What can we do to collect on a business debt?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
What can we do to collect on a business debt?
About 2 years ago, we sold our family business. The new owners agreed to pay a monthly 5% commission on net receipts for 3 years as part of the sale. They have not paid for about 10 months. Can we file a mechanics lien against the company for the amount owed?
Asked on October 5, 2013 under Business Law, Maine
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 11 years ago | Contributor
No, you may not file a lien for a failure to pay commissions as per an agreement of sale. What you can and should do is to sue them for breach of contract, seeking all monies due to you under the agreement.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.