Taking legal action to reclaim a debt can be seen as a last resort, as often just the merest indication that you intend to bring legal proceedings will often be sufficient to make your customers settle. However, should your debt recovery processes fail, there are several points to consider before beginning any legal process.
The court often expects your company to make an effort to resolve your dispute with the other party before your company’s legal action. Therefore a court hearing takes place only after your company has tried to reach an agreement with the customer.