Facing Relentless MCA Debt Collectors in Texas? Hire Cannon Legal PLLC to Fight Back.
If your Texas business is burdened by a Merchant Cash Advance (MCA) and you’re facing aggressive collection tactics, Cannon Legal PLLC is here to provide experienced legal assistance.
MCAs are often presented as quick business funding, but they can quickly lead to onerous terms and aggressive collection methods that threaten to cripple your business. Don’t face MCA debt collectors alone. Cannon Legal PLLC helps Texas businesses fight back against unfair MCA debt collection.
The Texas MCA Debt Trap: Why You Need a Defense Attorney
A Merchant Cash Advance (MCA) is a funding option where a lender provides an upfront sum in exchange for a portion of your business’s future sales. While legally structured as a purchase of receivables and not a traditional loan, MCAs often function like high-interest, short-term financing.
When daily or weekly debits become unsustainable, MCA lenders often deploy aggressive and relentless collection strategies. Cannon Legal PLLC can help you understand your rights and leverage unique Texas consumer protections to level the playing field.
How Cannon Legal PLLC Fights Your MCA Debt
Our experienced attorneys are dedicated to protecting your business and can take decisive action immediately. Cannon Legal PLLC can help you:
- Immediately Stop Harassment: We will send a cease and desist letter to the MCA lender and their collectors, demanding all communication go through us. This can immediately stop harassing and abusive contact.
- Thoroughly Analyze Your MCA Agreement: We will scrutinize your “Merchant Agreement” to identify potentially hidden interest rates, excessive fees, and unfair terms that may violate Texas law, especially noting if it functions as a high-interest loan.
- Negotiate for a Fair Resolution: Our attorneys will engage with the MCA lender or their legal counsel to negotiate a more manageable payment plan, reduce the outstanding balance, or reach a settlement that works for your business.
- Defend Against Confessed Judgments: If the MCA obtained a confession of judgment (COJ) against you in another state, we can analyze its validity and explore options for vacating it or preventing its enforcement in Texas.
- Explore Legal Recourse Under the DTPA: If the MCA lender engaged in misleading or deceptive practices when you entered the agreement or concealed material information, we can pursue claims under the Texas Deceptive Trade Practices Act (DTPA) to potentially recover damages, including economic damages, treble damages, and attorney’s fees.
- Seek Emergency Legal Intervention: In urgent situations involving immediate threats to your business, such as unpredictable withdrawals, we can seek a Temporary Restraining Order (TRO) to protect your assets.
- Protect Your Business Assets: We will advise you on strategies to safeguard your business bank accounts from aggressive, unpredictable MCA withdrawals. We can also leverage the difficulty of collecting from individuals in Texas due to homestead protections and the prohibition on wage garnishment as a bargaining chip in negotiations.
- File Regulatory Complaints: We can guide you in filing complaints with the Federal Trade Commission (FTC) and the Texas Attorney General’s Consumer Protection Division to report abusive MCA conduct and unfair collection practices.
Don’t let aggressive MCA debt collection threaten the future of your business.
Texas MCA Debt Collection FAQ’s
We will discuss the best course of action with you based on your specific situation. In some cases, continuing payments may be advisable, while in others, it may be better to conserve funds while we negotiate.
If the lender engaged in false, misleading, or deceptive practices, you may have a claim under the Texas Deceptive Trade Practices Act (DTPA), and we can help you explore your legal options.
Many MCA agreements require ACH access. If you are in default, they may attempt to withdraw funds. We can advise you on strategies to protect your account, while also considering the potential legal ramifications.
Yes, our attorneys have experience negotiating with MCA lenders to modify payment terms, reduce the outstanding balance, and reach settlements. We can help you tell your story and propose concrete adjustments like reducing daily debits or extending the term.
A confession of judgment (COJ) clause may allow the lender to obtain a judgment against you in another state without a full legal proceeding. We can analyze the COJ and explore options to challenge its validity or enforcement in Texas.
You have the right to tell them to stop. Cannon Legal PLLC can send a cease and desist letter on your behalf to stop the harassment and ensure all future communication goes through our firm.
An MCA is a funding option where a lender provides an upfront sum in exchange for a portion of the business’s future sales. While not technically a loan, they often function like high-interest, short-term financing.
