Call 855-930-4343 Today!

Recovering Unpaid Bills from US Clients in Italian Export Trade

Recovering unpaid bills from US clients in Italian export trade can be a complex and challenging process. It requires a strategic approach and careful consideration of legal and financial factors. In this article, we will explore a three-phase recovery system designed to help companies recover funds from delinquent US clients in the context of Italian export trade. From initial recovery processes to legal action and attorney involvement, we will provide valuable insights and recommendations for navigating this intricate process.

Key Takeaways

  • The recovery system involves three distinct phases: initial recovery process, legal action, and recommendations and costs.
  • Phase One includes sending letters to debtors, skip-tracing, and attempting to resolve the matter through various communication channels.
  • Phase Two involves forwarding the case to affiliated attorneys, drafting demand letters, and further attempts to contact the debtor.
  • Phase Three offers two recommendations: closure of the case if recovery is unlikely, or proceeding with litigation. Costs and rates for legal action are outlined, including competitive collection rates tailored to the number and age of claims.

Recovery System for Company Funds

Phase One: Initial Recovery Process

Upon initiating the recovery process, immediate action is taken to assert the creditor’s position. Within the first 24 hours, a series of escalating measures are employed:

  • A demand letter is dispatched to the debtor via US Mail.
  • Comprehensive skip-tracing and investigation are conducted to secure optimal financial and contact data.
  • Persistent contact attempts are made through phone, email, text, and fax.

Daily efforts to engage the debtor continue for 30 to 60 days, aiming for a swift resolution. Failure to reconcile the account propels the case into the subsequent phase, involving legal counsel within the debtor’s locale.

Phase Two: Legal Action and Attorney Involvement

When internal recovery efforts falter, the baton is passed to legal professionals. Attorneys within our network take the helm, drafting demand letters and making persistent calls. If these efforts remain unfruitful, a decision point is reached.

Litigation may be the next course of action, but it comes with upfront costs—typically $600 to $700, covering court and filing fees. These costs are a necessary investment to initiate a lawsuit for the recovery of all monies owed.

Should litigation prove unsuccessful, rest assured, no further fees will be owed to our firm or the affiliated attorney.

The fee structure for our services is clear and competitive, with rates varying based on the age and number of claims:

  • For 1-9 claims, rates range from 30% to 50% of the amount collected.
  • For 10 or more claims, the rates decrease slightly.

The decision to proceed with legal action is significant, and we provide all necessary information to make an informed choice.

Phase Three: Recommendations and Costs

Upon evaluating the debtor’s assets and the facts of the case, our recommendations hinge on the likelihood of recovery. If prospects are dim, we advise case closure—at no cost to you. Conversely, should litigation seem viable, a decision point arises.

Opting out of legal action allows for claim withdrawal or continued standard collection efforts, free of charge. Choosing litigation necessitates upfront legal fees, typically $600-$700, based on the debtor’s location. These fees cover court costs and filing expenses, initiating a lawsuit for the full amount owed.

Should litigation not result in recovery, the case concludes without further financial obligation to our firm or affiliated attorney.

Our fee structure is competitive and varies with the number of claims and their age. Below is a summary of our rates:

Claims Submitted Accounts < 1 Year Accounts > 1 Year Accounts < $1000 Attorney Placed Claims
1-9 30% 40% 50% 50%
10+ 27% 35% 40% 50%

Note: The percentages represent the portion of the amount collected. This tiered approach ensures that our services are tailored to the specific needs and outcomes of each client.

Frequently Asked Questions

What is the Recovery System for Company Funds?

The Recovery System for Company Funds is a three-phase process designed to recover unpaid bills from US clients in Italian export trade. It involves initial recovery processes, legal action, and recommendations for next steps and costs.

What happens in Phase One of the Recovery System?

Phase One involves sending letters to the debtor, skip-tracing and investigation to obtain financial and contact information, and attempts to contact the debtor for resolution using various methods such as phone calls, emails, text messages, and faxes.

What is the process in Phase Two of the Recovery System?

Phase Two includes forwarding the case to an affiliated attorney within the debtor’s jurisdiction, drafting letters demanding payment, and further attempts to contact the debtor via telephone and letters.

What are the recommendations and costs in Phase Three?

In Phase Three, the recommendations may include closure of the case if recovery is not likely, or proceeding with litigation. If litigation is recommended, the client has the option to proceed or withdraw the claim. Legal costs such as court fees and filing fees are required for litigation, and the rates for collection are provided based on the number of claims submitted.

What are the upfront legal costs for proceeding with legal action in Phase Three?

The upfront legal costs for proceeding with legal action in Phase Three typically range from $600.00 to $700.00, depending on the debtor’s jurisdiction. These costs include court costs, filing fees, and other associated fees.

What are the collection rates for Phase Three?

The collection rates for Phase Three depend on the number of claims submitted and the age and amount of the accounts. Rates range from 27% to 50% of the amount collected, with variations based on the age and amount of the accounts and whether they are placed with an attorney.


More Posts

Recovering Unpaid Bills from US Clients in Italian Export Trade

Navigating the complexities of recovering unpaid bills from US clients in Italian export trade requires a deep understanding of the debt collection process, legal implications, and financial considerations. This article explores the structured approach to debt recovery, emphasizing the importance of strategic communication and evaluating the viability of collecting debts

How Italian Companies Can Handle Late Payments from US Buyers

Italian companies facing late payments from US buyers must navigate a complex international legal landscape to recover debts. The process involves understanding the legal frameworks of both countries, assessing the viability of debt recovery, employing strategic communication and negotiation tactics, navigating the litigation process, and considering the financial implications of

Guide for Italian Exporters on US Debt Collection Laws

Italian exporters dealing with unpaid debts from US-based clients face a complex legal landscape when it comes to debt collection. This guide aims to provide a comprehensive overview of the US debt collection laws, the process involved, and the practical steps that Italian exporters can take to recover their funds.

Managing Unpaid Invoices in Italy-US Trade Agreements

The trade relationship between Italy and the United States is complex and multifaceted, with various trade agreements in place that facilitate business transactions across borders. However, managing unpaid invoices within these agreements can be a challenging task for companies engaged in Italy-US trade. This article provides a comprehensive guide to