Legal Question in Credit and Debt Law in Minnesota
Collecting past due debt
I have a customer that owes me 12,000.00 for furniture that was due 90 days ago. I am in MN and she is in Texas. The items were delivered to her. She does not follow thru with paying when she says she will and now she quit answering my calls.
What should be my first steps in collecting this debt?
Thanks so much for the advice.
3 Answers from Attorneys
Re: Collecting past due debt
You can bring suit against her in the conciliation court in your county for up to $7,500 or you can hire an attorney to draft a summons and complaint to be filed in your county for the full $12,000. In either case, a process server will have to be retained to serve her personally with the conciliation court complaint or the district court summons & complaint. Assuming she does not respond, a default judgment will be granted and then the judgment should be docketed in her county in Texas. You may want to have an attorney or other collection expert check her out to see if there is any hope of collecting this debt before going through all of the above.
Re: Collecting past due debt
Does she have a job? DO you know where she banks?
You can serve her under the MN Long Arm (Jurisdiction) statute and force her to defend in MN. If you get a default judgment the next step will be to enforce it against assets or income.
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Re: Collecting past due debt
Your likely steps would be to obtain a judgment against her. Hopefully jurisdiction would be proper in Minnesota -- e.g., you have a store here, she came in and ordered it in your store for delivery to Texas, etc.
I would think you would want to do a "replevin" action to get the merchandise back.
You will probably have to have two lawyers, one in Minn. and one in Texas, to do this. It is possible that a Texas attorney could do the whole thing, but you might have to go to Texas to testify.
Do you know anything about the collectibility of a judgment against this person? Were you scammed, and this is not even a real person?
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Collections Is there a statue of limitations on past debts? Asked 9/16/08, 1:24 pm in United States Minnesota Credit, Debt and Collections Law