I met with a business owner the other day whilst in the Capalaba and Cleveland area to discuss his situation after a Court Judgement in his favour against a Debtor.
You would think that by getting said Judgement, the next step would be cut and dried with payment having been received, think again! After 11 failed attempts by a Bailiff to serve said Judgement on the debtor, who in this case denied he was the named person in the Judgement, he was served on the 12th occasion but to date since 2012 still has not been paid.
The only thing left to do is to go back to court for an Enforced Judgement and then wind this Debtor up, yet another outlay, good money chasing bad.
The MORAL of this story is that if the business owner had of had the correct Terms of Trade in place with the backing of a bone fide Debt Recovery Agency, this unfortunate series of events would possibly not have happened.
WHY: First and foremost Time, Effort and Cost involved in recovery of this debt exceeded the amount of the initial debt and became Personal rather than Business. A 3rd party Collection Agency i.e. EC Credit Control, would have saved said time effort and money and the debt due to good terms of trade and the ability to register on the PPSR in place would in most cases been paid.