Affirmative Defenses and How to Face Legal Action – Navigating Debt Collection

Affirmative Defenses

If a company demands payment of a client’s debt, a common reaction of the debtor within the legal process is that of an affirmative defense, such as payment, or an argument that their work was substandard. This means that the defendant admits nonpayment of the debt and provides a justification for that action. This is legally defined as admitting fault and “[a] the defendant’s assertion raises new facts and arguments which, if true, will nullify the plaintiff’s or the prosecution’s claim, even if all the allegations in the lawsuit are true.” (Black’s Law Dictionary (7th ed. 1999); ) ( Arizona Rules of Court 8( (c)). A business taking legal action against a client may face an affirmative defense on behalf of the debtor. With experienced legal counsel, a business could navigate the legislative waters of debt collection .

What if I’m a company being sued for money I don’t owe?

If you do not actually owe money to another party, although the affirmative defense has the burden of proof, your accuser would have to show how you accumulated the debt. Using an affirmative defense, the opposing party would need to show that you do, in fact, owe them money. This is an effective legal tool for a business that feels victimized by the prosecuting provider of goods or services because they do not actually owe money. However, all affirmative defense cases are different. If you are a business facing litigation or other legal action due to a debt you do not owe, contact an attorney for a consultation to help you decide the right course of action for your situation.

(Please note: While informative, these posts are not intended as formal legal advice and are not fully authoritative and should not be relied upon solely as the primary basis for legal action.)