Hot Tub Forum

Original => Hot Tub Forum => Topic started by: Chas on June 04, 2004, 12:37:46 am

Title: Deadbeat
Post by: Chas on June 04, 2004, 12:37:46 am
OK. In all the years I have been doing this, I have never had this problem, but I sure do now. And if any of you can help with advice - especially if you have experience - please do so.

I have a customer who put $3000 down on a spa last year. The total was $8400 for the tub and some patio stuff.

My delivery crew delivered/set up, and then asked for the check. He told them he had set up something with us to bring in a check the following day, and they accepted that and left. (Haven't run into that many liers when it comes to us delivering something like this to a home...)

That's the last dime we have seen out of him. He keeps promising and promising, but does nothing.

I want to go repossess the tub, but I want to do it all legally of course. Don't want to take back the tub and end up getting sued by this creep.

He has told us he is trying to get a refinance - but that is the song he has sung for a year now. That's the reason I haven't turned it in to Transunion or Equifax - I didn't want it to slow down the refinance.

But now???
Suggestions?
Title: Re: Deadbeat
Post by: Shut_Down_Stranger on June 04, 2004, 12:45:13 am
I would have take action a long time ago....

COD is COD...
Title: Re: Deadbeat
Post by: drb on June 04, 2004, 12:52:41 am
If he hasn't paid you by now, he has no intention of paying you.  It's probably worth an hour of an attorney's time, which I would add on to his bill.  I wouldn't go out and play Texas cowboy on your own, unless you know a lot more about that than I do....
Title: Re: Deadbeat
Post by: Mendocino101 on June 04, 2004, 04:04:56 am
Hey Chas...

I think you are going to have a hard time collecting....what is the time frame statute to legaly go after him....if it has passed I would simply go and pick up the spa......
Title: Re: Deadbeat
Post by: Tman122 on June 04, 2004, 05:57:39 am
Consider the 3 grand one years rent and back a trailer in his yard!!!!
Title: Re: Deadbeat
Post by: Brewman on June 04, 2004, 07:14:28 am
Anything in your purchase agreement regarding payments?  You could always try small claims court, at least that won't cost you too much.  You'd probably get a judgement against the guy, which you may or may not be able to collect.  Which ever route you choose, good luck.    
Title: Re: Deadbeat
Post by: wmccall on June 04, 2004, 12:50:11 pm
Quote

I haven't turned it in to Transunion or Equifax - I didn't want it to slow down the refinance.

But now???
Suggestions?


Speaking solely from the consumer's point of view, you have done all you can and since he started with a lie from day 1, I wouldn't worry about messing up his refiance, that may be as big a lie as the first one he told.

I have no idea about the chances of being sued are as you can sue for about anything these days.

Having no retail experience, how much is it going to cost you to repossess?  Contractors have a way of putting leans against homes for work they have been done and not been paid.  I wonder if that is an option, I know I consider my spa a home improvement.
Title: Re: Deadbeat
Post by: Gary on June 04, 2004, 01:24:27 pm
Have your lawyer right him a nice letter. I have had mine do it a few times and it has always worked. After you get the money cross them off your list of customers and as a courtesy let your competitors know. That way the deadbeat will not get help from others and stiff them.

Gary
Title: Re: Deadbeat
Post by: Spatech_tuo on June 04, 2004, 02:27:18 pm
I see 2 choices; you either get a lawyer involved or you get Bruno and Bugsy to stop by in the middle of the night and explain to him what your terms are. I'd probably give the lawyer route a chance first.
Title: Re: Deadbeat
Post by: Mendocino101 on June 04, 2004, 02:33:06 pm
Quote
I see 2 choices; you either get a lawyer involved or you get Bruno and Bugsy to stop by in the middle of the night and explain to him what your terms are. I'd probably give the lawyer route a chance first.



Now wheres the fun in that....Bruno and Bugsy would be far more interesting as well, as being more effective..... ;)
Title: Re: Deadbeat
Post by: jaw on June 04, 2004, 02:37:45 pm
Personally,

I would show up one day, with a dolly, 2 people and a tape measure, preferrably a Saturday.

And just walk around taking measurements.

When the homeowner comes out to ask what is going on, you explain that you are repossessing what is yours as it has not been paid for, and either do this, or give the fellow say til COB the next Monday to give you a Certified check - or CC for the outstanding balance, + legitimate interest.

You get what is yours, either in cash or the tub and you get to make him wet himself.

Oh yea, then you recommend he try out a tub from Colorado.  Perhaps they deserve each other.
Title: Re: Deadbeat
Post by: Spa_Tech on June 04, 2004, 02:55:34 pm
Not that I should be telling anyone how to run their business... But you asked...

First, I would have a no nonsence policy in place. Id make it clear that the balance is to be paid upon delivery. My delivery crew would have explicit instructions to load the spa back up reguardless of circumstances or stories if payment in full is not presented on delivery.

The fact the spa has been in this persons yard for a year presents a problem though. There is no doubt at this juncture that if you attempt to repossess your property, the deadbeat is going to make trouble over it.

In this situation I would have a letter drafted by an attorney sent by certified mail outling what actions youre prepared to take and a timetable of when the actions will be taken.

By law, you cant simply go to the deadbeats house, enter his yard, and take your property out. This would be trespassing (PC 602.8 ) as well as burglary (PC 460) if you must enter the house to access your property without his permission. Were he to call the police, the police would no doubt tell you to leave the spa where it was and instruct you to leave or arrest you if the deadbeat requested it... even though it is your property. The job for the police in this instance isnt to mediate between you, but to protect the residents well being, even if he's in possession of property obtained by fraud.

