Credit Today is the fastest growing publication in the credit field, favored by more and more top credit executives. We cover the world of business, or trade credit, with concise, yet in-depth, reporting. We also publish the most in-depth salary survey in the industry, covering all major credit positions.Credit Today is the fastest growing publication in the credit field, favored by more and more top credit executives. We cover the world of business, or trade credit, with concise, yet in-depth, reporting. We also publish the most in-depth salary survey in the industry, covering all major credit positions.   
Home    Credit Jobs!    Your Account    Search    Resource Directory    Contact    Member Area
 Join Us
We invite you to join our private Members-only Online community and senior level credit executive forum. Click here to learn more.
 Top Resources
Benchmark Central
Best Practices
Checklists
Discussion Forum
Downloads
Job Description-o-matic
 Departments
Bankruptcy Issues
Collections Today
Credit Cards
Credit Dept Profiles
Credit Mgmt Today
Credit Scoring
Deductions Today
Financial Analysis
Fraud
Glossary of Terms
HR Issues Today
International
Legal Issues
Resale Certificates
Resource Directory
Technology Today
Tip of the Week
Unclaimed Property
Outside the Box
Press Releases
 Special Reports
Tech Buyer's Guide
Staff Benchmarking
Salary Survey
Book Store
 About Credit Today
Ad Signup
Media Kit
Mission Statement
Most Popular
Your Account
Member Benefits
Sample Articles
Testimonials
About our ListServ
Forum Signup
Submissions
Tell a Friend
Our Staff
Editorial Advisors
Contact
 Sponsors

Our Subscribers Say...

I think Credit Today is fantastic. You cover many practical topics in the credit field that I use regularly. Just one recent example—a conversation on the ListServ about preferential payments—gave me tips that I used in an actual case. The specific information I picked up from this one discussion saved me $10,000, enough to cover my membership for many years!
- Steve Savino
Manager of Credit & Collections, ASSA Abloy Americas Division, New Haven, CT

Credit Today's Resource Directory and their online e-mail forum (ListServ) provide information on almost any credit-related topic you can think of. It is a great way to exchange information with other credit professionals. As the saying goes, "You don't know what you don't know."
- Scott Goen, Credit Manager, Big Lots Stores, Inc., Wholesale Division

"We've recently started using the ListServ tool within Credit Today. This is phenomenal and powerful forum for gaining immediate feedback, ideas, and suggestions, relative to any credit topic under the sun, all in a real-time e-mail format."
-Javier Vela, Senior Credit Manager, Global Credit Services, JDA Software Group Inc.

"Being a part of the Credit Today online community is like having the expertise of hundreds of credit managers at your fingertips. These credit execs are willing to help you solve topical business issues as they arise. In the current environment of ever increasing competing priorities which reduce our opportunities to meet peers out of the office face-to-face, this is the most valuable tool you can have on your desktop! It's important that we have a mechanism to reach out to our counterparts quickly to exchange knowledge as well as to stay on top of industry trends."
- Victoria Artis, Director of Customer Financial Services, Pfizer, Inc.

"Over the last 10 years I've seen Credit Today evolve from a monthly credit publication into a quality source of information and guidance for the B2B credit community. The website, with its user friendly form downloads, will take you from examples of new account credit applications to bankruptcy forms and everything in between.

The Credit Today ListServ has become the pre-eminent online forum, providing an opportunity for discussion and comments (and occasional humor) from an impressive list of credit professionals."
David Dungan, Director of Credit
Justin Brands, Inc. (A Berkshire Hathaway company)
Fort Worth, Texas

"There are numerous credit periodicals available to the credit professional today. How good is Credit Today? Is it relevant? I always have to read it late, or online because my credit analysts want to read it the minute it comes in. When my staff wants to read a publication before I have a chance to read it then something is working in that publication. We have cancelled our other subscriptions. When you have the best you do not need the rest."
Ron Woods
Corporate Credit Manager-World Wide
Thales Navigation, Inc.

"The newsletter, coupled with the website and the ListServ, are to us, more valuable than any other credit publication, bar none. I try to use at least one article out of each newsletter for departmental training/discussion sessions."
D. Mark Constantine
Corporate Credit Mgr
Fulton Paper Company

"I love Credit Today and read every issue cover to cover. For me, the greatest perk of a subscription is ListServ. I believe Credit Today's ListServ members may be the most knowledgeable Credit brain trust in existence today. I have saved and categorized hundreds of contributions on a wide variety of topics which I refer to often. It's an easy and cost effective way to network and learn."
Doug M. Thomas
Kimberly-Clark Customer Financial Services

DNBi
<a href="http://www.bandblaw.com/index.php?page=attorneys#brad" target="_blank">Bradley Blakeley, Esq.</a>


Writ of Attachment -- One of the Most Powerful Tools in the Creditor's Toolbox

March 16, 2009, By Bradley Blakeley
Printer-Friendly Format

The following article appeared in the Spring 2009 issue Blakeley & Blakeley's Trade Creditor's Quarterly.

Creditors seeking to collect on a delinquent account often find themselves waiting six months or sometimes much more for entry of a judgment before they can collect. However, in most states, creditors can take advantage of the state's prejudgment remedies to elevate their status from an unsecured creditor to secured creditor in the interim while they seek their judgment.

