Why You Need a Collection Policy – Advice from a NY Debt Collection Lawyer

Why You Need a Collection Policy: Every business should have predetermined steps to follow when a customer does not pay, learn more about the steps to follow when collecting receivables and understand the traps that delay payment. The debt collection … Continue reading


“Litigation Discount”, Really?

FullSizeRender (1) I first heard the term “litigation discount” a few weeks ago from my adversary on a New York debt collection case.  My client, a Chinese mattress pad manufacturer, was owed monies for goods shipped to New York.  The defense was a claim that the cartons in which the mattress pads were shipped were damaged.  As a result, her client had to repack the goods in new cartons in order to resell to a big box retailer.  Shipping the goods was her client’s responsibility.  The terms were F.O.B. (Freight on Board); consequently any damage should have resulted in a claim with the shipper rather than with my client.  Counsel’s position was that irrespective of the issues of the case, her client should be entitled to a “litigation discount”. Continue reading ““Litigation Discount”, Really?”


Do I take the customer’s call after referring the claim to a debt collection attorney?

IMG_00001353Your collection manager gave it their best shot — calls, letters, emails, faxes, an offer to go to debtor’s premises to pick up a check — before referring your non-paying customer out for collection. If the debtor doesn’t respond, or the responsive is not productive, your best option is to send the claim to a collection attorney.

A collection attorney’s job is to make that phone ring and bring the debtor to the table. There’s a good chance, after receiving calls and letters from an attorney, your once silent customer will reach out to you.

Then what? Do you call the customer back? Continue reading “Do I take the customer’s call after referring the claim to a debt collection attorney?”