Reporting clients to collection agency?

[Ravi]

I have a client that owes me $6,000. I haven't lost any money on the deal, aside from the profit. The company has since gone out of business but the principals are on the hook for the money, no?

I don't really care about the money at this point, I just want to see their credit rating ruined.

How does this work?

 

[Mr. H.]

 

[RadiomanATL]

 

[RadiomanATL]

 

[Sherry]

I have a client that owes me $6,000. I haven't lost any money on the deal, aside from the profit. The company has since gone out of business but the principals are on the hook for the money, no?

I don't really care about the money at this point, I just want to see their credit rating ruined.

How does this work?

It sounds like they've most likely already ruined their credit. If you don't care about the money, then why waste your time and resources.

 

[xotoxi]

I have a client that owes me $6,000. I haven't lost any money on the deal, aside from the profit. The company has since gone out of business but the principals are on the hook for the money, no?

I don't really care about the money at this point, I just want to see their credit rating ruined.

How does this work?

It sounds like they've most likely already ruined their credit. If you don't care about the money, then why waste your time and resources.

I'd personally waste the time and resources because it's the principle.

You want it on record that this guy fucked you over just as he fucked over all his other creditors.

 

[rightwinger]

You could always write nasty things about him on Internet message boards

 

[Mr. H.]

If you could hook up with others that are owed money, that could defray your share of any legal costs.
If they were an LLC or LLP that might affect your ability to collect.
At any rate, the sooner you act the better.

 

[Zander]

If they signed a personal guarantee you can try to get a judgement against them personally. Then try to collect on the judgement. It's not easy, but business is business. They may agree to pay a portion in order to avoid the judgement. What is the maximum in your state for Small Claims court?

Otherwise write it off and move on with your life.

 

[Mr. H.]

In Illinois, a small claims court cannot force an individual to pay a debt.
That's how I've read it anyway.
Got a tennant that owes me about $.001 million.

 

[George Costanza]

In Illinois, a small claims court cannot force an individual to pay a debt.
That's how I've read it anyway.
Got a tennant that owes me about $.001 million.

I would check that one pretty closely. It is inconceiveable to me that a court judgment for money, small claims or whatever, cannot be enforced.

You understand that the process of enforcing a judgment involves the sheriff and not the court, right? All the court does is issue a judgment for the money owed. The judgment is then delivered to the sheriff with instructions to levy on property, garnishee wages, or whatever and after that, hopefully, the judgment gets satisfied.

 

[Mr. H.]

Ah ok. Thanks.