Legal Question in Civil Rights Law in Georgia

contract dispute

my company has a contract with a company. We also have a contract with another company to receive advance funding on our receivables. The relationship with the funding company went sour, so we parted ways. NOW the copany we actually work for has put our money in trust at the request of the funding company. This company we work for has never had any type of relationship with our funding company. Does the company we work for have the right to put our money in trust without a court order? They don't even have a contract with this vendor


Asked on 9/20/08, 6:56 am

1 Answer from Attorneys
Daniel Press Chung & Press, P.C.

Re: contract dispute

If the lender has a lien on the receivables (which they normally do), the lender can instruct those paying receivables to the borrower to pay them instead. That's how a receivables factoring arrangement works to protect the lender.

Read more
Answered on 9/20/08, 11:48 pm


Related Questions & Answers

More Civil Rights Law questions and answers in Georgia