The Process:
The Assignment Process seems a bit
abstract to many people at first, but it
really quite simple.
Assignment is nothing more than taking
over a legal
claim
or right against a
third party
from another party who previously owned
that right or claim. Another way of
putting it is that an Assignment is
the legal substitution of one person in
another’s place.
Here is an example of a “Cause of
Action” that might be assigned to our
firm:
Mike and Kelli Homeowner decide to apply
for a Home Equity Loan to pay off all
their high interest credit cards. To
their dismay and much to their surprise,
during the process they are informed
that a Mechanic’s Lien has been filed
against their home. Already distraught
over the news, they are then informed
that until they pay the Lienholder the
$1500 he is demanding, they will not be
able to refinance or even sell their
home.
Not knowing where to turn, the
Homeowners consult with a lawyer. The
attorney tells them that it appears that
they do have a “Cause of Action” against
the Lienholder and that they can sue
him. However he then gives them the bad
news. They find that his fee to sue the
Lienholder will cost them upwards of
$2000 and then there are no guarantees
they will win.
Sadly this is not an uncommon
occurrence. Sometimes it may result
from the firing of an incompetent
contractor. Sometimes it may be that a
contractor you hired didn’t pay is
employees. Other times you may not even
have a clue as to who this Lienholder
is.
This is where our firm comes in with a
win-win strategy:
Through our new
Texas Heartland Project,
Mike and Kelli call our offices and
speak with a specialist who
listens to their dilemma. Based on the
conversation, the specialist believes
that the Mechanic’s Lien is not in
conformity with Texas State Law and our
firm agrees to accept Assignment of Mike
and Kelli’s “Cause of Action” against
the Lienholder at no cost to them. The
Assignment Agreements are sent to Mike
and Kelli who execute them and
immediately mail them back to our
offices.
An Assignment has now occurred. In the
eyes of the law, our firm to effectively
stepped into the shoes of the
Homeowners, and assumed their rights to
sue the Lienholder. Any rights that the
Homeowners had regarding this lien have
been assigned to our firm.
Once the agreements are received back at
our offices, a specialist is sent to the
County Land Records Office to
investigate the filings against the
Homeowners’ property. Certified copies
are purchased and assembled, and an
attorney is hired at our expense to
review the documents and render an
opinion. The attorney then files a
lawsuit against the Lienholder and
prepares numerous documents. Shortly
thereafter, the Lienholder receives a
visit from a Deputy Constable who serves
him with the lawsuit and a stack of
various other discovery documents that
must be answered in a timely manner.
Our attorneys then move for a quick
judgment as the Mechanic’s Lien is not
in conformity with the law. After a
favorable ruling an Order releasing the
lien on Mike and Kelli’s property is
entered into the County Land Records,
and they are free to refinance or sell
their home. The damages that would
normally have been awarded to the
Homeowners, had they decided to hire
lawyers and sue on their own, were
assigned to us by Mike and Kelli. This
is how the firm is compensated for the
overhead, employee salaries and
remaining attorney’s fees.
If you received a letter from us
regarding a Mechanic's Lien or other
Cause of Action,
Contact Us
now at 972-617-7131.
Frequently Asked Questions Page