Upon receipt, each claim file is evaluated and a computer file is opened by an attorney. This will be Bill Newman, in the Topeka office or Natasha Riffel-Kuhlmann, in the Wichita office. That attorney will immediately acknowledge receipt of the claim from the client contact.
At a minimum, this evaluation will include a review of all available documents, a search of records with the Secretary Of State, in order to determine if the debtor is incorporated and if that protective corporate veil can be pierced, and a search of bankruptcy records to determine if an automatic collection stay is in effect. It may also include initial skip trace efforts, if necessary.
Following a determination that a viable debtor and theory of recovery exists, the file, along with any pre-litigation collection or settlement guidelines are given to an assigned account manager. That account manager will develop a proposed, FDCPA required, 30 day verification letter, for mailing, following the attorneys approval and signature. (This period of time may be adjusted to meet the needs and desires of the client) The account manager will also calendar the file for review and action in thirty five (35) days.
During that thirty five (35) day period, the account manager will immediately respond to any telephone or written inquiry or document request by the alleged debtor. (S)he will also attempt to resolve the debt through payment of the check face value plus the statutory $30.00 service charge.
If the verification letter fails to garner a response or if full payment of the check face value plus the statutory $30.00 service fee is not received within the thirty five (35) day period, the account manager will develop a proposed, statutorily required, fourteen (14) day demand letter, for mailing following the attorney’s review and signature.
The account manager will calendar the file for review and action in twenty (20) days. During that twenty (20) day period, the account manager will immediately respond to any telephone or written inquiry or document request by the alleged debtor. (S)he will also attempt to resolve the debt through payment of the check face value plus the statutory $30.00 service charge.
If the debtor still refuses to pay the amount demanded, a Petition, Summons, and Request for Service will be submitted by a firm attorney. Where appropriate, the Petition will also seek civil enforcement of any criminal restitution order then in effect.
Any subsequent Discovery, hearings, Trials, Pre Judgment Motions, Journal Entries, Garnishments, Pay Orders to Banks, On-going Wage Garnishments, Special Executions, Aids in Execution, Citations in Contempt, Bench Warrants, Dismissals, Satisfactions of Judgment, Garnishment releases, Dismissal of Judgments and Appeals will be handled by the assigned attorney.
The assigned account manager will remain available to calendar all actions and respond to any judgment debtor inquiries and payment proposals. The assigned attorney shall also supervise all collections on behalf of the client, through criminal restitution orders, fines and disgorgement.
All collected Client funds will initially be placed in a client trust account. This is done in order to allow the Client maximum accountability and access for audit purposes, while recognizing other Client and debtor rights to privacy under both federal and state law.
On a monthly basis or as required by the Client contact, a report will be initiated reflecting all transactions during that reporting period. This report may be developed by our staff computer programer in almost any format desired by the Client. This report will accompany a firm check reflecting the Client’s portion of any funds collected. A second report will reflect the names and file information on any debtors which Bibler & Newman has been unable to locate within ninety (90) days after the account has been referred to the firm. When applicable, a third report will reflect any accounts which have not achieved collection after one year. These reports will be drafted by the Topeka Office Manager, with input from account managers and reviewed by attorney, Bill Newman, prior to submission to the Client contact.
What is the length of time in each step of the process?
Acknowledgment of receipt of all accounts......................within 48 business hours
Attorney evaluation of claim received...............................within 48 business hours
Issuance of 30 day verification letter................................within 48 business hours
Response to debtor request for information.......................immediate
Response to debtor offers of payment or settlement..........immediate
Issuance of 14 day demand letter.......................................within 45 days
Request for permission to file Court action.......................within 65 days
Filing of petition or other Court action.............................within 48 business hours written permission
Discovery, hearings, trials, motions, judgments
post judgment letters, garnishments, pay orders
to banks, aids in execution hearings, citations
in contempt, bench warrants, dismissals, garnishment
releases, other post judgment pleadings.............................as needed
Reports and distribution of funds collected........................monthly (or as directed)
Other requested reports.......................................................as directed
At what point do you deem legal action is necessary?
If there is no response or no approved payment plan in place within twenty days after issuance of 14 day demand letter, legal action should be taken.
Do you perform your legal work in-house, or do you use outside legal counsel?
All legal work is done in house. In those limited cases where Courts have set hearings in two or more counties, in a single area of attorney responsibility, at the same time , I have contracted with other attorneys who are members of the various collection bars to cover those hearings. Those instances have been rare and, if it occurs, we will use only well experienced attorneys and we will pay any subsequent expense out of our contracted attorney fees. Newman, Reynolds & Riffel, P.A. will remain responsible for all work performed by outside legal counsel.
Please describe the general procedure you use when legal action is initiated.
The assigned account manager will bring her file and proposed Petition to an attorney for review. If approved by the attorney, (s)he will file a Petition, Summons and Request for Service, as required by local court rules. Whenever possible, the case will be filed in a limited actions court in order to take advantage of that expedited process.
The Court will usually assign the answer date requested by the requesting NRR office. Where applicable, an NRR attorney will appear at that answer hearing and attempt to resolve the litigation through a stipulated Judgment and payment plan.
Where necessary due to a defendant’s denial of the debt cited in the Petition, the law office will issue Discovery in order to place the debtor’s assertions on the record. Upon completion of discovery, the office will either file a Summary Judgment Motion or set the case for trial.
Immediately prior to trial, our attorney will again attempt to resolve the case through a stipulated judgment and voluntary payment plan. If unsuccessful, (s)he will try the case and attain judgment. This step may require the attendance of fact witnesses in order to dispute any false allegations by the debtor.
Armed with a judgment, NRR will give the debtor two weeks to pay the Judgment sum due or set up a voluntary approved payment plan. If unsuccessful, following passage of the allotted two weeks, the attorney will seek garnishment or a Special Execution Order which will allow the Sheriff to go into the debtor’s place of business and take the sum necessary to satisfy the judgment out of the business cash register. If the debtor does not own a business, The law office will attempt to locate his place of employment and garnish his wages. The option to garnish his bank or other non wage account is also available.
When do you consider the collection process over?
A Judgment, if properly renewed, remains in effect for the life of the debtor and may go against the debtor’s estate, when (s)he dies. There is no “Statute of Limitations” on a properly renewed Judgment. The collection process is over when the debt is collected.
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