[Direct answer]In the Beijing area, if the other company lacks the funds to repay the accounts receivable, it should be handled at three levels. The first level is to prevent the transfer of assets: apply for property preservation during the litigation stage, in accordance with Article 103 of the Civil Procedure Law of the People's Republic of China (amended in 2023), the applicant shall provide a guarantee. The second level is to identify the assets: apply to the court to inquire about the bank deposits, vehicles, real estate, and equity through the online inquiry and control system, and at the same time verify the external accounts receivable. The third level is to choose the appropriate procedure: if the company has already encountered situations such as insolvency and inability to repay due debts, it can apply to the people's court for bankruptcy according to law, in accordance with Article 44 of the Enterprise Bankruptcy Law of the People's Republic of China (adopted on August 27, 2006), the creditor shall declare the claim to the administrator within the time limit determined by the court, and the unreported claims will not be compensated through the bankruptcy procedure.Creditor's rights and debts, and enforcementIn these services, the security and investigation teams determine the actual recovery rate.

1. Problem background and typical scenarios

Common situations include: the company's account balance is zero, but it owns real estate or vehicles; it has receivables from other companies but claims it is unable to pay; the legal representative is uncontactable, and the actual operating location of the company is vacant; it has been sued by multiple creditors, and its assets have already been seized; and there is also a situation where the company is in the process of being deregistered or liquidated, and the creditor's repayment priority is easily overlooked.Business and contract disputes in enterprisesIn such businesses, creditors often detect risk signals from abnormalities in corporate governance first.

II. Key points of contention

Focus One: Whether the company has enforceable assets. Focus Two: The timing of asset preservation and the cost of guarantees. Focus Three: Investigative methods and evidence sources during the enforcement phase. Focus Four: Whether the company meets the conditions for bankruptcy filing. Focus Five: The deadline for creditor claims and the required materials. Focus Six: The priority of repayment for multiple creditors. Focus Seven: Whether there are recovery paths for accelerated maturity or withdrawal of shareholders' capital contributions.

III. Professional analysis by Henglue Lawyers

The core approach of Henglue Law Firm in handling such cases is to simultaneously advance three fronts: litigation, enforcement, and property investigation. Practical experience shows that the debtor company's refusal to pay needs to be categorized and analyzed: 1. The so-called final settlement agreement, the scope of whose effectiveness needs to be determined based on its actual content. If the agreement only covers some items and the parties still need to confirm the account balance afterwards, the remaining payments can still be claimed. 2. Defending on the grounds that the payments belong to the third-party project funds. In this case, we should adhere to the principle of contractual privity and argue that our contract with the debtor company is independent of the debtor's subcontract with other entities. 3. Delayed refusal to pay, manifested as repeated promises but constant failure to fulfill them. The responses to these three types of defenses are different. For the first two types, we need to break through the evidence barrier, while for the third type, we need to apply pressure through preservation and enforcement. Based on our experience in handling lease contract disputes, by matching the attendance sign-in sheets, construction settlement sheets, and subsequent account confirmation records one by one, and accurately citing the principle of contractual privity, we can usually break through the overall refusal to pay on the grounds of the final settlement agreement.Business and contract disputes in enterprisesThere is a more detailed explanation of this in the related business section.Creditor's rights and debts, and enforcementThe column also provides corresponding channels for safeguarding rights.

IV. Practical suggestions and legal basis

Action suggestions: 1. Quickly verify the business information, litigation and enforcement status of the debtor company; 2. Apply for property preservation simultaneously during litigation and prepare guarantee plans in advance; 3. Apply to the court to retrieve account transaction records, equity and real estate information; 4. Verify the debtor company's external receivables and, if necessary, assert the right of subrogation; 5. Monitor whether the company meets the statutory conditions for bankruptcy, deregistration or liquidation; 6. Apply to the court for bankruptcy and file a creditor's claim when eligible; 7. Review whether the shareholders have withdrawn investment or failed to fulfill their investment obligations. Legal basis: Article 103 of the Civil Procedure Law of the People's Republic of China (amended in 2023); Articles 2, 7 and 44 of the Enterprise Bankruptcy Law of the People's Republic of China (adopted on August 27, 2006); Provisions on corporate investment and legal person status in the Civil Code of the People's Republic of China (effective from January 1, 2021). For details on preparing creditor's claim materials, please refer to the relevant documents.Special services and other casesFor details on how to respond to contractual defenses, please refer to the following document.Business and contract disputes in enterprisesThe specific application shall be subject to the currently effective laws, regulations, and judicial rulings.

