We are engaged in international trade. An American customer defaulted on the payment of $860,000 and did not pay. The boss wants to find an international trade lawyer to deal with it What do you recom

We are engaged in international trade. An American customer defaulted on the payment of $860,000 and did not pay. The boss wants to find an international trade lawyer to deal with it What do you recommend? How to deal with the arrears of payment by American customers?

When American customers default on payment, besides finding out the real reason of the other party's default on payment, we also suggest that you know the customer's current credit status at the first time, and then decide on the recovery plan.

1, to clarify the real reason for the payment default.

First of all, when American customers default on payment, we should find out the real reason for their default, and then decide what to do next. We can know the real situation of American customers by asking and investigating, whether it is because of the shortage of funds or the problem of goods, or the poor sales. Only by knowing the real reason why customers are in arrears can we prescribe the right medicine.

2. Understand the credit status of customers at this stage.

Once American customers owe money, it is necessary to know their current credit status. It takes a long time from signing an agreement with American customers to the delivery of goods to the United States, and some new situations may arise for American customers. In addition to professional third-party credit service agencies, enterprises can also check the credit status of customers through contacts in the industry and self-investigation.

3. Make a recovery plan

After we figure out the reasons and the credit status of customers, we can make a recovery plan. At present, there are the following recovery schemes:

(1) Telephone collection

We can remind the debtor to pay by phone. Compared with letters, telephone collection is more difficult to ignore, and the effect of telephone communication is more intuitive in many cases. However, it should be noted that you should not call frequently to collect and bomb American customers, nor should you intimidate or threaten American customers to make repayment. Because the Fair Debt Collection Law of the United States stipulates that frequent phone calls, text messages and emails are prohibited, and even threatening phone calls, text messages and emails are prohibited. In addition, the United States has certain regulations on the number and even time of telephone communication, and it is not allowed to receive it from 9: 00 pm to 9: 00 am, because this is everyone's rest time.

(2) Entrust a third-party agency for recovery.

Enterprises may have problems of high cost and poor effect in collecting money by themselves, so we can entrust a third party to collect money. If the collection is over 3 months and there is no progress, it is best to entrust a third-party agency to collect it. Third-party organizations are familiar with domestic and foreign laws and regulations, and will formulate the most suitable collection plan for enterprises and recover the payment through legal means. Compared with litigation, entrusting a third party to collect money is faster, and there is no execution problem after winning the case.

(3) bring a lawsuit

If the other party operates well, but has no willingness to repay, it is a malicious breach of contract. If the above two means are ineffective, we can bring a lawsuit against the debtor. In the United States, the statute of limitations in most States is four or six years.

A knowledge point is popularized here: American trade arbitration.

In the United States, there are two main ways to solve commercial disputes. First, it can be decided by local courts according to law, and second, it can be done by international arbitration. Generally, the law for resolving disputes shall be based on the applicable law stipulated in the contract, which was agreed by both parties before signing the contract. If an enterprise encounters economic crimes such as fraud and stealing business information in the United States, it can contact the US Federal Bureau of Investigation where the suspect is located to report the case for criminal investigation. If there is an arbitration clause in the contract or a written arbitration agreement is reached, the parties to a business dispute may request international arbitration, including arbitration in different places, which shall be specifically agreed by both parties in the contract.

An arbitral award is different from a court decision. The arbitral award cannot be appealed. Once made, it is final and binding on both parties. Both China and the United States have acceded to the Convention on the Recognition and Enforcement of Foreign Arbitral Awards, which has 146 contracting States and regions. According to the Convention, arbitral awards can be recognized and enforced in these contracting States. In addition, arbitral awards can also be executed in accordance with other international conventions and treaties related to arbitration. For example, if an American customer defaults on payment under normal business conditions, the enterprise can file an arbitration with the China International Economic and Trade Arbitration Commission. After investigation by lawyers, the evidence is conclusive, and generally a successful ruling can be obtained. Since both China and the United States have joined the Convention on the Recognition and Enforcement of Foreign Arbitral Awards, China enterprises can apply to the United States for the recognition and enforcement of arbitral awards, so as to recover the arrears and legal fees smoothly.