Remember Not to Forget

One example is when a client gets served with a lawsuit.  “Service” of a lawsuit usually means that a process server has handed the person a copy of a Complaint and Summons.  After service of the Complaint, the client typically has 20 days to file an answer to the Complaint.  If the client fails to answer that Complaint, a default judgment could be entered which can lead to liens being placed on property, garnishing of wages, garnishing of bank accounts, etc. None of these things are good!

Another, somewhat less conspicuous, example is when a small business owner gets a letter in the mail from the Arizona Department of Economic Security (DES).  DES is the unemployment office.  When an employee files for unemployment benefits, DES notifies the employer of the claim for unemployment benefits, and the employer typically has 10 working days from the date of the letter to respond to DES as to why the employee quit or was fired.  If the employer fails to respond to this one letter, DES will decide, without any input from the employer, whether the employee is entitled to benefits or not.   The employer can do very little later if it changes its mind and wants to protest the employee getting unemployment benefits.  Too many small businesses ignore these very important letters.

So the tip for the month is, remember not to forget, and don’t ignore important letters from government agencies!