Collections Defense

Business debt in collections? Guides on demand letters, commercial collection agencies, creditor lawsuits, judgments, and settling before it escalates.

• A Default Judgment Was Entered Against Your Business. Can It Be Vacated? — A default judgment can be vacated for defective service, excusable neglect with a real defense, or lack of jurisdiction, but deadlines are short and state-specific. Here is what to gather, what happens to levies meanwhile, and why settlement runs alongside.
• Bank Garnishment in Texas After a Business Judgment: What Creditors Can and Cannot Take — A Texas business bank account garnishment begins with a writ served on the bank, without warning. Business accounts get little of the protection Texas gives wages, but there are still limits, deadlines and ways to win a release.
• Served With a Business Debt Lawsuit: How to Answer the Summons Before the Deadline — Served with a business debt lawsuit? The answer deadline is short and set by the court, not the creditor. Here is what an answer is, why your company usually needs an attorney to file it, the defenses to raise, and how to negotiate while the case is pending.
• When Collectors Call Your Employees, Vendors and Customers About Business Debt — A debt collector contacting employees about business debt is usually not breaking the FDCPA, because that law covers consumer debt. State law, contract law and the torts of defamation and interference still set limits, and a written response ends most of it.
• Collection Agency vs. Collection Attorney: What It Means — A collection agency can call and report to credit bureaus, but only a collection attorney can sue. Here is what the move to a law firm signals about lawsuit risk.
• Settle Your Business Debt Now or Wait for the Lawsuit? — Weighing whether to settle business debt now or wait for a lawsuit? See how timing affects your leverage, costs, and risk before you decide.
• What Happens When Your Business Debt Goes to Collections — See exactly what happens when a business debt goes to collections: the stage-by-stage timeline, what agencies can and cannot do, and where your negotiating leverage is strongest.
• Vendor Debt Workout Checklist: Settle and Keep the Supplier — A step-by-step checklist for negotiating overdue supplier invoices into a workout you can afford, without losing the vendor or your credit terms.
• Does the FDCPA Apply to Business Debt? What Protects You — The FDCPA generally doesn't cover business debt. Here's what protections actually apply — state licensing laws, UDAP, TCPA, and the personal-guarantee gray areas.
• What Creditors Can Do With a Judgment Against Your Business — A judgment lets creditors freeze bank accounts, file liens, and garnish receivables. Here's what a judgment against your business really means, and why settlement is still possible.
• 7 Mistakes That Turn a Business Debt Suit Into a Judgment — Ignoring a business debt lawsuit does not buy time, it hands the creditor a default judgment. Here are the mistakes that make it worse and what to do next.
• How to Respond to a Demand Letter for Business Debt — A step-by-step guide to responding to a business debt demand letter in the first 72 hours: verify the debt, avoid costly admissions, and negotiate from strength.