Archive for Collections

COVID-19: Debt collection restrictions ordered by Attorney General

As part of the governments efforts to help people deal with the financial impacts of dealing with COVID-19 or Coronavirus, the Massachusetts Attorney General (AG) filed an emergency regulation restricting what can be done by creditors, including debt collectors and those working for the creditors, to collect consumer debts. The emergency regulation, 940 C.M.R. 35, is effective immediately and continues for ninety (90) days or until the State of Emergency Period Expires, whichever occurs first. The State of Emergency Period ends thirty (3) days after the Governor’s lifts the state of emergency.

The emergency regulation impacts the collection of consumer debts and deems certain conduct to be an unfair or deceptive act or practice and a violation of M.G.L. c. 93A (the Consumer Protection Act). Some of the actions a creditor cannot take at this time are:

  • File a new lawsuit to collect a consumer debt;
  • Take steps to attach to take any funds or property of a debtor, this include wage garnishment, levy of real estate, or to repossess vehicles;
  • Request or serve a capias warrant (a/k/a a civil arrest warrant);
  • Make unsolicited telephone calls to a consumer.

This is not a complete list and there are other details contained in the emergency regulation. A copy of the regulation can be found here. If you believe that a creditor has violated the regulation you can file a complaint with the Attorney General, or seek to recover any damages you may have suffered as a result.

Accounts Receivable: Importance of Cash Flow Management

Everyone knows the saying “it takes money to make money.” No truer words have been spoken. A business needs money in order to purchase materials for resale, pay its employees, and to cover all of the other expenses. The revenues collected from your customers are needed to pay the expenses and turn a profit. Read More→

Collecting judgments in Massachusetts: Supplementary Process

Congratulations, you have won your case and now have a money judgment. Now what can be done to get paid?  There are different options available to collect your judgment depending on the specific facts and circumstances of your matter.

One option is for you, the judgment creditor (“creditor”), to file a Supplementary Process action against the defendant, now the judgment debtor (“debtor”). Read More→