CLEVELAND - Weltman, Weinberg & Reis Co., LPA, a full-service creditors' rights law firm with over 94 years of client service, is pleased to announce that shareholder
Andrew Voorhees was recently published in the
Monitor Magazine 2024 Monitor 101+ Issue with an article titled “Preserving and Collecting a Deficiency Balance After Repo and Sale.” Repossession and sale of equipment rarely covers the debt owed to an equipment financier after repo and sale. Andrew outlines how following
UCC formalities in collateral disposition can preserve the right to collect a deficiency.
“In equipment finance transactions, the parties involved have the best of intentions. The financier provides the funding for the equipment, while the customer covenants to pay on time, keep the equipment in good working order, carry insurance, and so forth. Unfortunately, a defaulting customer is too common an occurrence, requiring repossession and sale of equipment as a common remedy. While a repossession and sale can make the financier at least partially whole, how does the financier preserve their right to a deficiency balance and ultimately collect it?”
Read the full article by
clicking here (page 68). If you have additional questions about this topic or want to learn more about Weltman’s
commercial collections solutions, feel free to
contact Andy at any time.
This blog is not a solicitation for business, and it is not intended to constitute legal advice on specific matters, create an attorney-client relationship or be legally binding in any way.