|
The Center for Enforcement is a private law firm. It is not a collection
agency. Virtually all of the major companies advertising to collect
support are collection agencies. If a support collection company does not
prominently and proudly state that it is a law firm, it probably isn’t!
So, why use the Center instead of a Collection Agency?
Three reasons: Tactics, Fees
& Other Concerns.
.: TACTICS
Collection Agencies are NOT licensed to practice law in any
state of America. This means that no matter what your ex is doing, or how
wealthy he is, collection agencies themselves can only do two things.
They can write letters and make telephone calls.
But, your ex has already been ordered by the court to pay
you, and you’re still not receiving your support.
Next, in our experience, starting off most cases with a
demand letter or phone call which is the procedure used by almost all
agencies, is absolutely the wrong way to commence enforcement. Why?
Because, as discussed earlier, your ex already knows he owes the money.
Usually, the only thing that a letter or phone call accomplishes is that
it acts as a 'warning shot' to the debtor. “Hide what you have,
because here we come.” What's needed is enforcement right out of
the gate. However, since Collection Agencies can't do any enforcement
without hiring an attorney for you (which requires sharing their profits,
something they don’t like to do) they start with a letter or phone
call, even though it may be damaging to your case.
So, for obvious reasons, mere letters and phone calls
asking the Debtor to pay are not enough.
Because the Center is a law firm, we can and do take an
entirely different approach. We take legal action!! We believe that, in
most cases, your ex has had plenty of time to pay voluntarily. Therefore,
we approach the case using legal enforcement remedies.
Most of the work we do for you is through the court. We
don't just ask or threaten a debtor to pay. Whenever possible and
appropriate, we use legal enforcement measures to seize money or assets
to satisfy your debt. This is one reason our firm has the nickname, The
Robin Hood Lawyers.
The table below shows the difference in techniques used by
collection agencies and the Center:
|
Situation
|
Center for Enforcement
|
Collection Agency
|
|
Debtor concealing money in his own corporation
|
Motion for determination of Alter Ego
|
letter/phone call
|
|
Debtor concealing money in a partnership
|
Motion for CA Charging Order
|
letter/phone call
|
|
Debtor in possession of Valuable assets (i.e. boats,
plane, car, artwork)
|
Levy on tangible personal property
|
letter/phone call
|
|
Debtor hiding personal property in closed
environment (garage)
|
Motion for Private Place Order & Levy
|
letter/phone call
|
|
Debtor enjoying good lifestyle but source of income
unknown
|
Conduct extensive discovery against bank accounts, present and
past-employers, business associates, clients, vendors, landlords,
tenants, credit cards, etc.
Motion for Contempt of Court
|
letter/phone call
|
|
Debtor voluntarily agrees to pay
|
We draft a personal stipulation and Order, which is
signed by a judge and entered in court.
|
Quasi-legal document
|
|
Debtor moves from job to job
|
Debtor exams, discovery, contempt, Wilson Motion
|
letter/phone call
|
|
Debtor has equity in real property
|
Levy on real property
Order to Show Cause resale of Dwelling
|
letter/phone call
|
|
Debtor receives money from other sources
|
Motion for Assignment
|
letter/phone call
|
|
Debtor hiding assets under Someone else's name
|
Motion to set-aside a Fraudulent Transfer
|
letter/phone call
|
And the list goes on, and on.
.: FEES
Collection agencies usually charge higher fees than law
firms. Many collection agencies charge between 30-60% in fees, whereas
for 25 years, the Center has, and continues, to only charge 33 1/3%.
One might ask why the collection agencies charge such high
fees? The answer is simple. When a collection agency's letter writing and
telephone campaign proves to be ineffective, they must then go out and
hire an attorney for you. Therefore, they take a portion of the 50%, for
example, that you agreed to pay and hire an attorney to hopefully
accomplish the work which should have been done in the first place.
.: ANOTHER IMPORTANT
REASON TO BE VERY CAUTIOUS OF COLLECTION AGENCIES
Some agencies require an assignment of your support
obligation before they will take on your case. If that happens, you could
lose all chance to collect the debt. You see, your child & spousal
support debt is NOT DISCHARGEABLE if your ex files Bankruptcy.
Enforcement can be pursued either in or out of bankruptcy. But if you
assign your rights under the support order to a collection agency, your
obligation may become dischargeable by the Debtor, in bankruptcy. If that
happens, you might never be able to collect the support obligation, even
with subsequent representation of an attorney.
Often, collection agencies will hire an attorney in a state
that may not be in the best location for prosecuting your case. If the
Debtor hires his own attorney, in many, many case, you will be at a huge
disadvantage because you are not fighting in the proper state. Also, the
attorney’s that a collection agency may hire for you do not posses
sufficient expertise in support enforcement. Support enforcement differs
substantially from collections of any other judgment.
|
