The Law Offices of Ronald P. Slates, P.C.
Call Our team Schedule A Consultation 866-904-6965

The Number One Rule to Commercial Collections: Do It Now

Thumbnail image for Thumbnail image for Thumbnail image for 1452314260_Lawyer.pngWhen it comes to commercial collections, there's one main rule that you should follow. And that rule is to do it now (or, as the famous slogan goes: Just Do It!). In other words, don't wait to collect on past due accounts. Here's why.

Older Accounts Are Harder to Collect

The longer that an account is past due, the harder it is to collect on. This can be because of any number of reasons. For example, the business could close down. They may file bankruptcy. You could lose important documentation that validates the debt - and that documentation is key because if the debtor requests debt validation, you must provide it in order to continue your collection efforts. You also need the documentation if you want to pursue other collection options such as suing the debtor. Even if you have the documentation, getting a judgment is one thing. Yet, being able to enforce the judgment without the assistance of a skilled collections attorney may be another problem altogether when a debt is extremely old.

You Must Abide by the Statute of Limitations

Commercial collections activity is subject to a statute of limitations. This is a time period set up by law that gives you a certain amount of time to attempt to collect on the debt. Once the debt is outside of the time, it can be close to impossible to collect on unless you're able to toll the SOL with the assistance of a knowledgeable collections attorney.

If a Debt Is Old, Should You Just Write It Off?

Because collecting on a commercial debt gets more difficult with time, you may be wondering if you should just write it off. The answer is it depends. First, you have to determine if the money that is owed to you is a significant amount that warrants you trying other avenues to collect on the debt. Working with a commercial collections lawyer is an added expense that may or may not be justified based on the amount that is owed to you. However, lawyers do often have additional ways that they can use to try to get you paid. And in many cases, some money is better than no money. Writing off the debt should be your last option.

For more information on the collections process, contact attorney Ronald P. Slates today.

No Comments

Leave a comment
Comment Information

How Can We Assist You? Schedule A Consultation today.

Contact our commercial collections lawyers at our firm to discuss your and your clients' business, commercial collections and enforcement of judgements' issues. The skilled and experienced team of attorneys at our downtown Los Angeles law offices offers hourly and blended fees (discounted hourly plus partial contingent fee) to our clients.

Call us at 213-599-7004 today or fill out the form below to get started.

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

Get Started
Map Marker

The Law Offices of Ronald P. Slates, P.C.
500 S. Grand Ave.
#2010
Los Angeles, CA 90071

Toll Free: 866-904-6965
Phone: 213-599-7004
Fax: 213-624-7536
Los Angeles Law Office Map