Frequently Asked Questions
What is a commercial claim?
A commercial claim arises from the obligation to pay for goods sold or leased, services rendered or monies leased for use in the conduct of a business or profession, and NOT FOR PERSONAL CONSUMPTION. All other claims are designated as retail, and carry retail collection rates.
How do I place a claim?
All you need do is send the firm a statement of account, setting forth the name and address of the debtor, telephone number of the debtor, the amount owed, and any other available related information, along with a short note or letter advising Kohner, Mann & Kailas, S.C. to proceed with collection activity.
How do I know the claim has been received?
The claim will be acknowledged by Kohner, Mann & Kailas, S.C., the date it is received, so that you may confirm that the firm in fact did receive the claim. Kohner, Mann & Kailas, S.C. will be hard at work the same day the claim is received, attempting to evaluate the situation and get you your money.
What if I have additional information that is not included on the claim form?
In the event you have related information in your file which may be of help, you should submit copies this to the firm. This type of documentation would include: promissory note or notes; credit application; financial statements; Dun & Bradstreet reports; letters or correspondence from the debtor admitting the indebtedness or arranging payment; and any similar type of data and documentation indicating that the debtor admits the indebtedness and financial responsibility and assets.
I have placed a claim, what happens next?
Shortly after receipt of the matter, Kohner, Mann & Kailas, S.C. will fully evaluate the situation and the collection possibilities and will make a full report to you setting forth the facts and circumstances of the firm's investigation, along with recommendations as to how the matter should be handled, the advisability of legal action, and a discussion of all other material considerations. You will be kept abreast of developments by periodic reports. Suit will be recommended only if the firm is of the considered belief that it has a reasonable opportunity for success.
I am concerned about the extra costs of taking legal action; will I be notified before legal action is initiated?
No legal action will be recommended unless Kohner, Mann & Kailas, S.C. believes there is a strong prospect for success. No legal action will be commenced until such time as recommendations are made known to you and you have authorized such legal activity. We will notify you of the expense, what is required both monetarily and by documentation to commence legal action, and the timetable with respect to the jurisdictional issues relating to where the action will be filed. At all times, Kohner, Mann & Kailas, S.C. will consider the most appropriate location for the lawsuit, recognizing that the firm is interested in ensuring that any litigation will be the least expensive and annoying to you as well as most likely to elicit quicker results in the form of cooperation and payments from the debtor.
A debtor contacts me after I have already placed the claim, what should I do?
Once a matter is placed, it is strongly recommended that you refer the debtor to Kohner, Mann & Kailas, S.C. if the debtor should contact you directly. Insist that the debtor deal exclusively with Kohner, Mann & Kailas, S.C. until the matter is resolved, in order that we can sustain aggressive pressure and so assure of maximum results.
When is legal action necessary?
Legal action is only recommended if our attorneys conclude that out-of-court resolution is unlikely, and that there is a realistic prospect of a satisfactory outcome through court action. In such a circumstance, you will be fully apprised of the collection opportunities out-of-court, and of the potential for cost and recovery offered by legal action before any legal steps are taken. Legal action is commenced only when authorized and required to effect recovery. When recommended, suit requirements will include an advance for costs (out-of-pocket disbursements). In addition, the suit requirements may include a minimal non-contingent suit fee (retainer), which will be credited against the overall suit fee assessed on recoveries made.
What happens if a claim is recalled?
A claim placed on a contingent fee basis cannot be recalled unless full commissions and compensation are paid as if full collection was effected. If a collection claim (once a file is opened and worked by our firm) is recalled or returned, because of error in placement, credit due the debtor, or other reason other than payment (and thus no payment is made or legally due from debtor), a reasonable service charge will be assessed to reimburse our firm for the time, effort and overhead of opening and investigating the file and effecting appropriate resolution of the claim placed short of collection.
In a contingency matter, what happens when goods or equipment are returned for a credit?
Generally, the agreed upon contingent commission schedule applies to one-half of the value of the goods or equipment returned.
