The coronavirus pandemic has caused difficulties with accounts receivable for many domestic and foreign companies, especially when attempting to recover large sums of money owed. If your company encounters a client who defaults on arrears and you encounter difficulties in collecting it yourself, you can (and probably should) protect your interests by engaging a lawyer to send a formal legal reminder to your debtor.
As a matter of fact, DaWo has a new easy-to-use Debt Recovery Platform designed to help you to recover outstanding debts from both Chinese and foreign debtors. Check it out at:
After you complete a brief questionnaire, we’ll offer our expert advice on your case and, at your direction, a draft of a Lawyer’s Letter, signed and chopped.
So, what is debt recovery?
Debt recovery simply means attempting to reclaim what you are owed when some individual or company fails to pay you as agreed. If your attempts at collection fail, you need a professional third party to help you recover.
Why do I need a lawyer during my debt recovery process?
Law firms and their professional lawyers can help you collect debts. During the entire debt collection process, the lawyer can take responsibility for facilitating communication between you and your debtor, collect and analyze evidence, and help you recover the debt through legal processes.
How do I start my claim?
Sending a letter — via traditional or electronic mail, or both — is the first step. This should be an official document signed by a lawyer and carrying the stamp, or ‘chop’, of a law firm. DaWo can draft such a “Lawyer’s Letter” for you.
Do I need to negotiate with my debtor?
Your lawyer can negotiate with your debtor on your behalf throughout the entire debt collection process. He or she should be able to help you reach a repayment agreement with your debtor.
What if my debtor refuses to pay?
If you or your lawyer cannot reach an agreement with your debtor through negotiation, you can of course resort to other dispute resolution measures, such as arbitration or litigation. If further legal measures are required, we will consult with you, offer our professional assessment, and act as you direct.
Why is DaWo a good option?
Expertise in these matters is of paramount importance. The debt recovery team of Davao Law Firm is comprised of senior Chinese and foreign lawyers who understand the debt collection processes in China and Europe, and have accumulated a wealth of practical experience in domestic and foreign debt disputes. As such, we are well positioned to help you deal effectively with claims and maximize your recovery. Please don’t hesitate to reach out to us if you need help collecting on a debt!