Blogs

The second great power of Discovery is the Motion to Produce Documents.

When a bill collector sues for nonpayment of a debt, they also open themselves up to answer questions–finally!!–and to provide documents.

What type of documents? Well, any document relevant to the debt.

Sued on a medical debt?

• Demand to see the invoices and the claims filed with the health insurance company.
• Demand the intake forms.
• Demand copies of all correspondence with the medical insurers.
• Demand a copy of the Master Service Agreement between the hospital and the insurance company to see if the hospital had a contractual duty to file a claim.

Sued on a on a credit card account?

• Demand a copy of the written contract.
• Demand a copy of all billing statements.
• Demand a copy of all notices of interest rate changes.

Rule 26 of the Nebraska Rules of Civil Procedure requires all parties to a lawsuit to provide requested documents with in 30 days.

Does the bill collector have these documents? Probably not. In fact, about the only thing a bill collector has is a list of names and amounts owed by each customer. A bill collector typically has nothing other than your name, address and the amount you owe. They have no actual proof of the debt.

What does a bill collector do when you demand documents?

• They ask their client to provide them.
• They slow down and start looking–actually looking–at the lawsuit.
• They think about all the time it will take to provide the documents.
• They start thinking about accepting a settlement of the debt.

What if the bill collector cannot provide the documents? Sometimes a creditor does not provide documents because they are not available. They can’t get them. All they have is a list of the debts, but no actual proof of the debt. No contracts or statements or payment histories. In short, they have no proof of the debt.

Sometimes they just ignore the request for documents. Then what? A few options exist.

• File a Motion to Compel Discovery to demand the documents and schedule a hearing with the court.
• File a Motion for Summary Judgment. If they cannot produce the documents then there is no proof of the debt. Had the debt truly existed they would have documents to prove it, but since they don’t have the documents the court may dismiss the entire case.

Requesting documents is a powerful tool bill collectors do not want you to exercise. Collection litigation firms are not designed to prove the existence of debts. Rather, they process debt cases with no proof at all. It’s all about process and not proof. That process is premised on consumers not fighting back.

Demand those documents. Fight back!

Image courtesy of Flickr

 ● Jim Shenwick, Esq has  a specialty in commercial leasing (he has represented over 300 tenants and landlords in commercial lease negotiations).   ●Representative Manhattan transactions include the following: (a) represented over 250 commercial tenants representing office space in Manhattan, New York City.●Represented a Landlord who leased retail space to a Gap store in Midtown East, (b) Represented a Landlord who leased space to a coffee chain in the East 20’s, (c) Represented a private equity fund that leased office space in 7 Time Square Tower, (d) Represented a hedge fund that leased office space at 590 Madison Avenue, (e) Represented an Internet social marketing company that leased space on 23rd Street, (f) Represented a Landlord in Soho who leased space to a restaurant and food store, (g) Represented  an art gallery that moved to the West 26th Street art district (h) Represented a hair transplant doctor who leased space for an upscale hair transplant facility on Madison Avenue and (i) Represented a chain of pizza stores who leased space throughout NYC and Long Island,● Jim Shenwick, Esq. has written on the assignment/subletting of commercial leases, questions tenants need to ask Landlords before signing a commercial lease, “silent” commercial lease issues not dealt with in standard lease forms and hidden costs in commercial leases.  ● Jim Shenwick, Esq. also spoke at the Association of the Bar of the City of New Yorkon commercial leasing issues for tenants.
 At Shenwick & Associates, we have represented more than 300 tenants in commercial leasing transactions, including office tenants, restaurants & retain stores.  Any clients having questions about commercial leases should contact Jim Shenwick, Esq.   [email protected]  917 363 3391  Please click the link to schedule a telephone call with Jim Shenwickhttps://calendly.com/james-shenwick/15min
                                                              

 At Shenwick & Associates, we have represented more than 300 tenants in commercial leasing transactions, including office tenants, restaurants & retain stores. Provided below is Part I of our Leasing Checklist.  Any clients having questions about commercial leases should contact Jim Shenwick, Esq.   [email protected]  917 363 3391  Please click the link to schedule a telephone call with Jim Shenwickhttps://calendly.com/james-shenwick/15min
Lease Checklist:  1.                  Free rent?   How much? Tenant should receive 12 months rent at first year rate before rent increases in second year.  2.                  Are the premises in a land-marked building? (alterations are more difficult)  3.                  Request a  copy of the most recent tax bill and Tenant should only pay its pro rata share of taxes 4.                  Is the electricity direct meter, sub-meter or rent inclusion? 5.                  Assignment and sub-let provisions should automatically be allowed: (a) Tenant’s sale of its business, (b) merger of its business, (c) Tenant goes public, (d) assignment of  its lease to a related entity or division  6.                  Non-structural alterations should be allowed as a matter of right to Tenant  7.                  Interest on security deposit should go to Tenant without request or notice once per year and security deposit should be returned to Tenant 30 days after lease ends  8.                  Landlord should expressly consent to Tenant's particular use and assist Tenant in getting a liquor license (for a bar or restaurant)  9.                  If the premises have a sprinkler installation, who pays for monitoring, and maintenance?  10.              What is the electricity capacity of the premises wiring? Landlord should make a representation in the lease to the electrical capacity and the capacity should be sufficient for Tenant's business (important for a manufacturing or service business).Check our Blog for Part II of our Leasing ChecklistJim Shenwick, Esq

 The Motley Fool has an article on the repayment of SBA EIDL Loans. The article is titled 
"Took Out a Small Business Loan During the Pandemic? You May Need to Start Paying It Back"
The article can be found at https://www.fool.com/the-ascent/small-business/articles/took-out-a-small-business-loan-during-the-pandemic-you-may-need-to-start-paying-it-back/
Any clients with questions about the repayment of SBA or EIDL loans should contact Jim Shenwick, Esq.  [email protected]   917 363 3391
"We held individuals & companies with too much debt!"