MCA Defense in Florida

Florida's rule on powers to confess judgment

Florida Statutes §55.05 makes a power of attorney given before an action to confess judgment null and void. This is more specific than saying Florida courts merely impose extra procedural requirements. Ask counsel to distinguish that issue from a lawsuit on the agreement or an existing judgment from another jurisdiction.

Source checked October 2, 2026. This summary is general information, not an attorney opinion on your contract.

A Florida business with an out-of-state case

Check the caption on the actual court documents. A business operating in Fort Lauderdale may receive papers referring to a different state, and the contract may name another forum. Give counsel the complete agreement, the case number, the filing location, and the date you learned of the proceeding. Do not assume the Florida business address alone resolves jurisdiction or the effect of an out-of-state judgment.

Keep the signed guarantee separate from the business agreement. Ask the attorney to identify which entity or owner is named and which documents need a response. A proposed workout for the business should not leave an individual guarantor's position unexplained.

If a Florida bank account is restricted

Request the bank's written notice and the underlying case or order details. Record which account is affected and whether the restriction is connected to a judgment, levy, garnishment, or another action. These labels matter when an attorney evaluates a response.

Prepare a short operating forecast showing payroll, rent, supplier payments, and the balances currently accessible to the business. It can support a discussion about practical options, but it is not a substitute for an appropriate legal response. Avoid promising vendors a release date before the basis of the restriction has been reviewed.

Prepare the financial side of the review

List every MCA and other creditor, including the outstanding amount claimed, debits taken, payments already made, security documents, and any pending deadlines. Include reconciliation requests and lender replies. Keep a copy of the Florida rule linked above with the file so counsel can explain whether it is relevant to your documents.

Ask whether the immediate priority is responding to a case, evaluating a proposed modification, or comparing a settlement. A creditor discussion does not replace the court response or establish that a claimed balance is correct.

Documents to gather before a review

• Signed MCA agreements, amendments, guarantees, and reconciliation provisions.
• Payment history, bank statements, and the creditor's claimed balance.
• All court papers, service records, case numbers, and response dates.
• Bank restraint notices and correspondence about settlement or modification.

Questions to put to the people handling your file

Confirm who is responsible for each deadline, whether counsel represents the entity or an owner as well, and how legal fees are billed. Ask for the consulting scope and creditor proposal separately. No projected discount or payment reduction is an accepted agreement until the relevant parties document it.

BDI can help organize the financial information for an initial review. Availability, legal scope, and representation must be confirmed with the attorney. We do not promise a particular court result, account release date, or savings percentage.