Debt Recovery
Being a litigation focused firm, we are experienced in handling debt recovery and have helped various corporations and companies in their corporate debt recovery. Our lawyers have considerable experience in all aspects of debt recovery and dispute resolution, including the following
- Issuance of letters of demand
- Enforcement of court and/or tribunal orders, including garnishee orders, examination of judgment debtor and writ of seizure and sale.
- Negotiations with debtors
- Investigation and searches into debtor’s history and assets
- Bankruptcy and Winding up
Our experience extends to recovery of debts of varying quantum and our lawyers have experience litigating at all levels of the Singapore courts. For example, our lawyers have acted for a leading property developer in relation to the recovery of outstanding payments due from different individual purchasers of its properties, and construction companies in relation to recovery of outstanding payment for services rendered to their suppliers.
Our aim for any engagement is to help you recover the debt. This ideally means we recover early, and avoid going to court.
For illustration, we set out below the typical steps of escalation that occur in debt recovery cases.
1. Obtaining your instructions and review of documentation
- We will speak to you to have a full understanding of your current situation so we can advise on the appropriate next steps.
- We will carry out an earlier evaluation to assess any potential issues that may arise and guide you on the options available, timing and costs. For corporate clients, we can also offer you debt management advice on how to improve your terms and conditions and processes.
2. Debtor investigations
- Perform due diligence on the debtor to ascertain the financial capability to pay back any debt.
3. Issuance of Letter of Demand
- The letter of demand is used to provide notice of a party’s intention to enforce their rights, such as the recovery of debt (personal loans or when there has been a breach of a contract in a business relationship). It is also worth noting that if you anticipate that the debtor will breach an agreement or contract, you can also send them a letter of demand.
- To be used (if necessary) in court to provide evidence of a parties attempt to recover the debt prior to bringing the matter to the appropriate court.
4. Communications between debtor and creditor
- We await a response from the debtor after their receipt of the letter of demand. We will support in negotiation between parties where required.
5. Filing of Court Action
- If the letter of demand proves unsuccessful we can then file a claim with the appropriate court. The amount and type of claim will depend on the route taken.
6. Enforcement of Court Order
- Even after a successful court decision, it is possible that the debtor may still not pay up. We will advise on the appropriate next steps to enforce the collection of the debt.
As the process of debt recovery is unique to each situation, the above should not be construed as legal advice. Our lawyers will advise you on the appropriate steps as part of your consultation with us.