Looking At and Analyzing
the Dimensions of a Commercial Case
-November 18th, 2008
These elements contribute to the overall scope and dimensions of a case: amount of principal, interest rate, location of debtor, availability of documents (invoices, contracts, bills of sale), statue of limitations, solvency of debtor, willingness of debtor to pay, client’s understanding of the probabilities of recovery considering the circumstances, and the difficulty involved in locating the debtor.
A collection practice deals with the collection or settlement of claims asserted by one individual or business entity against another. There are two types of claims. A “commercial claim” is an obligation incurred during the course of conducting a business which arises from goods sold or leased, services rendered, or monies loaned for use in the conduct of a business or profession.
Not all commercial accounts are based on open account balances; some are based on lease agreements, consignment transactions, guarantees or on almost limitless business transactions. The wide range of variation in cases makes it important to learn as much about a case as poss