Some states have a procedural tool—known as a suit on an account, a suit for an account, or a suit on a sworn account—that limits the evidence and pleading requirements for a creditor to establish its right to recovery on certain types of accounts in a lawsuit to collect a debt. These procedural tools are designed to reduce the cost of a creditor’s recovery of a debt on such accounts, and usually apply to transactions in which there is a sale upon one side and a purchase upon the other, and title to personal property passes from one to the other, creating a debtor-creditor relationship by a general course of dealing.

A sworn account is not an independent cause of action or basis for recovery, but requires the defendant to file a sworn denial of the account to avoid having the court grant judgment against the defendant early in the litigation process (summary judgment).

In South Dakota, the concept of a suit on a sworn account is not as commonly used or codified as in some other states. South Dakota law does not have a specific statute that outlines the procedure for a suit on a sworn account as a distinct procedural tool. However, creditors seeking to recover debts may still file a lawsuit and must provide evidence to establish their right to recovery. The process involves the creditor presenting the account and asserting that the debtor owes the amount claimed. The debtor then has the opportunity to dispute the debt. If the debtor fails to provide a proper defense or dispute the claim, the creditor may seek a summary judgment. It is important for creditors to consult with an attorney to understand the appropriate legal procedures for debt collection in South Dakota, and for debtors to seek legal advice to ensure their rights are protected in such proceedings.