Collections

you deserve to get paid

Collections

When it comes to collections, we don’t fool around. We don’t waste a lot of time asking debtors to pay their bills. As attorneys, we use the power of the law to take money from the people who owe it. We’ll give a debtor one opportunity to agree to a payment plan and if they don’t step up, we get a judgment from the court and immediately start garnishing wages, levying bank accounts, and attaching assets. The contractor did its work on time, the customer’s only real obligation is to pay the bill on time. If the customer gives you more excuses than payments, it’s time to turn the debt over to us to collect.

At Minnesota Construction Law Services, we have a variety of tools available to us to collect the debt, beyond a construction lien. Our options include negotiations, settlement agreements, promissory notes, security agreements, confessions of judgment, conciliation court, and district court. We know how and when to use the most appropriate tools under the circumstances to get the best outcome for you.

  • Poor workmanship
  • Design defect
  • Material defect
  • Construction liens

PROCESS

What is our process?

Collections

Common Issues

Minnesota Construction Law Services understands that a construction lien is often not the most effective way to get paid. We can use our special set of tools to take quick and aggressive action to get you your money. Below are a few common questions we receive regarding collections.

While the reasons are vast and seemingly endless, the most common reason is that the customer did not responsibly manage their funds or their ability to pay. They added work during the project hoping they’d have the money when the time came to pay. They spent the money they budgeted for the project on something else. They used the insurance money they received for the project on a large purchase, for a vacation, or pay off debt and don’t have the money to pay the contractor’s bill.

  • Ineffective and poor communication
  • Dispute on how much work is completed
  • Dispute on change orders or project scope
  • Problem with the third party
  • Delay from higher in the payment chain

First and most importantly, properly document your work. Your contract should clearly state the project price and all changes should be documented with written and signed changed orders. Second, keep your customers informed about your expectations for upcoming progress payments. Third, don’t let your customers think they can miss a progress payment by continuing to work when a scheduled payment is not made on time. Finally, don’t be afraid to talk about payment obligations and money with your customers. As consumers, we’re uncomfortable telling people we owe money to that we’re a little short and need extra time to pay. Don’t let your discomfort as the debtor prevents you from demanding payment as the creditor. Business owners must conquer their discomfort over debt if they expect to successfully get paid for their work.

LET'S GET TO WORK

We don't mess around. We get you paid.