We assist businesses across the world with the recovery of all types of debts throughout Japan. A lawyer is more effective than a debt collection agency as we have more options, including freezing injunction (kari sashiosae) and enforcement of a judgment.
In 83% of successful cases at Miyake Law, however, debts are settled out of court without judicial intervention. This is because debtors know what a lawyer can do, and it therefore often makes sense to settle a debt amicably in terms of time and costs for debtors too.
The 4 stages of our debt collection involve:
We collect the basic information about the debtor company on the companies register and the Internet.
Optionally, you may instruct us to make asset searches before starting to work on collecting your debts.
2. Demand letter
We send a demand letter to your debtor by post and email, whereby to let them know (i) the case has been formally passed to the attorney’s hand and (ii) it will be brought to a court if the debt is not settled.
The Japanese Civil Code allows a 3% statutory interest rate to be applied to any claim.
3. Issuing proceedings
If your claim is about an unpaid invoice that is not disputed, we will file a motion for ‘demand for payment (shiharai tokusoku)’ with a Summary Court via the online system whereby you will obtain a writ of execution in 4 weeks, unless the debtor files an objection.
If the debtor disputes your claim at any point, this becomes a dispute resolution rather than a debt recovery in our words.
Once a writ of execution such as a judgment has been obtained, it is then possible to enforce that debt. Where enforceable assets are not found or insufficient, asset disclosure is optionally available at this stage.
Our debt collection services optionally include:
- Company credit report (via Teikoku Databank and/or G-Search)
- Asset search
- Freezing injunction (kari sashiosae)
No recovery, no fee
We act on a ‘no recovery, no fee’ basis, consisting only of a success fee ranging 10-20%, to collect undisputed debts.
If the debtor disputes your claim at any point, however, this will fall outside of our debt recovery service as this will be deemed a dispute. We can still offer you our dispute resolution service.
- ¥5,000,000 or less
- ¥5,000,001 - ¥50,000,000
- ¥50,000,001 or more
- 15% + ¥250,000
- 10% + ¥2,750,000