A Guide To The Steps You Can Take Against A Debtor

The current economic crisis seems to have avoided a deep recession, however, growth is limited as factors such as inflation have not returned to the former low rate. Many businesses are experiencing increasing late payment, with their debtors delaying payment of outstanding invoices, not only beyond the terms of the agreement but to the degree that creditors are compromised.

Olu Ajasa, a partner, comments "there are a number of remedies open to a creditor when an invoice considerably exceeds the due date. Assuming that there has been contact with the debtor in the form of a statement and telephone calls to request payment." Olu points out "depending on whether you wish to continue the relationship with the debtor and whether there are any assets of value within the debtor's business, there are several options open to a creditor. It is essential that a creditor should take expert legal advice before taking any action to ensure that the best option has been