Tag: florida debt collection

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To Collect a Debt or Take a Loss …That is the $Question$

Florida Debt Collection

Florida Debt CollectionBy reading this article Florida business owners will learn about the Florida debt collection process and what you can do.

The economy tanked several years ago. There is no way to sugar coat this. A lot of customers, income and sales were lost. And with bad business came bad debts. Often the bad debts had to be ignored as the more pressing problem was operating expenses, rent and payroll. 

Florida Business Efficiency and Improvement

For those that survived, efficiency and automation were the key to survival. We now see tighter budgets, virtual employees, virtual offices, online stores, outsourcing and streamlined workflows. There are less workers doing more work while wearing more hats. As a consequence, business is stable and growing.

Florida Bad Debts

If business is improving, is it not time to revisit those Florida bad debts? After all, those bad debts were earned sales or income at one time. Ignoring the bad debt will not solve the problem. A bad debt does not collect itself. With a bad debt, there is an opportunity to convert an old problem into income. But that opportunity will not last forever.

Florida Debt Collection: Time is of the Essence

If you do not pursue your legal remedies in a timely manner, you will lose your right to do so forever. Depending on your bad debt, you may have only four or five-years to file a claim. Collection statistics have shown the sooner you pursue your claim the higher your chances are for receiving monies from that claim. The morale of the story is to stop wasting time and go after what you are owed.

Florida Debt Collection Cost/Benefit Analysis

Given tight budgets and limited resources, are you concerned about legal expenses? I am sure you are. But here is the deal. If you spend nothing, you know for certainty you will get nothing. Are you willing to accept that result? If not, is it not worth some initial investment into the case to see what your options are and what response you get back from the debtor? Even a negotiated settlement that is less than what is owed but more than what you pay in legal fees, is still a major plus on your balance sheet. Perhaps not every debt is worth pursuing but consider which ones are and do something about them before it is too late.

Florida Debt Collection Legal Fees

Speaking of legal fees and costs, the initial review and investigation will not break your budget. For less than five-hundred dollars, usually you can have an investigative report conducted on the debtor to determine location and assets; a lawyer review with advice and options; and a written demand sent to the debtor. If your case is not worth five-hundred dollars to review and pursue, than I agree with you it should be closed and forgotten.

Florida Debt Collection Lawyer and Business Advice

As far as doing business in this new era with tight budgets and outsourcing, a Florida business and Florida debt collection lawyer can be a great partner for you. A lawyer can help you to further streamline your own collection practices to maximize your account receivables. To improve collectability, a lawyer can create, review, amend and help document your contracts. Your contracts are the lifeblood of your business and this is one area you should not ignore or minimize. Using generic forms or those downloaded online for free is a recipe for disaster. There are many options for how a lawyer can work for you, be it a monthly retainer for a set number of hours, to an hourly rate or a flat fee for the task. Legal costs such as these are also not going to break the bank and should be viewed as the cost of doing business in this day and age.

The question is not whether you can afford a lawyer but whether you can afford to not have a lawyer.

Contact me if you need Florida debt collection lawyer, legal help, advice or a consultation. Contacting a lawyer to look at your legal issue and to provide you with your options is the first step to protecting yourself. I can be reached by telephone at (305) 373-3826 or by email at russell@russellaw.com.

Related Topics: Florida debt collection lawyer; Miami debt collection lawyer, Florida collection help; Florida collection options; Florida bad debt; Florida debt collection

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When do I need a lawyer for my Florida Debt Collection Case?

Florida Debt Collection Lawyer

Florida Debt Collection LawyerReading this article will teach you when and why you need a Miami debt collection lawyer.

Times have been tough, we all know that. Been there done that. The economy has thrown many business plans and transactions for a loop. Often this meant broken promises and non-payment. As a business, you took your lumps but often could do nothing about it. The debtors got a free pass. You had bigger problems of your own like surviving the Great Recession and making payroll. Fortunately times are better and now it is time to revoke that free pass and get what is owed to you.

Florida Debt Collection

Let’s be honest, there is nothing easy about debt collection. Any one that tells you this is easy work or guarantees you a result is a charlatan. Separating a person from their money is harder than almost anything out there. People will stop at nothing to frustrate you and not to pay. And why not, this means they got something for free from you.

The Do Nothing Lose All Approach

The choice is clear. You can do absolutely nothing and you are ensured of your result which is a total loss. Nothing less and nothing more. Show me a person that voluntarily pays a bad debt without a request and I will show you a unicorn. The total loss can be written off as bad business or a lesson learned. The only problem is bad business and lessons do not pay bills or replace the product or services you rendered.

