You have performed and the debtor does not pay?
Countless companies are in financial distress because they provide services properly, but do not pay their contractors or often with months of delay. It is therefore advisable for companies to invest time and money in an active dunning process. Here it is crucial to consistently warn and use all possibilities of enforcement of claims.
Because only those who warn early and energetically and actively enforce their demands, have good chances to get his money. On the other hand, whoever waits and lets himself be put off runs the risk of falling into the insolvency of the debtor with his claim. The result is the often almost complete failure of the receivable.
Experience has shown that priority is given to those creditors who exert the most pressure. As a particularly effective means of pressure has proven in the lawyer collection practice, the Kontopfändung and the prohibition of payment against suppliers; In addition, a simple solicitor’s warning is often taken more seriously than any cover letter of the entrepreneur himself. Particularly in dealing with long-term customers, there is a need for tact in the formulations which commercial collection service providers are often unable to provide in such an individualized way.
If the debtor subsequently offers installment payments, it is important to specifically secure the claim and monitor the installment payment. Again, experience in dealing with debtors and the possibilities of (extrajudicial) titling is required.
Cost of collection
If the debtor is in arrears with the payment (this is ensured by the professional design of the invoice form and the letter of formal notice), he is also liable to the creditor for the costs of prosecution. The extent to which the costs of collection services are recoverable will vary from jurisdiction to jurisdiction.
In any case, the costs of a lawyer charged with debt collection must be fully reimbursed