Words fly, writing remains – be smart and get the arrangement in writing
If you don’t really believe that one of your slow paying debtors will keep to the payment arrangement you both agree to, get that arrangement in writing. Once you do, if he defaults on that arrangement and refuses to pay any more, you can sue that slow paying debtor and cannot fail to win your case.
AS LONG AS you have that arrangement in writing.
That’s because you can sue him on the new contract. The payment arrangement. By signing that arrangement, the debtor is signing a new ‘contract’ with you, so, you sue him on the broken arrangement. He can’t argue about fees raised for your charges, because you’re not suing him about them, you’re suing him about the broken payment arrangement!
Just three weeks ago, this happened …
The Debtor – Mr Jones
The Creditor – An Accountant, Matt
The Debt – $20,000 remaining
Creditor: “But you agreed to pay $5,000 a month Mr Jones.”
Mr Jones: “Look, I’m just not happy with the work that Matt did. He charged far too much for what was done. I want a full breakdown of his charges before I’ll pay anymore.”
(on the broken written arrangement)
A: What does that tell you about his genuine intent (or lack thereof) to pay?