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How to deal with debtors?

Every doctor will tell you that the best cure for every disease is prevention. The same principle applies to the recovery of claims. The only difference is that “legal prevention” is not a regular preventive inspection but a legitimately closed legal document. A properly designed contract signed by all parties can save you lots of problems, time, and especially your finances.

In the legal environment, there is a saying that the paper can handle everything. This statement means that even if you have thought of almost everything, some of the terms and conditions you have agreed may be invalid.  For this reason, it is necessary to examine all possible weaknesses that could cause your recovery failure before the court proceedings begin and to prepare an appropriate strategy for each of them.

Nevertheless, it is essential to have the best possible contractual relationship to avoid possible complications. If your business partner is fair and serious, they will have no problem complying with the terms and conditions you have agreed upon. The problem in today’s world, however, is the fact that seriousness and fairness are already rather exceptional.

Most of the claims we have encountered have arisen between former friends and acquaintances who trusted each other. In such cases, it was often discovered there was no written contract or an agreement was reached verbally without putting the necessary documents in place. Unfair behavior of the debtors is also largely encountered in commercial legal obligations where such weak security and coverage are not only excessively risky but in some cases even risky at the subsistence level. It is true that in most cases, an oral contract is also a valid legal act but the burden of proof will be upon you. This means that you would have to provide all the evidence for the authenticity of your claims which is usually almost impossible. It is especially difficult if the debtor denies the existence of the contract and, as far as their finances are concerned, they will most likely deny it. Sometimes it is still possible to prove the existence of an oral contract but here a much more precise methodology of legal procedures is needed as well as psychological ones.

The written contractual basis is for debt collection an alpha and omega. As long as there is a well-established contract, lengthy court proceedings are usually not required. It does not matter whether the subject of the contract is goods, services, or something else. The most frequently accepted evidence by the courts is the invoices signed by the debtor. If the debtor does not object to the authenticity of his signature that means you are one step closer to recovering your claims.

Other evidence on which legal proceedings can be based includes communication between you and your debtor.  Such communication can include SMS messages, e-mails, voice messages in which the debtor acknowledges their debt, makes the promise of how they will pay it to you, or even if they are threatening you. The applicability and admissibility of such evidence are always on a case-by-case basis, but based on our many years of experience, we can ensure a high probability of admitting such evidence in court proceedings. Any evidence, however irrelevant it may seem to be, needs to be assessed, as lawsuits can sometimes be won even if the evidence is the most inconspicuous.

When it comes to the recovery of claims, you must not forget the most important thing and that is their statute of limitations. For instance, if you have agreed on repayment in installments, it is essential to realize that each installment is time-barred separately and not after the time at which the last installment is agreed. This is why you should not trust the debtors if they keep telling you that they will pay you in a week, especially if they have been saying this for the last 2 years. You may not know the limitation periods but your debtors sometimes know them better than trained lawyers. For this reason, you shouldn’t delay the recovery, you should entrust your claims to legal professionals. Our company will recover your claims quickly and effectively and we will convert them into initial capital for your further investments.

The whole legal branch is the art of communication. Unlike other industries, communication skills can provide you or your debtors either a great benefit or a great loss. It is unfair to be sanctioned for trusting your business partner and acting in good faith. We understand that the behavior of your debtors may be incomprehensible to you as you would never avoid paying your own debts.  It is exactly because of such situations that we are here for you. Our team of experts has already met with all sorts of excuses and we can guarantee that we will not deal with debtors sensitively. As soon as we feel that the debtor is misleading us, we immediately take legal steps to recover the claims. In case of any legal questions on your part, do not hesitate to contact us or fill out our registration forms and we will pay full attention to them.

With well-meaning pieces of advice,

Your experts from the Claims Collection