We are exclusively a commercial collections agency, we do not do personal collections

Debt Litigation in a Nutshell

Your collection professional has exhausted all amicable means of collection and now has recommended that your claim be forwarded to one of their bonded creditor’s rights attorneys for further follow up. The attorney handling the claim on your behalf has determined that he/she is unable to obtain voluntary payment or a payment schedule, and believes that suit will be effective in bringing about collection of this claim.  As the creditor you should always insist that counsel will not file any legal proceeding without written authorization from you, the claimant.  In light of the fact that suit is deemed necessary, the attorney has requested court costs, a suit fee (retainer), an affidavit and other supporting documentation to substantiate the claim, before the suit is drafted.  If the attorney has provided any additional information or has made further recommendations, usually a copy of the correspondence is enclosed.

It is recommended that you review all information, giving consideration to the size of the claim, the known status of the debtor and the likelihood of collection, before deciding whether to pursue this claim through litigation.  It is important to note, the providing of suit requirements itself is not necessarily a recommendation to file suit. Furthermore, the recommendation of suit is not a warranty of collectability. The decision to invest in litigation is a business decision for you, the client, to make. If suit does not prompt the debtor to pay the account, a judgment, if obtained, will provide for interest on the obligation; a lien on the debtor’s non-exempt real property in any county where an abstract of judgment is recorded; the basis for issuance and levy of one or more writs of execution against non-exempt real and personal property owned by the debtor; enforceability of the debt for a period of years from the date of the judgment (the length of time is dependent upon individual state statutes); and evidence of uncollectibility for tax purposes. Should you have additional questions or wish to discuss your claim and counsel’s recommendation, you should call your professional collection agency to assist.