California is the largest US state economy with specific debt collection regulations that apply to both consumer and commercial claims.
The California Rosenthal Fair Debt Collection Practices Act extends FDCPA-like protections beyond just third-party collectors, but primarily targets consumer collection. B2B commercial collection operates largely under the California Commercial Code and general contract law.
4 years for written contracts (Code of Civil Procedure § 337). 4 years for sales of goods (California Commercial Code § 2725). 2 years for oral contracts (§ 339). These are among the shorter limitation periods in the US.
Small Claims Court handles claims up to USD 10,000 (USD 5,000 for businesses). Superior Court handles all civil claims above small claims limits. No separate commercial court system.
Bank levy, wage garnishment, property lien, and till-tap order (seizure of business cash registers). California's Enforcement of Judgments Law provides comprehensive post-judgment tools. Prejudgment attachment available for commercial claims above USD 500 where the claim is based on a contract.
Debt collectors must be licensed in California through the Department of Financial Protection and Innovation. Out-of-state collectors pursuing California debts must also comply.
Our debt recovery agency with over 21 years of experience provides: Business to Business Collections Services, Legal Debt Collections and worldwide Skip Tracing services.
