Maximizing Your Revenue Stream
Minimizing Your Legal Costs
Pre-Suit
Evaluation
JH&A always wants its clients to bring the firm their business ideas and problems (if any). While the firm may not always deem it advisable to pursue an action on behalf of the
client, it wants the client to think of the firm as its trusted confidant and business adviser. The first fifteen to thirty minutes it takes to present and discuss an issue with counsel are always free. We like to make efficient use of our time, so please have the documents listed in the 'Checklist' below ready to submit before we begin our consultation.
What a Pre-Suit Evaluation primarily does is make predictions (some would say 'educated guesses') as to what the likelihood is for:
- Winning your lawsuit;
- The cost(s) that will be incurred along the way;
- The likelihood of getting paid on a judgment;
- and, although we all don't like to think this could be possible
- Potential exposure if your lawsuit should lose.
Think of it as a Return on Investment Evaluation.
When you provide JH&A the needed information. the firm will give you its assessment of the above. Along with that, should the firm wish to take your case, it will submit a proposed fee structure. This fee structure may be on an hourly basis, a contingency fee basis, or some mix of the two - all depending upon the apparent risks of pursuing the case against a projected benefit.
The most basic items we need to evaluate an unpaid invoice case are:
- The underlying contract for services or goods (if any). If you don't routinely have something like this, we should discuss getting that set up. Even a few extra sentences in your initial service order form can go a long way toward protecting your ability to collect.
- Any and all invoices and records of payment (if any).
This is often enough to get started on a sworn account (unpaid invoice) lawsuit. However, to perform a full evaluation of your potential return on investment, more is needed. Many times, the debtor will try to claim that the underlying contract was not performed, that services or goods were not provided in accordance with the terms of the contract. This sort of claim not only lessens your ability to win your lawsuit, it also creates the possibility of a counter-suit and a judgment you might have to pay. We should prepare for this potential fight before we initiate your lawsuit.
To prove you did your part of the contract you will need:
- All materials and subcontractor invoices involved;
- Copies of all communications with the debtor (texts and emails - phone records with at least dates, time, and duration of calls)
- Internal communications regarding the project
- Any project pictures, surveys, evaluations or inspections (internal or third party).
With all that together, JH&A and the client can make an informed determination whether further pursuit of the claim is a good decision.
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