Since the customer has not paid in full this far out, like drb, I believe he has no intention of remunerating you for your product. Simply requesting payment in full cannot repair the relationship between you and your customer so not reporting him to credit agencies only perpetuates the problem- youre not giving him any incentive to render payment and not preventing him from doing similar things to other retailers AND creditors... After sending your certified letter informing him of your impending actions, I'd send him straight to a collection agency and inform the credit reporting bureaus. Be sure to calulate what he owes you including interest for the past year of non-payment.

Repossesing the spa might take a court order with a civil standby... at least this way you will get your used spa without getting accused or theft or tresspassing.

Good luck in whatever you do Chas... I hope it works out.


Title: Re: Deadbeat
Post by: Chas on June 04, 2004, 04:34:53 pm
Thanks one and all!!

I am so sure he will not have the cash by the Tuesday deadline that I am going to mail the registered letter on Monday.
Title: Re: Deadbeat
Post by: ZzTop on June 05, 2004, 01:57:37 am
Quote
Thanks one and all!!

I am so sure he will not have the cash by the Tuesday deadline that I am going to mail the registered letter on Monday.



Good plan Chas, to do something is better than doing nothing.

I hope you have given him notice to pay or forfiet the tub.

Let us know
Title: Re: Deadbeat
Post by: Electro on June 05, 2004, 03:26:23 am
Chas,

I wish you success.  Deadbeats like this guy likely cause you to have to raise prices for everyone else, to make up for the time and effort that you must put in.

Perhaps it is not practical in your case, but I'd strongly encourage you to send in Bruno and Bugsy.  I have knowledge that this approach is more successful than any other.  Also, you may have to go further with Bruno and Bugsy.  In almost every case, the broken legs usually does the trick.  Unless the culprit is badder than your Bruno and Bugsy, you'll win every time.  This is the law of the jungle.

Lawyers are a waste of time; their success depends on recalcitrant folks who are afraid of the law.  Most bad guys aren't.  They'll try to use the law against you, unless they become afraid to do so. They are afraid of someone bigger and badder than themselves, someone who will hurt them.

Hey, it's a thought!

Title: Re: Deadbeat
Post by: Mendocino101 on June 05, 2004, 09:44:18 am
and the lesson is...DO NOT PISS OFF "MR ELECTRO"....Mr Electro....Have a nice day Sir..... ;D
Title: Re: Deadbeat
Post by: Dave_in_MD on June 07, 2004, 02:36:02 am
Hello all....

I'm a Newbie here just looking for a new hot tub and came across this thread.

1st off, Chas, hell if ya repo the tub let me know I may make an offer for it if its not all slimey from the low life dodger.

Secondly, I had a few problems when my buddy and I started a pool business some years ago with dead beats.  My partner wanted to write "pay me"  ;D in gasoline on a deadbeats lawn one night when times where tough and we where first starting out and $$ was tight.  I have to admit it sounded good at the time.

Cooler heads prevailed and I simply put a mechanics lien on the property at the court house. (Which I included the cost of filing on the property on the lien).

Eventually, as property values increased and folks that thought they burned us tried to sell, they got a surprise and the checks started coming in to settle and request we drop the liens from the real estate agents and homeowners.  I know this advice may depend on the state or county you are in bit just an idea.

Currently I own a marine repair business and I always get at least 50% up front . Special orders like radars and rigging, full price before labor even gets considered.  

Good Luck, Bro!

BTW can anyone recommend a decent spa dealer in MD/VA/DC area?  Not looking to spend a fortune, just to get a decent spa for me and the wife to relax in once and a while.

Regards,

Dave in MD
Title: Re: Deadbeat
Post by: wmccall on June 07, 2004, 06:32:11 am
Quote
Hello all....

I simply put a mechanics lien on the property at the court house. (


Mechanic's lean,  thats what I was trying to suggest, and couldn't think of the name.
Title: Re: Deadbeat
Post by: Chas on June 07, 2004, 08:33:45 am
I have sent a simple collection letter - it should arrive today - as a first step (in writing).

I will await the response - but if I don't have a call from him by tomorrow evening, I will call him and suggest a swap: I'll bring him out a used spa that I have in stock, or one of the floor model HotSpots I'm trying to get rid of - in exchange for my spa and discharging his debt. If he says no, I'll pay my legal eagle to send him a letter - certified of course - and go from there.

I'm guessing this will end up with a lien on his house and a mark on his credit - and hopefully some money coming my way...

Thanks

BTW - I know there are HS dealers in the DC area, but the HS web site is down for maint right now (it's about 5:30 am here in CA) so I can't get the address for you. But go to www.hotspring.com and use the dealer finder by putting in some zip codes around you.
Title: Re: Deadbeat
Post by: doodoo on June 08, 2004, 09:14:45 am
Chas, You are wayyyyyyyyyyyyyyyy toooooooo nice my friend.  I would'nt trade hime an older tub for you new one. He is'nt simply turning his nose at you right now (more like his backside).

I agree on the lien bit as interest gets tacked on with each passing year and you are guaranteed payment at some point in the future. Just make certain that you tell your client what you have done (after you do it and not before). And if he says come and pick it up, charge hime for the use of the tub for the year including depreciation on the tub. Should work out to something close to what he has provide you as a down payment no?  ;)

HEY A MAN'S GOTTA LIVE RIGHT?? >:(