Unless this threat to sue comes directly from their attorney, see it as frustration, anger and an opportunity to get back on track. If they can't explain to you what they're suing you for, chances are they can't or won't try to explain it to an attorney.
You probably have an engagement/retainer agreement which you should review. Yes, your lawyer can sue you for unpaid fees .
If the lawyer becomes uncivil, or threatens action he knows he cannot take, such as threatening criminal charges, that would be unethical. * This will flag comments for moderators to take action.
Remember, at the end of the day, the customer has a goal in mind, and if you can help them achieve it, you'll have a better chance of navigating them away from legal action. Below are a handful of ways to save a customer service case when the customer threatens your business with a lawsuit.
First, do not panic. Don't immediately comply with the letter, get angry and write a fiery response, or destroy the letter in the hope that the issue will go away. You have many decisions to make on how to respond, and a cool head will serve you well.
Legal action for non payment is common in contract disputes.Legal Action for Non Payment.Determine Your Damages.Analyze the Other Party's Finances.Make a Formal Demand.Filing a Lawsuit.Obtaining Judgment.
Send a dispute letter to your credit card issuer at the address listed for billing disputes, errors, or inquiries — not the address for sending your payments. Look on your statement, online, or your credit card agreement to get the right address. Use this sample letter for disputing credit and debit card charges.
The fact that you ignored the demand letter will be used against you in court. The demand letter will likely end up as an exhibit to the court and jury in any subsequent litigation, and your response to the demand will be judged accordingly.
You can also tell the client you'll be filing a claim in small claims court. Your state will have specific laws about how much the client has to owe for you to be eligible to go to court. It's usually in the thousands but under $10,000. Small businesses don't have to let clients take advantage of them.
four yearsIn California, the statute of limitations for consumer debt is four years. This means a creditor can't prevail in court after four years have passed, making the debt essentially uncollectable.
The Consumer Rights Act 2015 sets out rules relating to the supply of services to consumers. The Act also governs the supply of goods and digital content, and it provides a single set of rules for the sale and supply of goods, including where goods are supplied as part of a service or a contract for work and materials.
If your client refuses to pay after a reasonable amount of time and collection effort, you can take him to small claims court. Usually, the fees for small claims cases are fairly low, and you can present your case without a lawyer. However, small claims courts limit the amount for which you can sue.
A When you receive poor service from a contractor for work on your home, the law says you can claim damages for the cost of having the matter put right. In exceptional circumstances you may also be able to claim compensation for distress, upset, disappointment and inconvenience.
What to Do If You Receive a Demand Letteragree to do what the person is asking and put an end to the dispute.contact the person(or her lawyer) to explain why you don't agree with her. ... contact the person (or her lawyer) to let her know that you refuse to do what you're being asked to do and to explain why.More items...
If you do not respond by the deadline set by the other party, nothing will happen automatically. Rather, the other party will need to decide whether they want to proceed with suing you. If they choose to sue you, their lawyer will need to file a statement of claim in the relevant court and then serve the claim on you.
Never ignore a demand letter. If you receive one, contact your attorney immediately. Some people think if they don't respond, the sender will go away. This is usually not the case — especially if the other party has retained an attorney. Respond and try to resolve the issue or you run the risk of going to court.