Attachment is a prejudgment remedy that allows a creditor to assert a lien on the debtor's assets until final adjudication of the claim sued upon. To obtain a writ of attachment, the creditor must follow statutory guidelines in applying for the attachment and establish a prima facie claim, and the court is required to make a preliminary determination of the merits of the dispute. This will usually cause the debtor to reevaluate its position, facilitating early settlement of the case. It will also give the creditor a preview of the debtor's potential defenses to the case.

There are risks to consider. Attaching a debtor's assets may precipitate bankruptcy. If this occurs within 90 days after the writ is levied, the attachment lien terminates automatically and the creditor is relegated to unsecured status. Also, if the creditor ultimately loses the claim on which the attachment was based, it can be sued for wrongful attachment.

States have very different standards for the issuance of a writ of attachment. Some states take a conservative approach and will only issue an attachment against a foreign debtor, or where the party is a victim of a crime, or where the debtor with intent to defraud his creditors or frustrate the enforcement of a judgment that might be rendered in the creditor's favor, has assigned, disposed of, encumbered or secreted property, or removed it from the state. However, other states, including California, allow the issuance of an attachment if the claim sued upon meets the following requirements:

  • A claim for money . . . based upon a contract, express or implied";
  • Of a "fixed or readily ascertainable amount not less than $500";
  • That is either unsecured or secured by personal property, not real property (including fixtures); a
  • That is a commercial claim.

Because attachment lies only on contract claims, a creditor with alternative tort and contract claims based on the same set of facts (e.g., for the value of property obtained by fraud) "waives" the tort claim by obtaining a writ of attachment, so special consideration must be given if such claims exist.

Procedurally, the attachment is made through an application and hearing. Generally, attachments may be heard according to standard notice procedures. However, in California a creditor may move the court on an ex parte, or emergency basis, provided the creditor demonstrate "great or irreparable" injury to the creditor if the matter is heard on regular notice. This normally requires a showing that the property to be attached will disappear or be harmed pending a noticed hearing. Great and irreparable injury is deemed established, without further showing, in cases involving a bulk sales notice or liquor license escrow. Irreparable injury may also be inferred where the creditor files detailed affidavits showing the debtor is insolvent in the bankruptcy sense (failing to pay when due debts as they come and not subject to bona fide dispute). This is typically done by showing that the debtor has failed to pay other creditors or has ceased operating. At a minimum, many courts will grant an ex parte temporary protective order that prevents the debtor from transferring assets outside of the normal course of business pending a noticed hearing on the application for writ of attachment.

As for property to attach, all property within California held by a corporation, partnership or unincorporated association is subject to attachment if there is a statutory method of levy for the property. Practically speaking, the creditor will often look to levy on the debtor's bank account, accounts receivable or inventory. Property belonging to an individual, such as guarantor, is subject to attachment only if it falls within one of the categories such as real property, money, securities, etc. All other property belonging to an individual is exempt. Once attached, the property is taken into the possession of the sheriff or marshal. As set forth, an attachment can be in essence a preview of things to come in the creditor's attempt to collect on that delinquent account -- a method to shortcut through what can be a long and sometimes fruitless process in obtaining a judgment. While sometimes expensive and somewhat risky, the writ of attachment may be the way to create leverage and get yourself paid.

Bradley Blakeley, Esq., earned his bachelors degree from Loyola University, Los Angeles, California, and his law degree from Santa Barbara College of Law (J.D.). Practice areas he specializes in are: commercial law and bankruptcy litigation.

He can be reached at bblakeley @ blakeleyllp.com.


Printer-Friendly Format
·  The Best Practice Series: Installment 6: Treatment Plans Should Address All of the Collection And Dispute Scenarios in Your Receivables Portfolio
·  Competing Liens and PMSIs
·  Solving Collection Problems Before They Happen
·  Commercial Credit and the Recession: Collection on Your Delinquent Account (and Preserving the Trade Relationship) Using a Repayment Agreement
·  Forum Question: Impact of Purchase Money Security Interest (PMSI) on Our UCC Filings?
·  ListServ: Lien filings - Extend to Subsidiaries or Not?
·  Landlords' Liens Can Spell Trouble for Trade Creditors


CreditSafe Credit Reporting

 Most Read
Members only, today...
Members-only, this month...
 Credit Jobs Today
 This Month's Survey

2014 Extended Terms Survey

This month's survey takes a look at:
  • The extent to which customers are demanding longer terms ("their" payment terms, rather than your selling terms)
  • Who approves any requests for longer terms
  • Whether companies have formal policies in place to handle such requests
  • How far terms are being extended
  • What strategies are used by companies when these requests are received
  • Whether credit managers' own companies are also seeking longer terms from THEIR suppliers (and what we can learn from that)
If you're as interested in these results as we are, then please click here to participate!

 Credit Calendar
Previous Month August 2014 Next Month
S M T W T F S
          1 2
3 4 5 6 7 8 9
10 11 12 13 14 15 16
17 18 19 20 21 22 23
24 25 26 27 28 29 30
31