The problems were many. They had no way of paying such a debt and the US Attorney handling the case was incredibly rigid, uncompromising and unwilling to even consider a discounted payoff or resolution, nor would he even allow a term payment agreement so the men could service the debt over time. Furthermore, their resources were extremely strained and the legal fees were also wiping them out.
Bankruptcy was not an option for a variety of reasons so they were in a jam.
However in their desperate search for an answer, they came across Second Wind Consultants and our web site and blog.
I listened to their story and suggested it was not too late and that our strategies could work this out successfully, so they retained our services and off we went, hell bent for victory.
I have written in a previous post about the incredible resistance the US Attorney put up, even refusing to deal with us at all. Additionally at the required pre-trial settlement conference despite significant financial disclosure the US Attorney glibly stated he believed, having reviewed the financial information, that each man could individually handle the pay off of the full amount of the debt, $1.2 million.
This was indeed going to be a challenge.
Our attorney had me qualified as an expert, so my opinion would be acceptable in Federal Court as evidence. My team went to work and produced the presentation we typically design for SBA workouts and I went to court ready to do battle.
A battle it was and in the end the Judge applauding our presentation and awarded us a total victory as follows:
$25,000 per man up front, $15,000. Payable over time, to be worked out with the US Attorney, reducing a $1.2 million dollar debt to $1,080,000. Ten cents on the dollar. A little more than what we like to pay but under the circumstances, a terrific resolution.
The best part of the event was the comments made by the judge noticing the professionalism and passion we demonstrated on behalf of our client. He stated 'there should be more like us doing the job we are doing.'
I will proudly continue to tell everyone who calls us, that we reach a satisfactory conclusion 100% of the time.
Published by Don Todrin
Donald Todrin is the CEO and Founder of Second Wind Consultants, Inc. who specializes in SBA Loan Workouts, business debt forgiveness and solving difficult business problems in general. Don has authored... View profile
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