Debt Collection Company Approach

The second choice is to pursue debt collection with a debt collection company. Debt collection companies work on a percentage basis meaning they keep a portion of your money they collect. That is the best case scenario. That can cost you up to 50% of what you are owed. If they collect nothing then you owe nothing. This seems like debt collectors work for free and many people feel this is a good deal. Why would you weigh this negative and most likely outcome as a good deal? Remember, debt collectors have a limited arsenal at their disposal such as calling and pestering debtors with lots of form letters. By law a debt collection company cannot do much more as they are not lawyers. The problem is debtors become immune to these tactics quickly like insects to repellent. At that point, the calls and collection letters are recognized for what they are and are ignored. Often that leaves you in the same position as you started but just months or years later with no results. You are worse off since the chance for recovery has been shown to lower with each passing day you do not take collection action.

Hire a Florida Debt Collection Lawyer

That leaves us with the final choice. Hire a debt collection lawyer. Unlike a debt collection company, a debt collection lawyer can take your debtor to task in court. Instead of telephone calls and dunning letters, a collection lawyer uses a lawsuit, subpoena, deposition, trial and final judgment as his tools. These tools can be very effective in recovering funds on your behalf. A resulting final judgment will allow the debt collection attorney to levy upon the debtor’s assets or seize the debtor’s bank accounts or wages through garnishment. If this does not work, then nothing will as no debt collector has any power greater than this. All you have to ask yourself is who puts you in the better position to recover your funds, which is the ultimate goal.

Hiring a debt collection lawyer need not be scary. Think of us as a possible solution to your problem and not a dental visit. The idea here to come up with an affordable and sensible budget you control to maximize your recovery. This is not an endless money pit. You are in control of that budget and decide if and when to stop the case. Our job is to put you in the best possible position to recover what you are owed. Not every case can be won, that much is clear, but it is equally clear that no case can be won if you do not try.

If you have a Florida debt collection case, please contact us to arrange for a consultation to see how a Miami Debt Collection Lawyer can help you. We have been doing this for over twenty-years and in that time there has been little that we have not already seen. By consulting with us, you have nothing to lose but everything to gain.

Related Topics: Florida debt collection, Miami debt collection, Florida collection lawyer, Miami collection lawyer, Florida collection lawsuit, Florida judgment collection, Florida garnishment, Florida levy, Florida civil theft, Florida fraudulent transfers

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Why and How do I Record a Florida Judgment?

Recording a Florida Final Judgment

Recording a Florida Final JudgmentReading this article will teach you why you must record a Florida Judgment and the steps for recording the final judgment

This is the second article in a series of articles I have put together on how to enforce and collect on a Florida final judgment. The first article “How Do I Collect on a Florida Judgment” introduced the preliminary steps that must be taken after obtaining a final judgment. The lesson from the first article was that final judgments do not collect themselves. Successful collection of final judgments requires one to act fast and to do several things simultaneously. Recording the final judgment is one thing you should do right away.

Recording the Final Judgment

Why should you record your final judgment? Recording the final judgment is the only way to announce to the world that you have a judgment against the debtor. Recording the final judgment is the only way to obtain a lien against any real property that the judgment debtor owns in the county where the judgment is recorded. Having a final judgment does not act as an automatic lien against the real property of the judgment debtor.

The Court or Clerks will not record your final judgment for you. This is a separate process you must do on your own. At a minimum, record the final judgment in the county where the judgment debtor resides or does business. If the judgment debtor has property in several counties, record your final judgment in each of those counties. You are urged to record your final judgment as soon as possible since the first to record will have priority in collecting over those that record final judgments afterwards.

How to record a final judgment

To act as a lien against real property, the final judgment must contain certain basic information. If that information is missing, the final judgment will not act as a lien upon the real property of the judgment debtor. The final judgment should therefore be properly prepared and contain all required information before signed by the Judge. A Judge will not tell you how to prepare a final judgment. If there is any doubt, please obtain the assistance of a Florida lawyer for help with your case before proceeding.

Assuming you have a properly prepared final judgment, the method for recording is fairly straight forward. You will need to obtain a certified copy of the final judgment from the Clerk of Courts and then record it in the public records and pay the appropriate fee for the same. After recording, the Clerk of Court will return a copy of your recorded final judgment to you with a stamp that indicates the date the final judgment was recorded and the exact book and page number where it can be found in the public records.

