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Using A Lawyer for Your Bad Debt Collection Problems

Debt collection lawyer

Stressed because people won’t pay? – image David Castillo Dominici

When people you owe money for anything or a service that you have provided to them, they have an obligation to pay for it. Many sellers offer credit or easy payment terms in order to attract clients to build their turnover but they are still entitled to be paid. However, credit does come with costs, not just the lost interest from your having the money on your account but often the collection costs can be painful and expensive. Often the quickest way to get your money is to contact a lawyer to help with bad debt collection problems.

Debt collection protocols

Debt collection is a matter that is governed by a number of regulations and laws in each country, and it is incumbent on the debt collector or agency to adhere to these laws. The laws are generally there to act as protection for consumers while recognising their obligation to pay their bill. Debt collectors cannot use obscene or abusive language while dealing with the people who owe money. They have to ensure that they do not harass them with repeated calls, or make calls before 8 am and after 9 pm unless the person agrees to such calls. Calls, or visits to places of work are also not allowed nor are visits to the person’s home. The debt collector has to be correct in the figures being claimed, and threats to sue are frowned upon by the law. They cannot talk about this debt to other than the person who owes the money or his or her lawyer. Wages cannot be garnished, and if property is to be seized it does require a legal sanction. At no stage must a debt collector claim to be other than what he is. Some debt collection agencies try to intimidate people by claiming to be representing a credit bureau, or a law enforcement official.

How to collect debt

Most large companies have separate departments or personnel, or sometimes it is the duty of the sales staff, to constantly follow up with customers in order to ensure that they make payments. If you are a solo operator, then you may be wondering how to collect debt since you have the unpleasant task of following up with your clients. It is not something many people enjoy as they feel it will sour their relationship with their client. As a result they outsource the recovery process to collection agents, who work for a percentage of the owed amount.

Some companies also sell their invoices to a type of finance company which offers an invoice discounting service. This is a version of factoring which many people have heard of. This means the service provider is paid by the finance company for a discount of the total invoice value, getting immediate cash-flow and the finance service will collect from the buyer.

North Shore lawyers for bad debt collection

Even though you may have given extended credit and made numerous requests to a company to pay their bills, you still do not receive your cash. For example, if you contact a lawyer in your area, they can work on your behalf to recover the debt. You may think that the last thing you want to d from there is to spend more money on the situation but often just a small outlay can make all the difference.

The first thing a debt recovery lawyer can do is to write to your debtor requesting immediate settlement. It is surprising how quickly companies respond to a letter from a law firm. Businesses do not want the costs not hassle of having to get embroiled in legal action. For a start, if they refer the claim to their own lawyer, that will incur costs for them from the start. Further, their lawyer will probably advise them to settle as the company has consumed the product or service that was provided. All of this is obvious to the company so why would they create further costs for themselves? So ask your own law firm to send a letter to the company that owes you money and see if that produces the outcome you are looking for.

Further steps in collecting your bad debts

Debt collection problems Albany

Debt collection problems Albany

If your debtor does not settle your account within the time stipulated by your lawyer’s letter, then you will need to consider further legal action. Here again your solicitor will advise you of the best course of action.

The debtor may come back with a payment plan proposal. You can discuss this with your legal advisor and possibly your accountant to see if it is a reasonable proposal. Remember, you are in business to make money and not to provide a cheap banking service to customers. So the payment plan must be a sensible option for you and your business.

If you want to talk to a bad debt collection lawyer in Albany, McVeagh Fleming & Co is among the largest law firms on the North Shore. They will be able to help you.

Small business debt collection

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JTWhen you are building a home or modifying it, it is almost certain that you will need to hire contractors to carry out the required work. This is not a difficult thing to do as such services are always available in most towns and cities. But, at times, disputes do arise with contractors which can delay the work and even increase the cost. Such building disputes are avoidable if sufficient steps are taken to safeguard against legal construction disputes.

As a home owner, one essential step you can take before taking on ddpavumbasuch work is to ensure that you hire a contractor who is licensed. Such licensed contractors are more than likely to be well organized and therefore will have insurance, worker’s compensation policies, bonds and other things that make it easier for them to operate. Do some researches on their licenses to make sure that they have been obtained from the right statutory authorities of the area that you live in.

To lessen the chances of a dispute, first of all you need to be very clear about the structure that you want to put up or the modifications that you want to make. Have these properly listed or incorporated into drawings so that the contractor is very clear about the scope of the work. Make sure that contractor has based his quotations on your requirements. It can do no harm to even decide on the brand of the fittings or other materials to be used. Quite often disputes do arise when this is not clear.

Insist on a written contract that clearly spells out all the work that needs to be carried out. This contract must include clear specifications for the work, likely quantities, time required to carry out the work and payment schedules. On your part, you must make sure that any payment schedules are strictly adhered to so that there is no dispute that arises because of lack of payment or delay in making them. Also be very prompt in replying to any queries from the contractor, as quite often when there is delay in decisions, contractors will ask for idle time payment or require time lines to be extended.

Consulting a construction lawyer can be a good idea, before you sign on the dotted line. It may even be more sensible to get the entire contract drawn up by a contract solicitor as they will be able to avoid all chances of disputes. Ask them to advice you correctly on your own obligations in the contract, so that you never fall foul of the clauses and leave yourself vulnerable to legal action.

Most construction disputes enter the legal area when there is a lack of communication with the contractor. You can reduce the chances of this by regularly scheduling meetings at the site and in the office where, both you as the owner and the contractor as the agency carrying out the work can meet, and settle any likely bones of contention. Include mediation in the contract, as a means to solve disputes, as this can go a long way to reduce the disputes turning into a legal quagmire.

It is always in the interest of the homeowner to settle any legal construction disputes at the earliest. When you get into such a situation, it is more than likely that the work will get delayed. This can mean additional costs, as well as the inconvenience of not being able to use your home, as contractors will almost definitely get themselves legally protected to prevent your occupation. Legal disputes in construction can be avoided if contracts are clear and efforts are made to stick to all the obligations in the contract by both the interested parties.

If you have a building project that has gone wrong and find yourself in dispute with the building company you should talk to a lawyer as soon as possible. Often a letter from a lawyer will smooth things over and can save a lot of time. However, you may need to find a lawyer who specialises in dispute resolution as the legal industry calls it. If you find yourself in this situation here is a good dispute resolution lawyer on The North Shore. You can get more details at their site.