Q: Can creditors get together to request a collective Debtors Exam? Can they subpoena more than one person or LLC at once?
There is a group of people with 9 judgments, that total several million dollars, and name either the husband or wife and/or one of three LLC's they operate. They are spread over four counties and three courts. No one in the group has received any payment on the judgments whatsoever yet, the couple, who've since absconded to Colorado, are known to be making substantial payments on land contracts they still maintain here in Michigan. A recent 3 week period saw them make payments on the land contracts that totaled over $80K. Meanwhile, folks with legit judgments get nothing. The thought is that collectively serving a debtors exam would force them to open ALL books at once and make the shell game they're playing ineffective. The creditors are thinking there'd be more answers revealed if they filed for a joint debtor's exam. Is this a thing? Should we register judgments in Colorado and pursue it through their courts? I should also say the husband has a current bankruptcy case open.
A: There is no rule of law restricting creditors from cooperating in their collection efforts. These creditors would benefit from an attorney with experience in collections and bankruptcy.
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