When you are trying to enforce a debt, your lawsuit is typically only as good as your paperwork. Thus, when you contract or invoices have serious errors, it provides the other side with easy defenses to your allegations. As a creditor’s rights law firm, we help our clients prepare or revise their existing documentation to ensure that you are prepared if litigation should arise.
Even if your paperwork is solid, you also have to be concerned about human error. For instance, it is common for a credit application or invoice to not have the borrower’s correct name. This is especially true when it comes to incorporated entities.
If a client’s name is John Doe, but his business name is John Doe Contractors, LLC, it can be confusing if the invoice only says John Doe. It can be even more complicated if the customer writes John Doe Contractors, Inc. instead of LLC. These distinctions are important when it comes to determining who you should sue.
When you are dealing with business entities as a prospective borrower or customer, you should always investigate its corporate status. You can do a simple search on the Arizona Corporation Commission or Arizona Secretary of State website or have your attorney check into it for you. If you cannot locate a valid corporate entity under your customer’s name, you should ask more questions.
It is better to verify who you are dealing with in the beginning of your business relationship when getting the information is easier. When it comes time to legally enforce your claims, your customer is less likely to be forthcoming.
If you need assistance creating the proper paperwork or with collecting a debt, contact Windtberg & Zdancewicz today.
The attorneys at Windtberg & Zdancewicz, PLC, provide clients with experienced legal representation. We handle many types of business disputes on behalf of creditors. Our attorneys handle cases from pre-litigation negotiations through litigation, obtaining and enforcing judgments to collect what our clients are owed. If you need assistance, or are interested in learning more, please contact us at (480) 584-5660.