<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by rocket57:
I have a perfected security interest against a large US corporation. This includes the
filing of several UCC-1 Financing statements in several states where this corporation
does business.
I am preparing to take posession of their corporate collateral to satisfy the outstanding debt.
How do I find out where this corporation does their banking and what their bank account numbers are so I can proceed in the collection process?<HR></BLOCKQUOTE>
My response:
Locating assets: Obviously, the first step is to discover the nature, extent and location of defendant's "attachable" assets (in the case of individual defendants, meaning assets not exempt from attachment.
Depositions or interrogatories? There is no specific authority in the attachment law allowing creditors to depose debtors or propound interrogatories to discover their attachable assets after suit is filed and before issuance of the RTAO order. Some courts have refused to allow such asset-related questions. However, other courts uphold such discovery on the theory the questions are relevant to the subject matter of the litigation (see Ca Civ Pro § 2017(a)).
In any event, discovery of assets after issuance of the RTAO is permitted. [Ca Civ Pro § 485.230]
Determining defendant's equity: Plaintiff may attach only defendant's equity in nonexempt property. Thus, plaintiff should discover whether defendant's attachable personal property is subject to perfected security interests and personal property liens, and whether real property is subject to liens and encumbrances.
Personal property: Many types of security interests, tax liens and judgment liens affecting personal property are filed with the California Secretary of State. However, some liens (e.g., those on vehicles, boats and aircraft) are not so filed.
The Secretary's office will conduct a search and send a report and copies of all liens and effective UCC-1's if plaintiff files a UCC-3 request with the required fee. However, it can take weeks to obtain the report and copies. Faster--but more expensive--service can be obtained from private search companies located in Sacramento, e.g., Data Search, Inc.
Locating assets: Absent direct payment by the debtor, a judgment can only be satisfied out of available, nonexempt assets. Most sophisticated debtors do not volunteer the existence of such property and, therefore, it is your job to find it. Assets may be located through:
· Prelawsuit investigation;
· Information or leads obtained directly from the judgment creditor-client;
· Formal discovery during the lawsuit, e.g., interrogatories, business record subpoenas, document production requests, etc.; and
· Postjudgment examination of the debtor or third persons holding the debtor's property or owing the debtor money.
IAAL
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