Enforcement (it’s not a dirty word)!
‘Enforcement’ means getting your money when it doesn’t rain down from heaven after a Court or Tribunal has made an order in your favour.
Whilst some people genuinely enjoy the court experience as their means to deliver justice, for others it is about getting your money when those lovely people whom you sued – because you had to – have thumbed their noses at you.
Just like there are ‘many ways to skin a cat’, there are also many lawful ways to get your money.
For smaller debts, in my experience a frequently successful and cost effective resolution is the hard hitting Weinberg Letter. This approach says just enough, but not too much, to convince your debtors to pay you your money.
Whilst there are other methods (such as a Summons for Oral Examination) that will be the subject of a future a blog, there is no better place to start than with a general understanding of the Bankruptcy Notice.
You can use this approach when you have a final judgment or order of at least $5,000. If within the time required your debtor does not pay you your money as properly described in the Bankruptcy Notice or come to an arrangement with you or successfully apply to the Court to have it set aside or time extended (claims that I have often defeated), they will have committed an ‘act of bankruptcy’. This can ultimately lead to them being declared bankrupt and a trustee appointed to deal with their assets.
This approach often gets results when all other means have failed. But, it should only be used when you, as the creditor, have a genuine intention to bankrupt your debtor, believe that your debtor cannot pay their debts as and when those debts fall due (i.e. they are insolvent) and when you could not have, using a cheaper method, determined whether or not your debtor is solvent. You will either get your money, or get the peace of mind to know that there is no money left to be had. You also get to perform a (tax deductable – but speak with your accountant) community service by bankrupting your debtor and having a trustee investigate their financial affairs and deal with their assets.
Thanks for reading, remember to keep your eyes open and, when in doubt, GET WEINBERG!