Debt Negotiations FAQ
When debts to your company go unpaid, it creates a hardship for you and your business. Not only do you not receive what is owed to you, but you also have to spend time and money trying to get ahold of the debtor via phone or through the mail, often to little effect. It may seem that the only way to attract the attention of the debtor is to pursue legal action.
However, it might be possible — not to mention more time- and cost-effective — to attempt to negotiate with the debtor before diving into a lawsuit. In Orlando, Korshak & Associates has worked on behalf of many clients to negotiate with debtors instead of filing a lawsuit.
Here is a brief debt negotiations FAQ that can help answer some questions our lawyers often get from our clients.
If I decide to have an attorney negotiate with the debtor, isn’t it possible I won’t get the full amount the debtor owes?
With every negotiation, there is give and take. It’s important to keep in mind that in some cases, you would otherwise end up with nothing to show for your efforts in contacting the client. If the debtor agrees to pay even some of the debt, you will be more satisfied in the long run than had no agreement been reached and not even a partial amount was collected.
If my attorney and the debtor reach an agreement, am I obligated to accept it?
Our attorneys will always recommend a solution that is in your best interests. If you choose not to accept the results of the negotiations, you could still opt to pursue legal remedies — but their success is far from a sure thing.