The Effect of Recording a Final Judgment

Credit bureaus and title companies routinely check county public records for recorded final judgments to determine if there are any outstanding liens or judgments against persons or companies. A final judgment will serve as a red flag and black mark upon the judgment debtor. This will affect the judgment debtor’s ability to obtain credit or to buy and sell real estate. Catching the judgment debtor during these crucial times will often motivate the debtor to pay you. This is precisely why it is so important to take that first step and to record your final judgment in proper form in the county public records.

Related Topics: Florida judgment enforcement; Miami debt collection lawyer; Florida collection law; Florida final judgments

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Florida Fraudulent Transfer

Florida Fraudulent Transfer Defined

A Florida fraudulent transfer occurs in the context of ongoing litigation or the collection of a final judgment.  In order to avoid paying creditors or the final judgment, a debtor will often attempt to hide income or assets.  Ways a debtor will attempt to hide assets includes the transfer of property to family members so that it is no longer technically in the debtor’s name.   Similarly, a debtor may attempt to transfer property to a corporation that the debtor actually owns or controls.  The same game is played with income or monies that are owed to the debtor.  In other words, the debtor instructs the paying party to pay a family member or a corporation instead of the debtor.

Under Florida law, a debtor’s attempt to transfer property or income so as to avoid paying creditors can be avoided.  All such transfers when done within a certain period of time are presumed to be fraudulent.  Once identified as being fraudulent, it is the burden of the debtor to prove to the court that the transfers are not fraudulent and were not taken to avoid payment to creditors.  The debtor’s failure to prove that the transfers were not fraudulent entitles the creditor to have the transfers set aside and returned to the debtor so the creditor may levy upon the property.  A creditor may also seek to levy and garnish upon the property or income directly or even have a receiver appointed to catalog the property.

Florida Fraudulent Transfer Help and Benefits

Most creditors may find that obtaining a final judgment against a debtor is actually the easy part.  Collecting and enforcing that final judgment so the creditor is actually paid is often the most difficult task for a creditor.  Russell Law can assist you in this complex, difficult and tedious process.  As you can imagine, debtors at this stage are less than helpful and rarely forthcoming about their assets and income.  We can begin the process by conducting a thorough investigation of the debtors income, assets and bank accounts.  Thereafter, our law firm will conduct formal discovery in the case to obtain documents, deeds, titles, and bank statements from the debtor.  Russell Law will take all appropriate action with the Court to compel the debtor to produce all of their asset and income documentation as required by law.  Patrick Russell, Esq., will analyze all of this data and if necessary, schedule a deposition of the debtor to ascertain if any suspicious transactions are actually fraudulent transfers.   Our firm will file necessary papers with the Court to protect your rights if fraudulent transfers are identified and seek to have those transactions set aside so you can collect what is owed to you.

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Florida Civil Theft

Florida Civil Theft Help

Russell Law and Patrick Russell, Esq., a Miami Fraud Lawyer can assist you with Florida Civil Theft cases. Florida Civil theft is when one party intentionally deprives another party from the rightful use or possession of property. In other words, the taking of another person’s property and refusing to return that property upon demand.  Civil theft as opposed to criminal theft punishes the guilty party with money damages rather than jail time.  By law, the measure of damages is three-times the value of the property that has been taken and not returned.  The taking of money or failing to pay a debt when demanded is not considered civil theft.  Civil theft only applies to tangible property and not debts.  In order to make a claim for civil theft, you must by law send a statutory civil theft notice to the party that has taken your property.  Failure to provide proper notice will prevent you from making a claim for treble damages.  Should the property not be returned to you after receipt of the civil theft notice, you are then able to file a lawsuit to recover treble damages for the property that was wrongfully taken from you.

Florida Civil Theft Benefits

Russell Law can assist you with reviewing your civil theft case, preparing the proper civil theft notice and if needed, the drafting and filing of a lawsuit to collect what you are rightfully owed.

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Miami Debt Collection Lawyer

Miami Debt Collection Lawyer Help

Russell Law and Patrick Russell, Esq., a Miami Debt Collection lawyer can assist you in your Florida debt collection matters.  Debt collection services are provided for both businesses and individuals. We can help you when you need assistance in both collecting monies or defending against a collection attempt.

