Whether you’ve won a legal case, performed professional services or leased commercial property to a tenant, collecting the payment often proves to be the toughest part of the task. Even for undisputed debts, strict laws exist to ensure that creditors use proper legal collection methods. This is particularly true in complex debt collection matters and where the amount at issue exceeds $500,000.
Quick action can increase the likelihood that you will collect on a debt, but before you start the process, you should develop a strategy that might involve employing such measures as:
- Judgment liens — If someone cannot — or will not — pay following a judgment, Illinois law authorizes the creditor to impose a judgment lien against their real estate. The creditor typically records a memorandum of judgment with the county recorder, which attaches to all real estate in that county.
- Citation liens — A judgment creditor may initiate supplementary proceedings directed against the judgment debtor and third parties by requesting the issuance of a citation to discover assets (CDA). A CDA allows the creditor to discover assets and income of the debtor, and to determine if any of those assets and income are exempt from seizure.
- Fraudulent transfer litigation — Some debtors try to protect assets from collection by moving them to friends, relatives and/or related companies. Illinois law prohibits deems certain transfers as a fraud upon the debtor’s creditors.
Attorneys who represent plaintiffs in personal injury, medical malpractice and divorce law often must consult counsel with an extensive background in debtor and creditor law to assist their clients. Schwartz & Kanyock, LLC provides aggressive legal representation to creditors in all types of collections matters. To learn about your legal options in these situations, please call 312-436-1442 or contact us online to schedule a meeting at our Chicago office.
