Customer has no money for finished on-site work!!

[gazza]

What sort of home business has or needs 6 or 7 computers? I wonder if they were stolen as well?

 

[Lefty]

Man, two threads about non-paying customers. You guys just made me nervous enough to make sure my work orders are written correctly...

 

[Fubs]

As others have said, i would have taken the check and expected it to bounce to establish a paper trail. In California, if someone knowingly writes you a bad check (ie. the check bounces and they fail to remedy this), you can take them to small claims court and collect up to 3x the face value of the check.

Also, if you don't want to go to court you can contact their bank and tell them you have a problem with collecting from the check writer. I think for a nominal fee the bank will monitor the account and as soon as the account as sufficient funds they will cash the check for you. The problem with this is you have to wait/hope there is sufficient funds in the account.

 

[Tony_Scarpelli]

Id visit him everyday for the money, sit outside his business with a lawn chair about how he is a crook

Sent from my DROID2 using Tapatalk

@ a billable rate of $120 per hour, how much do you suspect this method would cost you to collect his $460?

 

[Tony_Scarpelli]

As others have said, i would have taken the check and expected it to bounce to establish a paper trail. In California, if someone knowingly writes you a bad check (ie. the check bounces and they fail to remedy this), you can take them to small claims court and collect up to 3x the face value of the check.

Also, if you don't want to go to court you can contact their bank and tell them you have a problem with collecting from the check writer. I think for a nominal fee the bank will monitor the account and as soon as the account as sufficient funds they will cash the check for you. The problem with this is you have to wait/hope there is sufficient funds in the account.

You are correct, I think the term is "putting it in for collection." The bank gets the funds and send you a certified bank check which of course is as good as cash. You pay a small fee when you put the check in for collection.

Kansas used to be really hard on check writers 3 checks at three different places would land you in jail as a criminal but with all the Payday-loan companies and check- loan companies that have popped up (they charge $15 one weeks interest on a $75 loan-400% interest so they are not sympathetic to the court system) they just let it go now. If you have a bad check it is on you 100% to collect it.

yes you can do small claims court, file fees about $50, then spend a few weeks to go to court, then a day waiting for your time before the judge, win, then you have to collect from a dead beat. So you have to either know how to find a bank account (the one with money in it not the one that you know about), or other assets that you can attach or garnish. You have to know how to legally make their live miserable enough that they rather pay you and fees than put up with what you are doing to them. If they don't care about credit then that is one less thing you have to use against them.

I did auto repos and collections to pay my way through college so I know the system here, I know how to ruin your credit, make your life miserable, can't even get a bank to give you another checking account and it does work with enough elbow grease and time, the problem is how much of your time is it worth to collect?

Bill collectors might eventually return up to 50% but then again they usually do not collect anything at all-IME.

 

[jeubank]

all that paperwork, headache.


Just take the computers

 

[nesrinamb]

Well in California theirs a mechanics/technicians lien can be placed. I my self have never done it but I know a few that actually went into a business that decided they weren't going to pay and just took the computers.

 

[maclaptech]

Not sure how things work where you are but here in Texas police considers this to be a civil matter and they will not get involved.

I would take a check with his drivers license number. If his check bounced, it would be criminal matter. The next time police stops him for any traffic violation, that would show on his file and that would be one way ticket to jail.

You can also take him to small claims court if you have one in your area/country. No need for attorney. Just have good details and paper work.

You can also call him and tell him to write you a postponed check that you can deposit in few days.

iPad Repair

 

[frenchscottie]

You billed him $460.02? I think I would of waived the $.02
I would of told him that a non-payment fee of $10 will be added to the bill for every day he is late.

 

[NETWizz]

You billed him $460.02? I think I would of waived the $.02
I would of told him that a non-payment fee of $10 will be added to the bill for every day he is late.

You can't do that. No court, county, State law will let you add that much of a late fee. You might be able to add it for a late payment that is more than 5 days late and be able to assess this fee monthly.


If you go to a court, you will most likely win & collect court fees. You won't get wages, time, or any of that... nor will they likely award you 3x the value of the check. All you can really expect is an order for him to pay & whatever collection fees you have. The court doesn't care about your time; if they cared, they would pay more than $10 a day for Jury Duty!

I personally try to stay away from court because overtime I go I loose time and money. Everything has a filing fee, wait time, etc. If it is small claims, expect to fill out a form, submit a fee, and come back for a pre-trial. If it isn't settled to go before a judge. You must have ALL your paperwork i.e. signed work order... signed completion... contract signed to pay... etc. If you don't have a valid contract, your work will be a gift.

 

[NETWizz]

You live in NYC right? Come on, you telling me no one you know would do that?

I do not live in NYC.

I do not know anybody who would slash tires. At least I hope nobody would do this. It is NOT right to destroy someone else's property.

 

[Tony_Scarpelli]

You must have ALL your paperwork i.e. signed work order... signed completion... contract signed to pay... etc. If you don't have a valid contract, your work will be a gift.

This is absolutely not true. A verbal contract is just as binding as a written one. The main difference is that you must convince the judge that you had a contract arrangement for you to do some work, and he would pay a fee or rate for that service. It is highly unlikely that the other side can convince a judge that you came out to do the work for him free when you are in the business of doing this kind of work.

