect. Bruner. Meritorious defenses include:
- payment of the debt;
- improper conduct in obtaining your signature on the note;
- improper deviation from the procedures required to confess judgment; or
- a dispute over the balance due on the account.
You don't have to prove the defense, just show it exists, and if the trial court tries the merits, it is error. In a pure balance fight about penalties, fees or reconciliation credits, the court isn't supposed to open the whole judgment, just hold a hearing on the number. Under R.C. 2323.13(D), if the warning language didn't appear immediately above or below the signature lines in a conspicuous manner, the court has no authority to enter judgment. Then again, Bruner didn't come down until August of 2024, almost four years later!
Does it matter if the MCA lawsuit is in Franklin County's commercial docket?
Franklin County started a commercial docket back in 2009 under Local Rule 94. As of July 1, 2026, the Supreme Court of Ohio renumbered the statewide rules as Sup.R. 7.41-7.52, which still cover transactions governed by the Uniform Commercial Code and business guaranties. If a case isn't flagged for the docket, the other side can move to transfer it with its first responsive pleading, and the judge has to rule within two days. Commercial docket judges try to rule on dispositive motions within 90 days.
How should you vet business debt settlement companies in Columbus, Ohio?
Do they have a lawyer? In Ohio State Bar Assn. v. Watkins Global Network, the Supreme Court of Ohio said a non-lawyer negotiator could relay offers between parties but penalized the company $1,000 because it also gave legal advice. Without a lawyer, a debt settlement company can't file a 60(B) motion, request a stay or ask for a garnishment hearing. Ask for the name of their Ohio lawyer and how quickly they can file once the certified letter arrives.
Do they know how to check MCA contracts for the warning box, the original warrant of attorney and the right court? Each defect costs the funder time and money. A provider that knows only Indiana, where warrants of attorney can't be used before a lawsuit is filed, may not know how to reopen a cognovit judgment in Franklin County. See our article on business debt settlement in Indianapolis.
Frequently Asked Questions
If my MCA contract says New York, can the funder still get a judgment against me in Columbus?
Yes, as long as the contract has an Ohio-compliant warrant of attorney. R.C. 2323.13(A) applies notwithstanding any agreement to the contrary, so a Franklin County owner faces Franklin County Municipal Court or the Court of Common Pleas, depending on the amount.
Do I have to show excusable neglect to reopen a cognovit judgment in Franklin County?
No. The Tenth District only requires showing a meritorious defense and a timely motion under Civ.R. 60(B).
Does a motion to vacate the cognovit judgment stop my bank account from being frozen?
No. Civ.R. 60(B) says the motion doesn't suspend the judgment, so your lawyer must separately seek a stay under Civ.R. 62(A), and the court may require security for the funder.
If I win my balance dispute, does the judgment go away?
Probably not. If the only dispute is about the balance, the Tenth District says the trial court should reopen the judgment to the extent necessary to take evidence on what you actually owe.