Collecting outstanding debts can be time-consuming, costly and critical to the operation of your business. The team at RRR lawyers have extensive experience in providing an effective strategy to recover outstanding debts. From issuing a letter of demand, issuing a claim, obtaining a judgement to enforcing the judgement and recovering the debt- we manage and support you during the complete debt collection process.
In order to effectively and efficiently recover a debt, there are some questions that you need to consider:
It is necessary to keep a record of your monetary transactions, details and the documents involved in such processes.
The debt recovery process by our experienced lawyers involves multiple steps like establishing contact with the debtor, trying alternate dispute resolution process for settlement and in the event of the dispute not being resolved – taking action through the relevant courts.
Using our services will assist you with the debt recovery and it involves the following steps:
Sending Initial Reminder Letter
Never ignore your instalments and start tracking the delays as soon as you experience a debt situation. This will enable us to provide the debtor with the effective reminder letters.
Issuing Letter of Demand
If there is no response from the debtors with the reminder letter, the next step involves issuing the letter of demand to these unresponsive debtors. Here, we will advise them to pay the debt to avoid any legal action.
Commencing Legal Proceedings
If there isno response from the debtor’s side, we initiate the legal procedure by preparing a legal claim. To commence a legal action, we will need to complete a Statement of Claim and lodge it before the appropriate court.
The debt recovery process ends here allowing the debtor with the following payment options:
Once the judgement is out and things are settled, we can draft a Deed of Settlement which will have an acknowledgement of debt. If the debtor breaches the payment terms, he will be sued on the basis of the Deed as the debt can be easily recognised here. Hence, it will become easy for us to prove in the court.
Dealing with debt issues can take a lot of your time, energy and money. Hence, it is best to take precautionary measures in order to avoid such situations in future. One way to protect against bad debts is to review your contracts, trade agreements and terms of trade properly. Our lawyers will help you make sure that your terms are clear and your processes are concrete. This will help you to avoid the lengthy and costly litigation proceedings in the future.
If you have encountered any such debt issue, we can be your partners in letting you convert your debts into earnings. Contact us at (03) 9387 2424.