While it might be sensible to write off a small debt, large amounts should not be forgotten about. Our cost-effective debt recovery team can help. Letters of demand, telephone pursuit and when necessary, court and QCAT proceedings can all be accomplished quickly and efficiently.
The debt may arise from an unpaid invoice or account, a goods or services contract, overdue loans, a contractual obligation or even a dishonoured cheque or “IOU”. In most cases, claims for debts are “liquidated claims” that are afforded a speedy means of recovery.
The debt recovery arsenal should always include in appropriate cases, the issue of statutory demands against corporate debtors and obtaining freezing orders over debtors’ property.
Liquidated claims can be quickly commenced and decided in the Magistrates Court if $150,000 or less or in the Queensland Civil & Administrative Tribunal (QCAT) if $25,000 or less.
Our business dispute lawyers are experts in debt recovery actions and in providing debt collection advice. It can be difficult to handle debt recovery for those who don’t know how the process works. Guiding you in the process with practical advice about what steps should be taken and when is where our experienced team can help. Our prompt and transparent processes have enabled our skilled business dispute lawyers to help clients successfully collect major and very large debts.
Why choose debt recovery lawyers?
Swift debt recovery action is important in the current economic climate to maintain liquidity. A demand from a debt recovery lawyer quickly escalates the urgency of the recovery in the mind of the debtor.
What services do we provide as a debt recovery lawyers?
Our proactive Business Lawyer team quickly develops an understanding of your business, credit needs and debt management processes and offer a range of services including:
- urgent action in the case of imminent default;
- applications for mareva or freezing orders over debtor’s property;
- issuing statutory demands against corporate debtors;
- guarantor debt recovery;
- debtor insolvent trading investigations;
- judgement execution over land and other assets; and
- bankruptcy and winding-up proceedings.
What is our debt recovery lawyer’s process?
The use of our services will help you recover your debt quickly. They include:
- Letter of demand – This should be given quickly with a short response time to determine the willingness and capacity of the debtor to meet the required payment. If unsuccessful, we advise you of other measures available short of court proceedings.
- Begin legal process – When to start the court claim depends on the urgency of the recovery, the possibility of the debtor dissipating assets and the size of the debt.
- Freezing order application – If there are reasonable grounds that the debtor is dissipating assets or intends to sell assets, an application can be made to the District Court or the Supreme Court for a freezing order in relation to the debtor’s assets so as to prevent them being disposed except in the ordinary course of business.
- Negotiation – If there is a genuine dispute on the part of the debtor negotiations should be made to reach a satisfactory resolution. If the debtors dispute arises out of something for which you are insured, your insurer bust be notified and brought into the negotiations and proceedings.
- Resolution – If you are satisfied that the debtor has the means to pay and we provide advice as to the merits of your claim, it should be pursued swiftly and efficiently.
Defences to debt recovery claims
Debtors are entitled to the best legal advice in determining whether or not there is any defence they can raise against a debt recovery action against them. Such defences include:-
- where the debt recovery is delayed beyond limitation periods – click here to read example of such a case;
- where the lender does not disclose full information about debtor to guarantor – click here to read example of such a case;
- if the debtor disputes the debt, it cannot be considered a “liquidated demand” and therefore necessitates a court trial usually at least 12 months after the creditor’s court proceedings are started;
- if the business to whom the debt is owed engaged in misrepresentation or misleading conduct etc.
Contact our Business Lawyers Brisbane on 1300 590 613 or email us for legal expertise.