01. Confirm the debtor’s identity
Check the name on the agreement, purchase order and invoices. A trading name, corporation and individual are not interchangeable. If you believe someone personally guaranteed payment, locate the signed guarantee and provide it for review. Do not assume that a director is personally responsible simply because they handled the transaction.
02. Reconcile the balance
Create one ledger showing invoices, credits, payments and the remaining principal. Keep proof that the work or goods were supplied and any written acceptance. Identify disputed items separately. If you claim interest or collection charges, provide the contractual wording or other basis rather than simply adding a percentage to the total.
03. Preserve the response to your demands
Save payment promises, complaints, proposed instalment plans and explanations for non-payment. Those records may identify the real dispute and evidence requiring attention. Keep settlement communications organized and tell your lawyer how they arose so their proper treatment can be assessed. Avoid public accusations or pressure directed at unrelated people.
Discuss your documents and next steps with Giri Legal.
Schedule a consultation04. Assess the forum and economics
Ontario’s Small Claims Court monetary limit is $50,000, excluding interest and costs. The amount is only one part of choosing a proceeding: the remedy, parties, location and legal issues also matter. Ask about filing and service expenses, legal fees, likely contested steps and whether the debtor appears able to pay. Recovery should be assessed against the time and cost involved.
05. Do not let follow-ups replace a deadline review
Repeated reminders can consume months without resolving the debt. Have limitation periods and contractual requirements checked before relying on another promise to pay. If an instalment agreement is proposed, seek advice on documenting it and on what happens if a payment is missed. Bring the complete payment history to the consultation.
Your document checklist
- Correct legal name and known address of debtor
- Contract or written payment terms
- Invoice and payment ledger
- Evidence of delivery or completed work
- Any guarantee and repayment proposal
Official resources
Resources are provided for further reading. Rules and legal rights depend on the applicable law and the facts; confirm current requirements before acting.