Most business owners eventually experience the misfortune of doing an outstanding job for the client, only to find they don’t pay them for the work. Reaching out to the client all the time to hear a sob story is frustrating on your conscience and your company’s cash flow.
In some cases, the client eventually pays, but in others, you’ll find the only way you recover the money is through legal action. If you have to turn to the justice system, you’ll need a judgment collection attorney by your side to help you navigate the process.
The types of collection attorneys differ from firm to firm and industry to industry, and they are different from collection agents. So, what does a judgment collection attorney do? Is it worth hiring one to get the reparation you deserve?
The difference between debt collectors and judgment collection attorneys is that the attorney acts within the boundaries of the law. The legislation and rules of the court define how they can take action to recover funds and the validity of the claim.
As a result, the court will uphold the judgment in the case of an attorney, but they may overrule the actions of the debt collection agent, causing the opening for a counter-suit from the defendant. You do everything legally possible to get your money with a judgment collection attorney.
A judgment collection attorney works with clients to legally recover monies outstanding to them by their creditors. They operate on a set of strategies refined over their career for optimizing the fast payment of outstanding debts from non-paying customers.
The judgment collection attorney works on your behalf, not for the courts. They completely understand the legal system and how it applies to your situation and any niche points referring to your unique position.
They’ll take the entire process off your hands from start to finish. All you do is give them the information they need, and they keep working until you receive the money in your bank account. If you have to go to trial to recover the funds, the judgment collection attorney will represent you in court.
Judgment collection attorneys can assist you with several tasks involving the legal recovery of funds from your debtors.
As mentioned, the judgment collection attorney goes father in their services to you than the conventional debt collection agent. The attorney has the legal authority to represent you in court if the debtor decides to take you to trial.
If you’re chasing a debt that’s older than three to six months, it means the client is likely never going to pay you. Therefore, hiring a judgment collection attorney to file the legal paperwork to start the legislative process is the only way you’ll recover your money.
Some people may choose to represent themselves in court, but you’ll probably lose if the other side has legal representation.
Sometimes, all it takes is to notify the debtor you’re taking legal counsel to get them to make the outstanding payment. A judgment collection attorney can assist you with preparing and delivering a letter of demand to your creditors.
The letter states that you intend to take legal action against them. If the business or person has assets in their business, they are likely to strongly consider this warning and make the payment if they have the funds available.
The client may also reach out to you to negotiate a payment plan. It’s up to you if you decide to take it, but most courts will authorize this strategy if the creditor can display an intent to pay the debt.
If you’re collecting amounts under $5,000, you can usually get away with self-representation in small claims court, and there’s no need for you to hire an attorney.
However, if you’re a larger business moving larger amounts of money, you could have amounts ten or one hundred times larger than this outstanding.
If that’s the case, the debt collection attorney is a valuable asset to help your company get the best chance of recovering the funds.
When hiring a judgment attorney, look at their track record. If they have a solid track record of success, then chances are they will only take your case if they feel you can win.
You won’t have them wasting your time and money if they don’t think you have a chance of recovering the funds from your debtor.
If you need to recover your judgment contact us at Graystone Partners.