Debt Collection Defined

Debt collection is simply the attempt to collect the debt of another.  The typical scenario is that a customer owes you money for either goods or services rendered.  When your attempts to resolve this claim with your customer fail, you should seek the counsel of a Miami Debt Collection Lawyer to help you.  The sooner you get the file into the hands of the lawyer the better your chances are for recovering the debt.  Statistically it has been shown that the successful recovery of a debt decreases for each day that passes.

Debt collection matters also involve the receipt and prosecution of Florida worthless checks.  The passing of a worthless check in Florida entitles the victim to pursue a claim for three-times the value of the check as damages in addition to the face amount of the check.  There are specific procedures that must be followed to pursue a worthless check claim and a client is well advised to obtain a lawyer for assistance with these matters.

The collection of final judgments is perhaps the toughest of all collection matters.  With Florida judgment enforcement, clients will often find that obtaining a final judgment in a case is often easier than collecting the amount owed on the judgment.  There are specific strategies that should be taken to ensure optimal recovery of amounts owed on judgments.  A strong and successful strategy will incorporate several activities including post judgement discovery, aggressive investigation of assets and income, garnishment and levy.

Finally, collection defense is also a vibrant area of collection law.  Clients will need counsel and assistance in those instances when they are being pursued for a debt that they do not owe.  In Florida collection defense cases, a collection lawyer should be retained as early as possible to challenge collection agencies and their aggressive methods.  Debt verification and the strategic planning of a sound defense early on can be invaluable in defending your case.

Miami Debt Collection Lawyer Benefits

Russell Law and Patrick Russell, Esq., a Florida Debt Collection Lawyer can assist you in the collection of monies owed to you.  Collection efforts can include the pursuit of worthless checks as well as the amounts owed for final judgments.  Russell Law can also assist you in the defense of collection cases when you are being pursued by collection agencies or when lawsuits have been filed against you for monies that you do not owe.

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Florida Debt Collection

Florida Debt Collection Defined

Proceeding with Debt Collection

Debt collection is defined as the attempt by one party to collect the debt of another party.  Debt collectors include the persons engaging in debt collection activities, their employers, and in some instances lawyers who also attempt to collect a debt.  Debt collection ordinarily includes telephone collection calls and the mailing of collection letters.  If you need assistance in collecting a debt owed to you, feel free to contact Russell Law for the help you need.  Patrick Russell, Esq. , a Florida Debt Collection Lawyer can assist you with your debt collection cases for monies owed, past due contract payments,  unpaid loans, worthless checks or the collection of a Florida Judgment awarded to you.  We will assess your case and plan a strategy to collect the monies that are owed to you.  Demand letters can be sent or your behalf or if your prefer, a lawsuit may be filed first to speed up your claim.  If possible, Russell Law can attempt to work out an agreement with the debtor to get you paid under terms and conditions that you approve.  Otherwise, we will pursue a judgment on your behalf and if awarded, attempt to collect the same from the debtor.  Final judgment collection will require an investigation of the debtor’s assets to identify ways in which you can be paid.  Options include levy upon personal assets or real property or garnishment of bank accounts or wages from an employer.

Debt Collection Response

If you are on the other side of a debt collection attempt, you are protected by the Fair Debt  Collection Practices Act (“FDCPA”).  The FDCPA is a Federal law and the Florida equivalent, set forth proper methods and manners for a debt collector to engage in collection activities.  Generally, all debt collection attempts must include a warning and disclaimer that the action is an attempt to collect a debt.  Further, this warning and disclaimer must provide you with an opportunity to dispute the debt and obtain written verification of the debt.  The laws regulating debt collectors requires that no attempt to collect a debt shall be misleading.  As such, collectors are prohibited from demanding the wrong amount or interest and fees that they know that the creditor is not entitled to.  Likewise, debt collectors cannot threaten to take action that they cannot legally take (i.e. “have you arrested”, “throw you in debtor’s prison”).  Finally, debt collectors are prohibited from harassing you in order to collect a debt.  Harassment includes calling you early in the morning, late at night, repeatedly at all hours even after you have demanded that they stop, or calling your employer to state that you are a deadbeat.  The foregoing prohibited actions are just a small sampling of the many prohibitions in FDCPA.  A violation of the FDCPA allows a debtor to file a lawsuit against the debt collector for actual damages incurred on account of the violation and to recover all attorney’s fees and costs for bringing such a claim.  Should you feel that your rights have been violated by an improper debt collection method, please feel free to contract Russell Law for a consultation.  Similarly, if you need assistance in responding to a debt collection attempt, Patrick Russell, Esq., a Miami Debt Collection Lawyer can stop the collection calls and letters to you, and work with the debt collector directly to resolve the claim on your behalf.

