Collecting From Evicted Tenants
Thursday, January 14th, 2010
Great title, lousy article. At least that is how many of you will feel when you read this hoping to find an easy way to collect money from tenants you have evicted. Although some people have had success with collecting money from evicted tenants, unless the outstanding amount owed is over a couple thousand dollars you may be better off letting it go.
The time and energy you waste trying to collect could probably better serve you by spending extra time finding and screening for exceptional tenants to replace the less than stellar former inhabitants. For those of you looking to collect, though here is some information to help you with the process of either garnishing a former tenant’s wages, or potentially seizing tenant’s assets to pay outstanding deb.
If you are planning on doing this yourself, here is the link to the governments PDF on Getting and Collecting a Writ of Enforcement in Alberta. This 40 page document (yes 40 pages!!) walks you through the various forms and processes, but most importantly, it says this.
“Legal enforcement of a Judgment is often complex and difficult. Many aspects of creditor law and legal procedure have not been explained in this brochure. Court employees are not allowed to give you legal advice. Please consult a lawyer if you have any questions.”
They also include the phone number for the Lawyer Referral Service sponsored by the Law Society of Alberta which is 1-800-661-1095 or can be found at this link, Law Society of Alberta Lawyer Referral Service. You can receive up to half an hour free legal counsel by using this service. Once you have received some advice you can decide at that point whether to pay for additional advice or whether it may be worth it for you.
Due to the complexity, the other option is to have one of the collection/bailiff services do the process for you. Costs for this start at about $700 and can move upwards for additional services, so be sure you are receive a breakdown of what the potential charges will be prior to committing to anything.
Also, this is different from simply sending the tenant to a simple collection agency that attempts to collect outstanding money for a percentage of the debt. Companies like Foster and Co, Kurseshi and Company or Serv-it offer the full service of going through the courts and garnishing wages and can offload the time you would spend on the process.
If you have had experience collecting, or attempting to collect from former tenants, we would love to hear your thoughts on the process.
