Debt
Collections
When customers or debtors don't pay, you need legal action to recover what you're owed. We help businesses collect debts efficiently.
💰 Key Takeaways
- 5 years to sue on written contracts; 3 years for oral (12 O.S. § 95)
- Wage garnishment capped at 25% of disposable earnings (12 O.S. § 1171.2)
- Judgments last 5 years but can be renewed indefinitely
- Small claims court handles debts under $10,000 faster and cheaper
- A judgment alone doesn't collect money—enforcement is the key step
- Personal guarantees let you pursue owners of failed businesses
Collection Services
Pre-Litigation Collection
- Demand letters – Formal attorney demand often prompts payment
- Payment negotiations – Structured settlements and payment plans
- Account documentation – Ensuring you have what you need to prevail
Litigation
- Complaint filing – Initiating collection lawsuits
- Small claims court – For debts under $10,000
- District court – For larger claims
- Default judgments – When debtors don't respond
Judgment Enforcement
- Wage garnishment – Court-ordered paycheck deductions
- Bank levies – Seizing funds from accounts
- Property liens – Securing claims against real estate
- Asset discovery – Finding hidden assets
- Judgment renewal – Extending collectibility
Types of Debts We Collect
- Business-to-business debts
- Unpaid invoices and accounts receivable
- Breach of contract damages
- Returned checks and payment disputes
- Commercial lease obligations
- Personal guarantees
Our Collection Process
1. Case Evaluation
We assess the debt amount, documentation, debtor's ability to pay, and cost-benefit of pursuing collection. We give you an honest assessment of likelihood of recovery.
2. Demand and Negotiation
Often a formal demand from an attorney motivates payment. If the debtor responds, we negotiate payment terms that work for you.
3. Litigation
When demands fail, we file suit. Many cases settle once litigation begins. We pursue default judgment if the debtor doesn't respond.
4. Enforcement
A judgment is only valuable if you can collect. We use every available tool to find assets and enforce your judgment.
Common Collection Mistakes
Avoid these errors that can cost you money:
- Waiting too long: Statutes of limitations and fading assets hurt recovery
- Poor documentation: Keep contracts, invoices, and correspondence organized
- Stopping at judgment: Getting a judgment is just step one—enforcement matters
- Ignoring collection costs: Some debts aren't worth pursuing
- Missing personal guarantees: Check if owners guaranteed the business debt
Frequently Asked Questions
Common questions about debt collection
How long do I have to collect a debt? +
5 years for written contracts, 3 years for oral agreements from the default date. Judgments last 5 years but can be renewed.
What if someone doesn't pay a judgment? +
We use garnishment, bank levies, property liens, and debtor examinations to find assets and force payment.
Is it worth suing for a small debt? +
Depends on the amount, debtor's ability to pay, and costs. Small claims court (under $10,000) is faster and cheaper. We'll give you an honest assessment.
Can I collect from a dissolved business? +
Possibly—if there were personal guarantees, the corporate veil can be pierced, or assets were fraudulently transferred. We'll analyze all recovery options.
What is a debtor examination? +
A court hearing where the debtor must reveal assets under oath. Failure to appear can result in contempt and arrest warrants.
How much can be garnished from wages? +
Up to 25% of disposable earnings or the amount above 30x minimum wage, whichever is less, under 12 O.S. § 1171.2.
Can I put a lien on property? +
Yes. Filing a judgment lien against real estate secures your claim. When the property sells, you get paid.
What if the debtor files bankruptcy? +
Collection stops automatically. Most unsecured debts are discharged, but fraud-based debts may survive. Timing matters.
Collect What You're Owed
Schedule a consultation to discuss your collection matter.