Debt Collecting Q & A - Issue 9

DEBT COLLECTING Q & a û Issue 9
By Jim Finucan
® Tiare Publications Group

Q) Dear Jim û I had a realtor client who was representing a new
development. I agreed to do a logo for them in order to get the
contract for marketing this new development. The realtor paid half
the invoice for the marketing materials and nothing more, despite
sending certified letters and threatening to withhold usage of the
logo. My lawyer says I have a case but his fees would be more than
the amount I'm owed. And even if I did win in small claims court,
would that judgment have any teeth? Would I be able to collect? Is it
even worth the hassle?

A) I'm a believer in making phone calls to the parties concerned û
even in personal visits when necessary. I'd call this person every
single day for an entire month. Ask him if his lack of action is
standard business procedure for them. As him: "Am I the first guy you
are trying to rip off or do you do this to everyone?" Ask him right
out whether you need to take legal action, and if so, what's their
defense going to be? Write down everything they say in case you need
it in court.

You might also look for a lawyer who won't charge as much as the one
you've talked to. Better yet, take your notes to the clerk of courts
office and start a suit yourself (it's not that hard û your local
library has books on this). Yes, the judgment will be vital in
collecting the debt. Sue the individuals personally, not the
business. Try to get a lien placed on their property or garnish their
wages. You're being taken advantage of. It's your money and you
deserve to be paid!

By the way make sure your future contracts include an 8% interest
charge on amounts unpaid after 60 days and an additional fee for any
costs you may incur in collecting the past due amount.

(End)

Jim Finucan personally developed collection techniques that made him
a "top gun" bill collector. Now these powerful techniques are
available in his book "Past Due! û A Debt
Collections Manual. More information is available at
http://www.tiare.com/pastdue.htm