Collecting Money Owed After Hurricane Irma
Hurricane Irma has brought the Florida economy to a halt. The strain on small businesses may make it harder for your company to collect money from customers to whom you have extended credit. Hurricane Irma has caused many businesses to board up and close. This will obviously have an economic impact on everyone and may make it more difficult for your customer to make payments that are due because of cash flow issues. Once the storm clears, and things get back to “ business as usual” in Florida, it is important for your business to stay on top of their collection accounts.
Collection Attorney – Debt Collection Law Firm
Our debt collection law firm is sympathetic to cash flow problems that small businesses may encounter. However, unless your company stays on top of collecting money owed to your company, your company’s account receivable may end up on the bottom of the stack of invoices your customer must pay. Our collection attorney will make demand for payment and stress the urgency that your customer make payment arrangements to pay the debt owed to your company. If payment arrangements are not made, our debt collection law firm will recommend that suit be started to collect the money.
Call Our Debt Collection Law Firm
Once a lawsuit is commenced to collect the money owed to your company, if your customer is serious about paying the past due invoices, a payment schedule can be set up. The payment schedule would be filed with the court. If the customer missed a payment, your company would be able to secure a judgment for the amount owed to your company. Litigation does not always secure payment of money owed to your company. However, once suit is filed your customer should feel the urgency to get the debt owed to your company resolved.
Speak to a Collection Attorney
Call our debt collection law firm and ask to speak to our collection attorney. Together we will devise a collection strategy that is just right for you.
Judgment Obtained Against Boca Raton Woman and Real Estate Agent in Rental Scam
Our debt recovery law firm was retained by a Michigan woman, who after being introduced to an alleged high end Boca Raton property, that was supposedly available for rent, sent $26,000.00 as a security deposit to the owner of the property. The real estate agent failed to disclose a material fact to our client, namely that the restrictive covenants of the HOA did not allow owners to rent the property. After learning of this fact, a little too late, our client demanded a return of the deposit. Both the real estate agent and the property owner acknowledged that the money was due to my client , but the money was no longer available to be returned. No explanation was given to our client and soon, the owner of the property and the real estate agent stopped communicating with our client.
Collection Law Firm
Securing a Judgment was Relatively Easy -How to Collect on the Judgment is the Challenge
Obtaining a judgment for our client was relatively easy. It should be noted that we obtained a judgment against both the husband and wife, the owners of the property as well as the real estate agent. In Florida if a creditor only has a judgment against one spouse, property held as tenants by the entirety are exempt from execution. Because we obtained a judgment against both spouses this exemption will not pose a problem in our enforcement efforts. The other area that has to be addressed even though we have a judgment against both spouses, we would not be able to execute on the homestead property of the owners because of Florida’s constitutional protection of homestead property . Fortunately, we were able to find several properties owned by the owners. Since you may only have one homestead, we are now exploring the possibility of foreclosing on the one of the other properties .
Call and Speak to our Collection Law Firm for Assistance
Our firm prides itself in exploring many avenues of collection. Our debt recovery firm has seen an uptick in fraudulent activity, coupled with the weak economy. There are many people who will resort to many unscrupulous activity when they are desperate enough for money. As for the real estate agent, his license is in jeopardy. We will also explore the agent’s personal assets to attempt to secure the liquidation of the judgment for our client. As our debt collection attorney is beginning to piece together a solid debt collection strategy for our client, it is still too early to tell you with certainty how collection on the judgment will occur. We will keep posting about this case and its debt collection strategy in future debt recovery law firm blogs.
We Welcome Complex Debt Collection Matters
Other attorneys who are not versed in post judgment collection, often refer their toughest cases to our debt collection attorney for review. We do not take on all cases, but we do try to give each prospective client of our debt collection law firm an honest assessment of what steps can be taken to enforce the judgment and thereafter, from our years of experience as collection attorneys prognosis as to chances of recovery. We encourage anyone with a debt collection issue to contact our debt recovery law firm. Together we will devise a collection strategy that is just right for you.
Collection Agency-Collection Attorney eBook
Implementing an effective debt collection strategy for your company
Collection Attorney, Stephen Gebeloff is set to release his eBook to help companies with internal debt collection and external debt collection policies and procedures. The eBook is entitled “Collecting Account Receivables.” The eBook was written to help companies tighten up their internal collection procedures. The sub-title of the debt collection book is “Don’t Let Your Company’s Money Burn.”
Guide to Internal Debt Collection Procedures
The debt collection attorneys at our commercial collection law firm believe that if more companies were more proactive with their internal procedures relating to collecting their past due accounts, they would find that there would be a higher rate of recovery on accounts that they extend credit to.
The eBook discusses the differences between collection agencies and collection law firms. Using a commercial collection agency can be useful in some situations. However, credit managers should be mindful that a collection agency is not licensed to practice law. When using collection agencies, if the collection agency is unable to collect on an account, they then must send the file to a commercial collection law firm. The collection agency will charge your company a higher contingency fee as the collection agency will act as a middleman and want to retain a percentage of the contingency fee.
The eBook also discusses the debt collection process once a file is turned over to either a collection agency or debt collection law firm. Once a lawsuit is filed to attempt collection of past due accounts, the various scenarios are discussed. The e-Book gives an outline of the debt collection process. The collection attorneys at The Gebeloff Law Group are always happy to answer any questions your company may have. We will discuss the differences between commercial collection agencies, commercial collection law firms and how each may or may not be appropriate to help your company recover past due accounts.
