Collection matters go through four stages:

Initial Demand and Investigation
Suit Preparation
Contested Litigation or Default
Judgment and Execution

Initial Demand and Investigation
When we receive your claim, we will immediately review your information, and send a 30-day demand letter. Our collection staff will call the debtor and attempt to resolve the claim prior to taking any further action. If no payment or promise is obtained within the initial 30-day period, we will determine whether suit is warranted, and if so, advise you accordingly. Once we have received your approval along with the required cost advance, suit will be filed.

Suit Preparation
We practice in both Pennsylvania and New Jersey.

Court costs and procedures differ in each state. Each state has a two-tiered court system. In New Jersey, suits below $15,000 are filed in the Special Civil Part, while the Law Division has no minimum balance for suit. Special Civil Part is an excellent system for routine collection cases, since matters are scheduled quickly, and the court system is focused on routine cases such as these. Law Division is better suited for more complex matters with higher balances. We request advance costs of $150.00 for Special Civil cases, and $300.00 for Law Division Cases.

In Pennsylvania, court costs and balance limits vary by county. The ìupperî court is known as the Court of Common Pleas, which has no minimum or maximum balance requirement. The ìlowerî court is known by different names, depending on county. Outside Philadelphia County, balances below $8,000 may be filed in local District Justice Courts. In Philadelphia County, balances below $10,000 are filed in Philadelphia Municipal Court. The choice of whether to sue in the ìupperî or ìlowerî court depends on several factors, including the type of dispute, location of both parties, and whether a contest is expected. We request advanced costs of $350.00 for Court of Common Pleas cases, and $150.00 for Philadelphia Municipal Court and District Justice matters. It is important to note that either side may appeal from a District Court decision, and when this happens the case will begin again at the Common Pleas level.

Contested Litigation or Default
Many collection cases are not contested by the debtor. When this happens, a default judgment would be entered and the matter would proceed to the next stage, execution. However, when a debtor disputes the case, a hearing is required and usually a witness will need to appear.

Judgment and Execution
Once a judgment has been entered either by default or after trial, Execution is issued. The Sheriff or Court Officer may levy against goods and chattels and schedule a Sheriffís Sale of personal property. Also, except in judgments pending before the District Courts in Pennsylvania, bank accounts may be attached. In New Jersey cases, a wage garnishment can be made on the salary of an individual defendant.

Additionally, the Court Rules provide important tools for post-judgment discovery of a debtorís assets, including asset, banking, employment and other important information. Naturally, the more information we know about the debtor, the better are our chances at a successful collection. We use a variety of public records and private data bases to assist our efforts to uncover assets to satisfy our judgments.