2026
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Arguments That Make Debtors Pay: Lawyers’ Practical Experience
No CommentsNegotiations with debtors are a complex but extremely important process for any business. The effectiveness of communication often determines whether funds can be recovered without unnecessary costs of time and resources. Professional legal practice shows that there are specific arguments that work far better than simple requests or threats. Let us consider the most effective
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Tax Authorities and Accounts Receivable: Risk Areas and Protection Strategy
Accounts receivable are an important component of any business’s financial operations. At the same time, they often attract increased attention from tax authorities. Audits of accounts receivable may result in serious financial and reputational risks. Therefore, businesses should understand the key risk areas and know how to effectively protect their interests during tax inspections. Main
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Allowance for Doubtful Debts: What Businesses Should Know Before a Tax Audit
Creating allowances for doubtful accounts receivable is a lawful financial and tax planning tool provided for by accounting standards. However, tax authorities often view such reserves as a potential understatement of taxable profit. To avoid penalties and additional tax assessments, businesses must understand the legal and tax risks associated with this process. What Is an
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Legal Aspects of Accounts Receivable Management: Advice from Lawyers and Accountants
In any business, accounts receivable are not just a line in financial statements but a vital part of the company’s cash flow. They reflect the amount of money expected from contractors, customers, and other debtors. However, improperly documented or overdue receivables may become a source of legal disputes, tax risks, and financial losses. In this
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Enforcement Proceedings: How to Initiate the Seizure of a Debtor’s Property
Seizure of property is one of the most effective ways to protect a creditor’s interests and ensure the actual enforcement of a court decision. If a debtor avoids repayment, attempts to withdraw assets, or tries to hide property, it is important to act quickly. In this publication, we explain how to impose a seizure on
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State or Private Enforcement Officer: Which One Should You Choose for Effective Debt Recovery?
Obtaining a court decision is only half the battle. The actual recovery of debt directly depends on who will enforce the court decision. In Ukraine, court decisions may be enforced by both state enforcement officers and private enforcement officers. Although their powers are generally similar under the law, in practice their speed, approach, and efficiency
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Procedure for Submitting a Court Decision to the Enforcement Service: Key Steps and Legal Nuances
Once a court decision enters into legal force, the next important step for the creditor is submitting it to the enforcement service for compulsory execution. It is at this stage that actual debt recovery, seizure of assets, or enforcement of other obligations ordered by the court begins. However, enforcement proceedings involve several legal nuances, and
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Effective Debt Repayment Demand: Legal Tips for Creditors
In today’s business environment, debt recovery issues remain highly relevant. Overdue payments, refusal to fulfill obligations, and delayed settlements may lead to significant financial losses and negatively affect business stability. One of the most effective tools for protecting a creditor’s interests is a properly drafted debt repayment demand letter. Such a document may serve not
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How to Properly Draft and Send a Claim Letter: Steps for Effective Dispute Resolution
In any legal dispute, regardless of its complexity, pre-trial dispute resolution through a formal claim letter is an important step. It allows the parties to attempt resolving the conflict without going to court and also serves as evidence of a party’s good faith and legal position. A properly drafted and delivered claim letter can save
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How to Conduct Effective Negotiations with a Debtor: The Role of Mediation in Conflict Resolution
Resolving financial disputes with debtors is one of the most challenging and important tasks for businesses. Conflicts with counterparties are often accompanied by emotional tension, distrust, and the risk of damaging business relationships. However, effective use of mediation can become a key tool for reaching mutually beneficial solutions and avoiding lengthy litigation. What Is Mediation