Debt Collection Policies
Having debt collection policies in place will assist a debt collection attorney when you need to hire a debt collection law firm to collect your money
Keeping copies of your customer’s checks can be very helpful to 0ur debt collection law firm after judgment is obtained. Our collection attorneys will ask our clients after a judgment is obtained if they have any information to assist our debt collection law firm garnish or attach assets. Sometimes a debtor is unaware that once a judgment is obtained a debt collection attorney can issue a writ of garnishment and serve the writ on a bank. Our debt collection law firm has found that many times the debtor is using the same bank account and may have some or all of the funds in the account necessary to satisfy the judgment.
Guide to Internal Collection Procedures
When setting up a credit and collection policy for your company your employees should be mindful that one day your customer may stop paying their invoices and your company may have to engage a collection attorney to help your company collect your money. Our debt collection law firm has been assisting companies with their debt collection policies and procedure. Some companies have credit applications but, surprisingly a lot of our clients learn the hard way once one of their customers stops paying. Having a credit application helps our collection attorneys not only find post judgment assets but, gives our collection lawyers a better chance of locating the principals of a debtor corporation in the event your customer closes its doors. Our debt collection law firm will also suggest adding an attorney fee provision to the credit application, if there is not already one in place. Without that provision, in some states, you will not be able to recover the fees paid to your collection attorney from your customer.
Our debt collection law firm uses all information available to it to determine if there is a possible successor company that may be liable for the debt. Our debt collection lawyers will also explore the possibility that there may be personal liability of an officer for transferring assets. We invite you to call our debt collection law firm to speak to one of debt collection attorneys about your credit and collection policies. Our collection lawyers will be happy to make suggestions to help tighten up the credit application so in the event it becomes necessary to start a lawsuit to recover your money, the chances for successfully recovering your company’s money will be increased
Debt Collection Agency or
Debt Collection Law Firm
When your internal collection efforts have failed, it is time to consider turning the account over to either a collection agency or collection law firm. Your company has to consider whether they want to pursue hard or soft collections.
Soft collections is used when client relationships want to be maintained. Your customer is sent gentle demand letters and telephone calls are made to try and work with your customer to determine the root cause of the delinquency and then to try and establish creative solutions to recover your money in both an amicable and most expeditious way possible. The goal is not to alienate your customer with the hopes that once your customer’s account is brought current the business relationship can continue.
Hard collections are employed when it is apparent that your customer has no intention of or does not have the resources to pay for the services you have provided or for the goods that you have sold and delivered. The telephone calls are made and demand letters are written in a manner to make it clear to our customer that if payment arrangements are not made immediately, litigation may be started to recover your money.
Using a Collection Agency
A collection agency may be considered where balances on accounts are too small to consider filing a lawsuit. In this instance, the debt collection agency can continue to make collection calls and send letters. They can be a valuable resource for a company that has multiple small balance past due accounts. However, collection agencies have their limitations in that they are not attorneys and can only go so far in demanding payment. If litigation is required the collection agency has to outsource the account to a collection attorney and your company will end up paying a higher contingent fee as the collection agency typically charges a higher rate once an account is sent to an attorney.
Debt Collection Law Firm
A debt collection law firm can perform the same debt recovery services as collection agency and more. The law firm is equipped to make telephone demands and send collection letters. The collection law firm can also utilize soft collections or hard collections as necessary. Importantly, the debt collection law firm gives your customer a stronger sense of urgency to resolve the outstanding debt. Further a collection attorney is able to file a lawsuit, levy on assets and garnish bank accounts if necessary to collect your money. A lawyer can give provide you with legal advice and opinions onthe best course of action to take an alternative theories in which it may be possible to impose personal liability on officers of the company for the debt even if there are no personal guarantees on the account.
Where Should Your Company File a Debt Recovery Lawsuit
The question is often asked by our commercial debt collection clients where should suit be filed against their customer with delinquent account receivables when their customer is not located in the same State. There are two choices. A debt collection lawsuit can be brought in the State where the client is located or a collection lawsuit can be brought in the State where the client’s customer is located to attempt recovery of the debt.
Bringing a debt recovery lawsuit in the State where the client is located has logistical advantages but, not always the fastest way to recovery debt from a customer who seems to be intentionally ignoring the obligation to pay. It is true that our client may not have to incur the cost of traveling to the debtor’s State to attempt recovery of the debt but, typically if the debt recovery suit is brought in the client’s State the debtor will simply ignore the suit and a default judgment will be obtained. At that point, the client will then have to domesticate the judgment in the debtor’s State to be able to seize the debtor’s assets. This slows down the debt recovery process.
Debt Recovery Law Firm
Our commercial debt recovery law firm recommends that debt collection lawsuit be brought in the debtor’s State. If the debtor is still operating that is where the debtor’s assets are going to be to levy and or garnish. It is true that the client may have to travel to attend trial but, typically if a debtor is simply stalling and not offering any legitimate defenses, our debt recovery attorneys have found that the same default judgment can be obtained in the debtor’s State and debt recovery efforts can begin sooner. In this scenario the client would not have to travel at all. The default judgment could be obtained simply by providing an affidavit as to the delinquent account receivable.
Our debt recovery law firm has a network of highly skilled debt recovery lawyers throughout the United States. Please call our debt recovery lawyers and discuss what the best strategy is to pursue recovery of your delinquent account receivables no matter where your customer may be located.