Debt Recovery / Collection is crucial to all businesses. A company’s success does not depend on how much business they generated, but on how much payment they managed to collect. Time is of the Essence, especially at this critical moment. Effective recovery starts with quick action.
The Global Pandemic – COVID-19, has definitely made Debt Recovery / Collection more intricate and complex. For those involved in Debt Recovery / Collection, they have to understand the new scenario, which includes: New Excuses, Legal Defences, Government Regulations and Policies, which is the New Normal in Debt Recovery / Collection post COVID-19.
Improving an organization’s Debt Recovery strategies, taking into account the COVID-19 Pandemic, is crucial. Organizations have to revisit, review, rationalize & reorganize those strategies in order to be more apt with the current situation. This will lead to successful Debt Collection and Recovery.
Participants will learn to:
This Live Online / Virtual Training session will be conducted via a Live Streaming Platform in which the trainer will use interactive lecture and slide presentation to cover the modules stated below.
Module 1: Analysing Your Debtors’ Current Status
– Types of debtor – Post COVID-19 & how to deal with / handle them.
* The delaying debtor
* The genuine debtor
* The cashflow or hardship problem debtor
* The ones who never intended to pay (defaulting debtor)
Module 2: Communication And You –
Assessing your personal communication style and how this affects your collection in this sensitive times of COVID-19 Pandemic:
– The Analytical Communicator
– The Intuitive Communicator
– The Functional Communicator
– The Personal Communicator
Module 3: Dealing With Excuses by Clients!
– Common Types of Delay Tactics
– Post COVID-19 new / emerging excuses (which will surface in huge number)
– Are these excuses Government sanctioned?
– Are these excuses due to non-performance of contract?
– Legal defences as excuses?
– How do you handle them?
– How to still collect debts effectively & successfully
Module 4: Negotiating Effectively For A Settlement – Post Covid-19
– Profiling Your Debtors Current Status
– Soft Negotiation
– Hard Negotiation
– Successful Negotiation
– Adopting a Win-Win approach taking into account the COVID-19 Pandemic
– Use the SEF approach
– Strategize your Negotiation
– Explore all Options
– Formulate a New Agreement
Module 5: Understanding Contracts In Collection / Securing Payments And Credit Extension
– How Buyers Can Evade Payment for Breach of Contract due to COVID-19
– Force Majeure
– Frustration of Contract
– Contractual Terms in your Contract
Module 6: Alternative Dispute Resolution
– The Mediation Act 2012
– Advantages & Disadvantages of Mediation
– Arbitration Act 2005
– Advantages & Disadvantages of Arbitration
Module 7: Legal Proceedings to Recover Debts – Post Covid-19
*Statute of Limitations and Statute-Barred Debts
*Capacity of Company to Sue
– Cause OF Action – Post COVID-19
– When Did It Arise
* Status of Client and Its Legal Considerations
– Company (Public & Private), Partnership or Sole-Proprietorship
Module 8: Legal Procedures Involved In Debt Recovery
– Court to decide on Force Majeure in Relation to COVID-19
– Court to decide on Frustration in Relation to COVID-19
– Territorial Jurisdiction
– Originating Processes to Recover Debts
– Service of Documents
– Court Procedures
Module 9: Court Orders and Execution Proceedings / How to recover your debts successfully post COVID-19.
– Summary Judgments
– Attachment Proceedings
– Charging Orders
– Garnishee Proceedings
– Bankruptcy / Winding-Up
– Latest developments in Bankruptcy
– Bankruptcy (Amendment) Bill 2016
– Voluntary Arrangement introduced as a new rescue mechanism
– Stringent requirements for service of bankruptcy notice and creditor’s petition
– Increase of Minimum debt threshold
– Stronger protection for social guarantors
– Leave of court required to commence bankruptcy proceedings against other guarantors
– New list of bankrupts to be allowed for discharge
– Automatic discharge introduced