the other side of the coin

Discussion in 'Lawn Mowing' started by bobbygedd, Aug 4, 2005.

  1. bobbygedd

    bobbygedd LawnSite Fanatic
    from NJ
    Messages: 10,178

    ok, we've discussed action on a dead beat customer. alot of guys say take them to small claims court. ok, fine, if u do, you get a judgement, they don't pay, you put a lien on thier house. great, in 30 yrs, if u r still alive, and they sell, you get your dough plus interest. now, what if you damaged the clients property, and refused to pay? could THEY TAKE YOU to small claims? if they win, and they get a judgement, and you refuse to pay, can they put a lien on YOUR house? how would it work if u damaged thier property, and refused to pay?
  2. all ferris

    all ferris LawnSite Bronze Member
    Messages: 1,309

    I Dunno????????? I think if they took me to court I would slap them with a "taking me to court surcharge" :p
  3. arborist-28

    arborist-28 LawnSite Member
    Messages: 246

    just thinking about that thought scares me ...c
  4. arborist-28

    arborist-28 LawnSite Member
    Messages: 246

    guess that's why we keep are premiums paid up .. c
  5. Nosmo

    Nosmo LawnSite Bronze Member
    Messages: 1,216

    In Oklahoma if I damaged a person's property and was sued in small claims court and judgment was rendered against me here is what the
    plaintiff can do.

    Garnish my checking account (if I have any money in there) . Be summoned for an asset hearing (businessmen hate this one). Titles to all cars etc. , lock box contents, all bank statements, income tax
    returns for a designated period, and probably more things than I can
    think of right now with this tooth ache. And of course they can file
    the lien too.

    Back to the customer who won't pay. Sue him and his wife both in Small Claims . Surely one of them is working somewhere and then
    you can garnish one or both of their paychecks. All court costs and
    garnishment costs are added to the judgment.

  6. Precision

    Precision LawnSite Silver Member
    Messages: 2,995

    If you are incorporated, then no they cannot put a lein on your house. They could put a lein on the business and then you couldn't take out a business loan.

    If you have GL insurance, they would sue the insurance company and not you.
  7. jpmako

    jpmako LawnSite Senior Member
    Messages: 593

    That is why I am a Corp.
  8. Pro-Scapes

    Pro-Scapes LawnSite Platinum Member
    Messages: 4,180

    this is the huge advantage of setting up a corp or LLC vs a SP or partnership. In bobbys case if someone sued me I would just visit em with the shovel and pull a goodfellas act on em. Plantiff? What plantiff?
  9. HighGrass

    HighGrass LawnSite Bronze Member
    from Z5 MA
    Messages: 1,237

    I have insurance so I guess that's up to the insurance company. If I had no insurance I guess I would try to work it out. Sort of depends on the circumstance. Can you be more specific?
  10. Nosmo

    Nosmo LawnSite Bronze Member
    Messages: 1,216

    Incorporating your business does have many advantages (that's why many Lawyers incoporate themselves).

    Basically you cannot be sued except for intentional wrongs . The corporation can be sued but cannot loose more than is in the treasury and/or assets it has acquired . In other words the corporation is a separate entity from your personal belongings such as your home, your personal checking account .

    State incorporation laws vary so if you are thinking of incorporating
    check into this. One disadvantage of incorporating is this: A small
    corporation is considered the poorest credit risk by lending institutions.

    Best credit risk - partnership
    Next best credit risk - proprietorship
    Least best credit risk - corporation


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