It’s common for businesses to acquire quite a bit of debt when first starting out. When businesses take on debt it’s referred to as commercial debt. If you’ve gotten behind on your business debt payments, you’ve likely received calls from debt collection agencies....
Calculating the precise amount owing on a judgment is essential during the judgment enforcement process. If the creditor’s calculation is incorrect, the court may refuse to issue a writ of execution (which is necessary to levy on the debtor’s assets). Furtherore, if...
The U.S. Bankruptcy Code does not address or govern the requirements for formation of a corporate entity in California. As noted above, it therefore California law that will govern a creditor’s action to determine whether an individual debtor or a parent or subsidiary...
As we have written before here, California courts have elaborated a two-part test for use in considering whether or not to allow a creditor to pierce the corporate veil in a collection effort. This test requires the creditor pursing the assets of an individual debtor...
Some businesses fail to follow up on collection matters for fear of coming off as “too aggressive” or unsympathetic to a business’s financial situation, especially during these uncertain times. However, neither of these approaches need to be the case. Experienced...
Are you struggling to collect on a business debt? You may be able to find legal recourse under the Uniform Commercial Code (UCC). The UCC is a comprehensive set of laws governing all commercial transactions in the United States, including secured transactions. A...
In commercial collections, you generally deal with three main types of debtors: forgotten, lost, or invoice never received. Businesses generally understand the importance of paying bills on time. For example, there are companies that are legitimately struggling to...
When it comes to commercial collections, there’s one main rule that you should follow: Do it now. Don’t wait to collect on past due accounts. Here’s why. Older Accounts Are Harder to Collect Generally speaking, the longer that an account is past due, the harder it is...
With the business environment’s continuous and improved use of technology to save time and money, you may be wondering whether you should use debt collection software for your commercial collections. While good debt collection software certainly has its place in the...
The business world would be close to perfect if accounts never went past due. Unfortunately, every business that provides goods or services for other businesses will eventually face unpaid accounts. Why should businesses care about commercial collections instead of...