Collection Issue

[kpb]

We did a small job for a guy (300.00). He was to pay on completion by check. Signed contract. Shortly after we started setting up he approached our foreman and told him he needed to run a short errand. This is a nice neighborhood that we work in frequently - the foreman thought nothing of it. 90 days later and weekly phone calls, the debt is still not paid. I have left messages and been hung up on several times as soon as I identify myself. Today, his brother answers the phone and states that he is the owner of the home and never authorized the work. Claims that I should have verified that his brother was the homeowner before beginning work. Tells me his brother is now in another state and "good luck getting paid". I know it is a small amount but........I hate a deadbeat. Suppose the debt had been 3000.00?

Is he correct that a lien cannot be placed on the property since he did not authorize the work? Are we going to have to start verifying home ownership to insure we are dealing with the actual owner?

 

[Groundman One]

Do you have a small claims court system where you are? That might be the way to go. Our small claims courts handle matters up to about $1500 and can force the person to pay the bill on threat of imprisonment or seizure of assets. People are expected to represent themselves and the judge alone makes the final decision based on evidence shown and the story you tell him.

All in all it works pretty well.

 

[BCMA]

Small Claims Court

 

[Jlarnard]

Start small claims process, 25% or more of the time you will get a check before the court date. But I will be honest with you. If this doesn't happen
you will most likely be claiming this loss. My contracts have a place to initial
verifying that they indeed are the home owner.
And I make sure they know this as we sign the contract together.

I wonder if anyone on here uses an internet backgound check service?
I have considered it, at $50 a year unlimited searches.
I think I will start a new thread on this question.
Good luck

 

[TDunk]

I'd go to the local Courthouse and do a deed search to see who's name is really on the property. To me, if the brothers name was on the property, he would have gottan a hold of you the day he saw some tree work was done, not 3 months after the fact. Or at least asked his brother what the h3ll was going on. I'd bet that the guy's brother (if that's even who it was) was at the house when you called and just gave you some B.S. story to get you off his back. I have no clue how small claims court works but best of luck to ya.

 

[treemandan]

Small Claims Court

File, get a date. Don't drop it, keep going until you can't go anymore. stop thief!

 

[B-Edwards]

I'm with (The Dan) go after this guy and dont give up. This sob needs his asz beat and good.

 

[treemandan]

I am glad myself it wasn't 3000.

 

[Justice]

Just curious, has anyone ever tried pressing "theft of services" charges against a non payer? I don't even know if it can be done but as I said curious.

I do know people who have sent things to collections, and it sometimes works.

 

[corndogg]

I've got one like this right now. It has been a year and a half on 760 bucks. AT this point I don't expect to get paid, I just bother the guy to let him know I haven't forgotten by leaving voicemails wheneveer I think about it. One day I dropped a 2 ft diameter by about 1 foot tall piece of cottonwood in his driveway with an invoice stapled to it! It was heavy, I could barely slide it out of my pickup! Just for laughs later at the bar I thought. It's risky, he might call the cops on me but I figured he didn't want to explain to the cops why this happened. Anyway he actually called me and tried to get me to come and remove it! He was real pissed off, threatening and everything. I told him the only way I was coming over again was to pick up cash or drop another log! HAven't heard anything for a while, I might go drop another one soon!


I filed in small claims but wasn't able to get him served. He's a real sneaky devil. No mail box at his house, PO Box. I never had him sign a contract, it wasn't much money and they were the nicest people ever.

Those are the ones to watch out for.

I got a good story out of it and a lesson, contracts for all now.

 

[juststumps]

We did a small job for a guy (300.00). He was to pay on completion by check. Signed contract. Shortly after we started setting up he approached our foreman and told him he needed to run a short errand. This is a nice neighborhood that we work in frequently - the foreman thought nothing of it. 90 days later and weekly phone calls, the debt is still not paid. I have left messages and been hung up on several times as soon as I identify myself. Today, his brother answers the phone and states that he is the owner of the home and never authorized the work. Claims that I should have verified that his brother was the homeowner before beginning work. Tells me his brother is now in another state and "good luck getting paid". I know it is a small amount but........I hate a deadbeat. Suppose the debt had been 3000.00?

Is he correct that a lien cannot be placed on the property since he did not authorize the work? Are we going to have to start verifying home ownership to insure we are dealing with the actual owner?

NOT FOR NOTHING...... this is a really good site for info, but it might be in your best interest to talk to a LAWYER, concerning matters like this...

if your going to be in biz, i would really think, it would be a good idea to talk to a legal type on this sort of matter !!!! you may or may not be beat out of the job,,, you really should talk to a pro...

Why are you taking what the SLEEZEY home owner has to say as law???

worst thing that could happen, is you have to go after the brother for hiring you, or you get nothing.... it might cost a few bucks to learn how things work in your area , because every place is covered by different laws... think of it as a learning experience...

 

[ATH]

Doesn't help you right now...but under "Client Responsibilities" my contracts say:
"Confirmation of ownership: The Client confirms that the trees are the sole property of the Client and that the Client has legal authority enter into this contract for their care.

_____

As for where you are now: Most county auditor offices in this area have all their information online so it is very easy to check who owns a property. Start there to see if your man owns it. If so, I'd go after him in small claims. If not...I personally would call it a lesson learned for a relatively little amount of money. At least it is not $300 spent...just some lost time.

 

[2FatGuys]

Is he correct that a lien cannot be placed on the property since he did not authorize the work? Are we going to have to start verifying home ownership to insure we are dealing with the actual owner?

Lien laws in NC are tougher than in many other states. They seem to protect the homeowner more than the "contractor". In many cases, a contractor has to file an "Intent to Lien" prior to performing the work in order to make them eligible to lien. Many reputable contractors file that form as routine paperwork "just in case".

Good luck getting your money on this job. It is a very frustrating thing when someone screws you over like this!

(Where in NC are you?)

 

[newb]

I would go to Small Claims Court. In Wisconsin I think it is $40.00 dollars to file and that money is also recoverable. However, even if you win here, the court has no authority to make the loser pay. I know, I've sued clients twice and won both times. Kind of sucks, Pete

 

[Ekka]

I would go to Small Claims Court. In Wisconsin I think it is $40.00 dollars to file and that money is also recoverable. However, even if you win here, the court has no authority to make the loser pay. I know, I've sued clients twice and won both times. Kind of sucks, Pete

If it's like our system winning means you are granted Judgement in your favour.

The Judgement is recoverable with interest for the amount stated for 12 years. It's like an official IOU.

Once Judgement has been granted and the dead beat doesn't pay then you need go back to court and do more, like a verbal assessment. The debtor has to bring all financials etc. You can then get a garnishee from his bank account, and he pays for all these things.

So winning simply means getting judgement.

Enforcing judgment is another matter, but most dont follow up with this one however good debt collection agencies actually buy these off you. They can run through the debtors assets and see the capacity to pay, then persue. They may give you 50% of the judgement amount etc and chase the bastid themselves.

So, if you dont have the time or skills perhaps talk to a commercial collection agency (a good one) after judgement not before. It's important not before because many will waste your time, send stupid letters etc and charge a big commission for little. In my experience most wont go to court either, they work on volume and numbers.

The big draw card here is that once judgement is granted the debtor cops a credit rating default "judgement default" which is there for 5 years and tells everyone else that looks at their credit file he's a real rotten egg because the case had to go to court.