Suing a Customer for Nonpayment

If you find yourself in the unfortunate, but common, situation where a customer or client has not paid you for services rendered or for merchandise already delivered, you have several options:

• Make a final demand for payment;
• Take legal action by filing a lawsuit in small claims court if the amount owed to you falls within the limited amounts allowed; or
• Take legal action by filing a lawsuit in civil trial court.

Any legal action you take against a customer would typically be filed in the county in which the customer resides or does business.

Make Final Demand for Payment.
If a customer or client has not paid you, after repeated attempts to collect payment, your final option before suing should always be another attempt to obtain payment. This can be accomplished by sending a final demand letter to the customer or client demanding that payment be made. It is surprising how often the final letter is successful. Sometimes it just takes one more demand to receive payment. It is always a good idea to try one more time to be paid. And if you ultimately decide to take legal action, you may be asked whether you made a final attempt to settle your matter before going to court.