Businesses that are owed money will often win a civil case in court because they have made a strong argument regarding the debt owed to them. The court may rule that the debtor owes a certain amount of money, and also award additional damages. The entry of a judgment does not translate into payment in most cases. Winning is not the same as collecting. Despite the ruling, the debtor may still claim that it does not have the money or is unwilling to pay the money. This could leave the winning business with an empty victory if they do not take further action. At Law Offices of Alan M. Cohen LLC, we can take action for you to help you get paid.
During the initial judgment case, the Massachusetts courts do not allow the creditor business to inquire into the debtor’s assets. A debt collection judgment changes this, however, allowing post-judgment discovery. This may involve Ruler 69 interrogatories, depositions and requests for production documents. These actions allow an ethical and aggressive collections attorney like Alan M. Cohen to follow the money trail and uncover important information regarding assets and sources of income that can get the creditor paid.
Collecting the money
This can involve several different tactics based on how the debtor earns revenue and operates, including but not limited to :
- Asset seizure: A judgment against a company means a writ of execution from the court directing a deputy sheriff to seize non-exempt assets. The right to seize and sell the debtor’s assets can involve equipment, real property and other non-exempt assets.
- Going after executives: Post-judgment discovery may also enable attorneys to attempt to pierce the corporate veil to pursue the owner or executives who improperly used company assets for their personal gain. It can lead to legal action against these individuals to recoup money owed by the business.
- Going after the judgment debtor’s income stream: There may be instances where another company owes a large sum of money to the debtor. The creditor can also pursue these new businesses using reach and apply injunctions.
- Supplementary process: This new action which is post judgment requires the debtor to show up in court for asset examination and payment order. The court can issue a warrant for their arrest if the debtor does not to show up for the Court Ordered hearing.
It is best not to delay
Businesses may think that it is enough to win in court. That is a mistake which will result in a missed opportunity to collect money before others do or something else happens to the debtor’s business. A knowledgeable and experienced Massachusetts collections attorney can be the key to fast and effective post-judgment collection. The Law Offices of Alan M. Cohen LLC knows where to look for assets and aggressively applies all appropriate legal tools to try to collect outstanding debt. Call our firm today at 508-763-6604 or email us to learn more.