SBA Loan Default and Military Retirement Offset
Contact Protect Law Group today at (888) 756-9969 or at www.sba-attorneys.com for your consultation about your SBA loan default.
Contact Our SBA Attorneys for Nationwide Representation of SBA and Treasury Debt Problems
Book a Consultation CallAs a leading law firm in the field of SBA and Treasury debt collection cases, Protect Law Group offers top-notch litigation and negotiation services before the SBA Office of Hearings and Appeals (OHA). Our SBA OHA attorneys are well-versed in the complex federal laws and regulations surrounding these matters and have extensive experience representing clients throughout the United States. Whether you are located on the West Coast, Southwest, Mountain West, Midwest, Great Plains, East Coast, Northeast, Appalachia, the South, Alaska or Hawaii, our SBA OHA attorneys, who are authorized by the Agency Practice Act (5 U.S.C. § 500), can represent your interests against the U.S. Small Business Administration and their team of Trial Attorneys from the Office of General Counsel. Contact us today if you need assistance challenging an SBA Program Decision before the SBA OHA.
We prosecute SBA Debt Collection cases involving SBA 7(a), 504, COVID (PPP, EIDL), and 7(b) Disaster loans. Our SBA OHA Attorneys can appeal certain SBA debt collection cases and property deprivation issues through litigation. Our SBA OHA Attorneys can evaluate the facts of your case, research legal issues, assess the prospects of resolution and, if applicable, prepare an Appeals Petition in response to proposed administrative offsets against federal benefits (such as Social Security Income or Disability), federal salary offsets, federal contractor pay, military salary, pension and annuity pay offsets. Be advised that an Appeals Petition is accepted at the sole discretion of the SBA OHA and the presiding United States Administrative Law Judge (ALJ).
The Office of Hearings and Appeals (OHA) is an independent office of the Small Business Administration (SBA) established in 1983 to provide a quasi-judicial appeal of eligible SBA Program Decisions. The SBA OHA has jurisdiction to conduct proceedings in the collection of debts owed to the SBA and the United States under the Debt Collection Act of 1982, the Debt Collection Improvement Act of 1996, and 13 C.F.R. Part 140. The SBA OHA is on the Eighth Floor of SBA headquarters above the Federal Center SW Metro Stop. Their address is 409 Third Street, SW, Eighth Floor, Washington, DC 20416.
Aggressive collection of SBA debts has increased considerably in recent years. Understanding the SBA OHA appeals process requires experienced SBA OHA Appeal Attorneys who know and understand government contracts, federal regulations, including the nuances that may arise if the SBA tries to deprive your property without due process of law. You have the right to challenge administrative offset, federal salary offset, military pay offset, military pension, or annuity offset due to an SBA loan default. If you receive the SBA's Notice where federal salary offset, federal contractor offset or administrative offset is proposed, you have the opportunity to present evidence to OHA (13 C.F.R. §140.3(e)(1)). To have a hearing before OHA, you must request a hearing by filing an Appeals Petition within fifteen (15) days of receiving the Notice of Intent to Offset (13 C.F.R. §140.3(e)(1)). Therefore, time is of the essence and you will need to contact experienced legal counsel for assistance.
Understand that time deadlines must be met to pursue your right to file an Appeals Petition in response to an eligible Notice of Offset. If you fail to act within the regulatory time frame from receipt of the Notice, you can damage your opportunity of having your Appeals Petition accepted and heard by the SBA OHA on jurisdictional grounds. With several years of experience focusing on SBA debt collection cases, our SBA OHA Appeal Attorneys can help SBA debtors navigate the maze of complex issues governing SBA rules, regulations and appeals.
Our SBA attorneys can help with the following:
The Office of Hearings and Appeals (OHA) is an independent office of the Small Business Administration (SBA) established in 1983 to provide a quasi-judicial appeal of eligible SBA Program Decisions. The SBA OHA has jurisdiction to conduct proceedings in the collection of debts owed to the SBA and the United States under the Debt Collection Act of 1982, the Debt Collection Improvement Act of 1996, and 13 C.F.R. Part 140. The SBA OHA is on the Eighth Floor of SBA headquarters above the Federal Center SW Metro Stop. Their address is 409 Third Street, SW, Eighth Floor, Washington, DC 20416.
Aggressive collection of SBA debts has increased considerably in recent years. Understanding the SBA OHA appeals process requires experienced SBA OHA Appeal Attorneys who know and understand government contracts, federal regulations, including the nuances that may arise if the SBA tries to deprive your property without due process of law. You have the right to challenge administrative offset, federal salary offset, military pay offset, military pension, or annuity offset due to an SBA loan default. If you receive the SBA's Notice where federal salary offset, federal contractor offset or administrative offset is proposed, you have the opportunity to present evidence to OHA (13 C.F.R. §140.3(e)(1)). To have a hearing before OHA, you must request a hearing by filing an Appeals Petition within fifteen (15) days of receiving the Notice of Intent to Offset (13 C.F.R. §140.3(e)(1)). Therefore, time is of the essence and you will need to contact experienced legal counsel for assistance.
Understand that time deadlines must be met to pursue your right to file an Appeals Petition in response to an eligible Notice of Offset. If you fail to act within the regulatory time frame from receipt of the Notice, you can damage your opportunity of having your Appeals Petition accepted and heard by the SBA OHA on jurisdictional grounds. With several years of experience focusing on SBA debt collection cases, our SBA OHA Appeal Attorneys can help SBA debtors navigate the maze of complex issues governing SBA rules, regulations and appeals.
Our SBA attorneys can help with the following:
Clients personally guaranteed an SBA 504 loan balance of $337,000. The Third Party Lender had obtained a Judgment against the clients. We represented clients before the SBA and negotiated an SBA OIC that was accepted for $30,000.
Client's small business obtained an SBA COVID EIDL for $301,000 pledging collateral by executing the Note, Unconditional Guarantee and Security Agreement. The business defaulted on the loan and the SBA CESC called the Note and Guarantee, accelerated the principal balance due, accrued interest and retracted the 30-year term schedule.
The loan was transferred to the Treasury's Bureau of Fiscal Service which resulted in the statutory addition of $90,000+ in administrative fees, costs, penalties and interest with the total debt now at $391.000+. Treasury also initiated a Treasury Offset Program (TOP) levy against the client's federal contractor payments for the full amount each month - intercepting all of its revenue and pushing the business to the brink of bankruptcy.
The Firm was hired to investigate and find an alternate solution to the bankruptcy option. After submitting formal production requests for all government records, it was discovered that the SBA failed to send the required Official 60-Day Pre-Referral Notice to the borrower and guarantor prior to referring the debt to Treasury. This procedural due process violation served as the basis to submit a Cross-Servicing Dispute to recall the debt from Treasury back to the SBA and to negotiate a reinstatement of the original 30-year maturity date, a modified workout, cessation of the TOP levy against the federal contractor payments and removal of the $90,000+ Treasury-based collection fees, interest and penalties.
Clients' 7(a) loan was referred to Treasury's Bureau of Fiscal Service for enforced collection in 2015. They not only personally guaranteed the loan, but also pledged their primary residence as additional collateral. One of the clients filed for Chapter 7 bankruptcy thinking that it would discharge the SBA 7(a) lien encumbering their home. They later discovered that they were mistakenly advised. The Firm was subsequently hired to review their case and defend against a series of collection actions. Eventually, we were able to negotiate a structured workout for $180,000 directly with the SBA, saving them approximately $250,000 (by reducing the default interest rate and removing Treasury's substantial collection fees) and from possible foreclosure.
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