Legal Question in Credit and Debt Law in Texas
What are some of the legal ways to collect money owed
I work for an appliance business that repairs appliances in customers homes. We do have an invoice that we have the customer sign which states that they are responsible for payment. If we do not get payment after several months and attempts to collect, I was told that we could file a contractors lein on the property the service was done at. If that is true how can we go about doing that and are there any other ways to collect? Please let me know. Thanks!
1 Answer from Attorneys
Re: What are some of the legal ways to collect money owed
You don't really have a shot at a lien on the property when you are repairing appliances on the property.
In order to be in a position to exercise a lien, you'd need a very specific contract containing statutory boilerplate language, have the contract signed by both husband and wife if dealing with a married couple, and file the contract in the real property records before you did anything.
What you can do is sue them for the money they owe you. If it's under $5,000.00 you can sue them in Small Claims. Collection may be difficult but the lawsuit trashes their credit.