In many cases, yes. If you speak for a large business or corporation that needs to collect on a commercial debt, you should know about this essential tool. In Massachusetts, a real estate attachment allows us to freeze the property before we even get a court judgment against the debtor.
Inexperienced collection attorneys start thinking about how to collect only once they have a court judgment. At the Law Offices of Alan M. Cohen & Associates LLC, we don’t wait around. We research the debtor company and its assets and then seek prejudgment attachments to freeze those assets until the judgment is final and it is time for the debtor to pay.
A real estate attachment is one type of prejudgment attachment. It freezes a specified parcel of the debtor’s real estate, which keeps the debtor from selling it while we’re in court. That way, once we obtain judgment, the parcel would be available for sale.
It does more than place a hold on a real estate asset, however. It also keeps your claim ahead of that of any creditor who files a case after you, even if the judgment in their case is issued ahead of yours.
In some cases, we can attach the property without notice
If there is sufficient reason to believe the debtor might try to avoid collection by selling the property or the like, many judges will allow a real estate attachment without notice to the debtor. This is called an “ex parte” attachment and it allows the property to be frozen and held by the deputy sheriff until final arrangements can be made for its disposition. Assuming all goes well, the property would be sold at auction and the proceeds would be used to satisfy creditors.
It’s crucial to act quickly
If a debtor company has defaulted, it could be a race among the creditors to get a piece of the pie when the debtor’s property is sold at auction. Collection on a property sale is in many ways first come, first served. A real estate attachment can be a way to ensure you are at the front of the payment line.
The attorneys at the Law Offices of Alan M. Cohen & Associates LLC have over 50 years of combined experience collecting business debts. We know how to do it right the first time, which leads to quicker service overall. That speed matters.
You don’t have to go to Boston for premier business debt collection in Massachusetts. We dedicate our entire practice to debt collection and commercial litigation. Call 508-763-6604 or reach out using our online form to schedule an appointment.