There is a statue that says exactly which contracts must be in writing. Its called "statue of frauds." Generally contracts over $10k (maybe now over $30k), real estate sales contracts, and other situations where it would be easy to defraud someone with a witness on your side.

 

[PDXMicro]

In arizona - you have the Prompt Payment Act / Mechanic Lien as an option that you can take.

You have the right to take what you worked on or installed as long as it is not bolted to the structure or building, pending payment.

I had to do this with a national IT company for Chase Bank. I installed hardware, and troubleshooted their Teller Express software for teller machines. Usually they paid, but to no fault of my own, they were skipping payments on some finished work orders.

After 60 days of the run around. I sent a notice of my intent to take / lien hardware not paid for at a few branches in the area.

I Went in, told the manager, they said no. They called police, and police said it was my legal right and I took 9 Computers in total from 2 branches. By the time i went to the 3rd branch, the Regional VP of Chase, contacted me, (please remember.. Chase does not pay me directly, the national IT company does) - and asked, what is owed, and he said he would personally send a money order fed ex overnight with tracking in under 20 minutes if I stopped my lien on the computers. I agreed. and sure enough, I Was given the tracking number + $100 for "my troubles" and i returned the hardware the next day after i cashed the money order.

I cannot say you have those rights in other states or countries. However, in Arizona - every contractor, or subcontractor (not just car mechanics) have the right to collect + hold property that was serviced (labor or parts) that does not pay the invoice.

I have used this technique twice on home-visits. It gets ugly, and at the end of the day, they never pay, and i just sell the equipment 90 days later. (I think the law is 30 but i give benefit of the doubt)

Also - by law, if I sell the equipment for more than what is owed, I am obligated to give the remaining balance to the customer. (If i dont, it is a crime)

First, I'm sorry to hear about the inconvienence RedFox. It's a very tough situation to be in - and I will surely be keeping this in mind for future on-site repairs. I really hope you get this scumbag some how or some way.

In regards to the quoted comment, that was VERY good information. I'll likely be editing my service agreement to include circumstances such as this one.

 

[NorCal Internet]

I am sorry this happened to you or any of us. This guy was clearly a scumbag never planning on paying you.

You could always drive by his house and ice pick the sidewalls on his tires. that will cost him $500 deductible on his insurance.

I like your thinking. That would have been my first thought too! But, taking the check, letting it bounce, and then letting it enter the criminal courts arena would be more... *MATURE*... You could always go back months later and get his tires if the court thing doesn't pan out.

 

[Fubs]

You billed him $460.02? I think I would of waived the $.02
I would of told him that a non-payment fee of $10 will be added to the bill for every day he is late.

Be careful charging $10/day late fee. At that rate it might be considered usury.

 

[ATTech]

If you go to a court, you will most likely win & collect court fees. You won't get wages, time, or any of that... nor will they likely award you 3x the value of the check.

Depends on the state. In California, all you need to win in the case of a bounced check is the bounced check and maybe something showing you tried to rectify it without the courts(like calling them). And the only way you won't be awarded three times the amount is if they can show a hardship. In most cases, that's irrelevant, as they don't even show up.

 

[RedFoxComp]

First, I'm sorry to hear about the inconvienence RedFox. It's a very tough situation to be in - and I will surely be keeping this in mind for future on-site repairs. I really hope you get this scumbag some how or some way.

In regards to the quoted comment, that was VERY good information. I'll likely be editing my service agreement to include circumstances such as this one.

I agree. I'm in the process of checking if I can legally include that. As expected he has been unreachable and didn't pay by the 24th. (Surprise). I sent him a registered letter that said I would forward his account for collections if he didn't pay by the 30th of this month.

I received an e-mail that said "You have to wait. I am having family problems. You will hear from me soon"

I replied that he can pay me before the 30th, otherwise after the 30th he will have to call the collection agency directly to resolve the matter with them. I gave him their contact information.

 

[TopLevelComp]

There is a statue that says exactly which contracts must be in writing. Its called "statue of frauds." Generally contracts over $10k (maybe now over $30k), real estate sales contracts, and other situations where it would be easy to defraud someone with a witness on your side.

Also needed for written contracts/agreements are selling of physical property (computers for example) worth more than $500.

In this situation, the verbal agreement doesn't matter, it's the piece of paper he signed. Take that piece of paper to court, judge will take a look at it, and side with you. Case closed.

 

[PDXMicro]

I agree. I'm in the process of checking if I can legally include that. As expected he has been unreachable and didn't pay by the 24th. (Surprise). I sent him a registered letter that said I would forward his account for collections if he didn't pay by the 30th of this month.

I received an e-mail that said "You have to wait. I am having family problems. You will hear from me soon"

I replied that he can pay me before the 30th, otherwise after the 30th he will have to call the collection agency directly to resolve the matter with them. I gave him their contact information.

"You have to wait" ?????? What an *#&hole! He had the nerve to rush you during the time you were at his house, but yet be picky about how things were done - and then turn around and tell you that you have to wait for when it's convenient for him to pay you? I'm thoroughly ****** for you... The nerve of some people in this world...

 

[NETWizz]

+1^^^^^. May as well get a court order and seize some of his property. That would be fun when dealing with people like this ___ one.