The purpose of this case study (outcome not known at the time of writing) is to show the reasoning behind the steps taken to recover an old account payment. To see the background and what we did first, go to (Part 1).
PRINCIPLES USED THIS WEEK
1: All arrangements made were confirmed in writing.
2: The tone of our emails to Jonathan became much friendlier as his “intent to pay” appeared to be good (sounded nervous in his first phone call.)
3: Our emails referred to the Board or the Directors. We blamed something else for following up the account. But neither the Board or Directors had anything to do with it – JONATHAN DIDN’T KNOW THAT THOUGH!
Wednesday, 15 February. (File Note.)
JONATHAN called from another phone number – 0423 567 890 – sounded nervous. settlement IS still going ahead. His and the Landlords solicitors are finalising the paperwork. He is calling his solicitor tomorrow afternoon and will call me back on Friday morning (17 Feb) this week with a definite date when funds will be remitted to the firm by direct deposit (his suggestion). MT sent email to him to confirm the conversation with a bcc to GML.
Wednesday, 15 February – Email sent to JONATHAN to confirm the conversation.
Thanks for your call earlier.
It was agreed that
* you would call again on Friday morning with specific settlement details.
* when payment was being made it would be done so by direct deposit.
The Directors have agreed not to take any further recovery action at this stage as long as
1: you do call as agreed but
2: if full payment is not received in this office on or before the close of business of Friday, 24 February
the firm will be obliged to reconsider their alternatives.
until Friday …
Friday, 17 February – Email received from JONATHAN
good morning Michael can’t call you right now, but I write here the news:
my lawyer told me 90×100 next week we’ll close the deal with all the paperworks etc
and the money will come straight away the week after (so last week of February)
to give you exactly dates to be sure that I can pay:
3/3 half and 10/3 other half can be perfect, but in the meantime I can send you something before just to let you see my goodwill.
let me know if it can work. thank you for the patience.
Monday, 20 February – email to JONATHAN to accept arrangement
Thanks for your message.
I forwarded details of your settlement offer to the Board and they have instructed me to advise you that will agree to settlement on the following terms.
1: That the following sums are received on or before the close of business of the dates set out below
$1,000.00 – Friday, 24 February.
$4,000.00 – Friday, 03 March.
$3,615.42 – Friday, 10 March.
2: That this is the final extension of terms that the firm is prepared to accept.
Thanks again for your message and I look forward to the first part of this final arrangement as above.
Regards, Michael Todd
Wednesday, 22 February – email from JONATHAN
Hi Michael, all good with the arrangement it is what I would.
just one thing about the dates, 24 february is ok, 10 march too is perfect. the 3 march can we move to Monday 6th of March, just this little change and everything is perfect. Let me know thank you.
regards , Jonathan.
Friday, 24 February (6:42 AM) – email from JONATHAN
First payment done.
Have a good day.
(Remittance Advice for $1,000 received as an attachment)
Friday, 24 February – email to JONATHAN
Thanks Jonathan. Appreciated.
The 06 March date is fine.
Have a great weekend.
Regards, Michael Todd
So, what’ll happen now? I’ll be VERY surprised if he doesn’t come through with the next payment as promised. I’ll tell you what did happen in a future post.
Two Other Case Studies and their outcomes
The Coffee Wholesaler
Bob The Builder