Someone owes you money. Maybe it’s a client who signed a contract, took delivery, and then went silent. Maybe it’s an invoice that’s been sitting unpaid for six months while your follow-up calls go to voicemail. At some point, being patient stops being a virtue and starts being expensive.
The good news is that as a creditor, you have real legal options.
A debt collection attorney can move your claim from a stalled dispute into a court-enforced judgment, and from there into recovered funds. Here’s what that process looks like and what you should expect before making the call.
The Role of a Debt Collection AttorneyMany people equate debt collection with hiring debt collectors or collection agencies. These entities typically send letters, make phone calls, report late payments to credit bureaus, and apply pressure to collect. However, the situation changes significantly when a debt collection lawyer is involved.
Debt collection lawyers have the power to sue debtors on behalf of their clients, win judgments against them, and enforce those judgments through legal mechanisms such as wage garnishment, bank levies, or property liens. Debt collection agencies cannot engage in these activities because they are not legally authorized to do so.
In Miami, for example, the Law Offices of Paul A. Humbert, P.L., have specialized in debt collection for decades. The firm has represented banks, private lenders, and commercial entities across Florida. These cases have included recovery of large delinquent accounts.
Not all unpaid invoices require legal action, but here are some clear indicators that the opportunity to collect outside of court has already passed and you should consult with a debt collection lawyer:
If most of these conditions apply, a collection agency won’t be the right solution for your firm.
A debt collection attorney will typically begin the process by writing a formal collection letter with a strict deadline for compliance. In many cases, a single letter like this can get the debtor’s attention and resolve the matter, but not always. Debtors are more likely to take a collection lawyer seriously when a formal lawsuit becomes a realistic threat.
If the debtor still refuses to make any payments or simply fails to make any payments, a lawsuit will be filed. The debtor is then served, and either answers the complaint or defaults. When the debtor fails to answer or appear in a timely manner, a default judgment can be obtained relatively quickly. If an answer to the complaint is filed, the case will either proceed to mediation or be resolved through motions, hearings, and a final judgment.
Many people assume that getting the judgment is the end result of the debt collection process; however, that is only the beginning. There is still significant work required to actually collect on the judgment. It’s often at that stage that creditors will reach out to firms like the Law Offices of Paul A. Humbert, P.L. In fact, many cases come from prior legal counsel who obtained a judgment but were unable to collect. Writs of garnishment, liens against real estate, and asset discovery are often required to get paid, and those are the areas where creditors’ rights attorneys focus their efforts. In all cases, debt collection efforts must comply with the Fair Debt Collection Practices Act (FDCPA), which prohibits harassment or deceptive statements.
Commercial debt collection involves various types of unpaid obligations. These include unpaid invoices, promissory notes, loan agreements, breach-of-contract claims, unpaid rent, and bounced checks.
Many types of debt can be successfully collected with a debt collection attorney, but those supported by a clear paper trail, such as signed contracts, written agreements, invoices with delivery confirmation, and documented notes, tend to have the best recovery odds. The stronger the documentation, the higher the likelihood of recovery.
What Would It Cost to Hire a Debt Collection Attorney? Fees vary from one attorney to the next. Some debt collection lawyers work on a contingency basis (a percentage of the amount collected), while others charge an hourly rate. It depends on the size of the debt and the strength of your case.
Be sure to ask upfront how the lawyer or firm will charge you if you agree to use their legal services. If you’re working with any firm that won’t answer your question regarding their fees, don’t trust them with your money.
In some cases, a debtor may file for bankruptcy once collection activity begins. This typically triggers an automatic stay of most collection actions. However, this does not mean the matter is over. Creditor representation includes filing proofs of claim and, in some cases, contesting whether the debt can be discharged. The lawyers at Law Offices of Paul A. Humbert, P.L., offer these services to creditors in Florida.
If your accounts remain delinquent and you have made repeated unsuccessful attempts to collect the money owed to you, the next step is to contact a collection lawyer. Law Offices of Paul A. Humbert, P.L., offers a free consultation to assess your situation and discuss possible legal strategies. Reach out to us today!