Florida Debt Collection Resources

Helpful legal resources for Florida Debt Collection include Florida Debt Collection Statutes for links to relevant Florida laws dealing with debt collection in the State of Florida.

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Florida Collection Defense

Florida Collection Defense Help

Collection Letter Response

Russell Law and Patrick Russell, Esq. , a Miami Debt Collection Lawyer, are available to defend you in a Florida collection defense matter or case.  If you receive a collection or demand letter from a collection agency or a law firm, you should immediately seek the assistance and counsel of a lawyer. Russell Law will defend you against overzealous collectors and protect your rights in Court against unjust claims.  Normally, all collection or demand letters have deadlines to either resolve or dispute the claim. As a practical matter, you do not want to ever waive any of your rights.  As such, the initial collection or demand letter should be treated very seriously. Collection activities are regulated by both Federal and State law and they cannot be misleading or inappropriate.  We can assert claims on your behalf against a collector that violated the Fair Debt Collection Practices Act or its Florida equivalent.  Further, Russell Law can assist you in protecting your rights and responding intelligently to a collection letter by disputing and/or seeking verification of the debt.

Collection Lawsuit Response

Just the same, if you receive service of a lawsuit, you should immediately seek the help of a lawyer. All lawsuits have time deadlines by which you must file a written response. Calling the Court or the person who filed the lawsuit against you is not enough. Unless you get a written extension of time, you must file your written response in a timely manner.  The Florida Rules of Civil Procedure require that your written response be in a certain form and format. The failure to observe the Florida Rules of Civil Procedure may result in a default being entered and the entry of a final judgment against you.

Florida Collection Defense Benefits

No matter if it is a collection letter or lawsuit, Russell Law and Patrick Russell, Esq., a Miami Debt Collection Lawyer can help you protect your rights and seek a final resolution for the dispute. Upon our office entering your case, all letters and telephone calls to you will cease and the only party contacting you on these issues will be us. Russell Law will review all agreements, invoices, correspondence, demand letters and lawsuit papers to defend you in your case. Should the circumstances warrant, we can negotiate a settlement and pursue a favorable payment plan for you.  Rest assured your case will be handled by us in a civil and amicable manner until it is ultimately resolved.

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Venue for Fraudulent Transfer Claims

Florida Debt Collection

Florida Debt Collection

 

 

In Bedwell v. Rucks, 37 Fla. L. Weekly D2551a (Fla. 4DCA 2012), the Florida Fourth District Court of Appeal had to determine the proper location for lawsuit involving a fraudulent transfer claim.  The Plaintiffs in this case originally brought a professional malpractice claim against an accounting firm.   Thereafter the Plaintiffs brought a second claim for fraudulent transfers against the individual accountants of that accounting firm after it closed on the basis that the accountants acquired assets from their former employer.  The Plaintiffs were seeking to protect their rights for collection in the event they prevailed in their malpractice claim.  

Florida Fraudulent Transfers

Pursuant to Florida law, a fraudulent transfer takes place when a debtor transfers an asset to another party to avoid the collection or payment of a debt.  Fraudulent transfers commonly occur during a lawsuit or immediately after a final judgment is entered against a debtor.  Typically, the debtor will move assets to other companies, friends or family members so there is nothing left for the creditor to collect.  The enforcement of Florida judgments is often like the peeling of an onion as one must go through many layers in order to find collectible assets.  Often, the collection of a Florida judgment will include the filing of a separate lawsuit for fraudulent transfers that would name those parties that came into possesion of assets, monies or accounts of the debtor.

Florida Venue

Venue for the purposes of a lawsuit is the proper county in which a claim may be filed.  A lawsuit must be filed in a county in which there is some connection to the claim.  In Florida, venue is proper in a county in which the Defendant resides or where the cause of action for the claim accrued.  In this case, the Plaintiffs filed their fraudulent transfer action in the same county in which they filed the professional malpractice claim against the accounting firm.  The Plaintiffs argued venue was proper in that same county since that is where the damages from the malpractice claim took place.  The individual accountants objected to venue in that county in that they did not reside in that county and they claimed that transfers, if any, would have taken place in a different county.  The Fourth District Court of Appeal agreed and held that for the purposes of a claim for fraudulent transfers, proper venue is the county in which the alleged fraudulent transfer took place.  

 Related Topics: Florida Debt Collection; Florida Judgment Enforcement; 

 

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