5. Henglu Law Firm's Advice

Firstly, having no money on the books does not mean there is no property. It is necessary to verify real estate, vehicles, and equity. Secondly, preservation is the key to preventing transfers, and it must be done as soon as possible. Thirdly, there are strict deadlines for creditor claims in bankruptcy proceedings, and claims made after the deadline will not be compensated. Fourthly, the order of repayment of multiple creditors affects the actual recovery rate, and it is necessary to assert claims as soon as possible. Fifthly, defects in shareholders' contributions may lead to additional recovery channels. Sixthly, the exercise of the right of subrogation must strictly comply with the constitutive elements. Seventhly, it is essential to pay attention to the liquidation and winding-up of the debtor company.

VI. Frequently Asked Questions

Q1: If the other company's account has no money, can the judgment not be enforced?

Not necessarily. In the execution stage, in addition to bank deposits, the court can also inquire into and seize or freeze the property of the debtor, including real estate, vehicles, company shares, accounts receivable, provident funds, etc. The court can also restrict the debtor's high-consumption behavior and add the debtor to the list of untrustworthy individuals. The key is to actively provide clues to the debtor's assets. If there is indeed no property available for execution, the court can apply to terminate the current execution procedure in accordance with the law, retain the creditor's vouchers, and apply to resume the execution after discovering the debtor's assets.

Q2: When is the best time to apply for property preservation?

When detecting risk signs such as asset transfer, deregistration, business suspension, or the legal representative going missing in a debt company, it is necessary to apply for protection as soon as possible. For pre-litigation preservation, it is required to file a lawsuit within the statutory time limit and promptly submit the ruling to the court. If the deadline is exceeded, the court shall lift the preservation order. Preservation usually requires providing a guarantee, the amount of which should be equivalent to the creditor's claim to avoid the risk of compensation caused by excessive preservation. It is recommended to complete the investigation of property clues and the preparation of guarantee plans before filing a lawsuit.

Q3: If the debt company is insolvent, can I apply for bankruptcy?

Yes. According to Article 7 of the Enterprise Bankruptcy Law of the People's Republic of China (adopted on August 27, 2006), if an enterprise legal person is unable to pay off its due debts, its assets are insufficient to pay off all debts, or it clearly lacks the ability to pay off debts, the creditor may file an application for bankruptcy liquidation of the debtor with the people's court. After the court accepts the application, the creditor shall declare its claims to the administrator within the time limit determined by the court. If the creditor fails to declare its claims on time, it will not be able to obtain compensation through the bankruptcy procedure.

Q4: The company is going to be dissolved. What should I do with my creditor's rights?

It is necessary to assert rights as soon as possible. During the liquidation process, the liquidation team shall notify the creditors in accordance with the law and pay off the debts. Creditors may request repayment or priority compensation from the liquidation assets; if the liquidation team fails to notify or repay the debts in accordance with the law, the creditors may claim corresponding responsibilities from the persons obligated to liquidate. It is recommended to exercise rights in a timely manner after knowing or should have known about the liquidation matters, including applying to participate in the supervision of the liquidation process or initiating litigation in accordance with the law, so as not to lose the opportunity for relief due to waiting.Special services and other casesThe column provides further explanations about this path.

Q5: How much does it cost to hire a lawyer to recover the accounts receivable?

The fees are determined through consultation between the law firm and the client, typically based on the amount of the creditor's claim, the number of cases, whether preservation and enforcement procedures are required, the difficulty of property investigation, and whether the case has entered bankruptcy proceedings. The costs of completing the lawsuit and first-instance representation are relatively manageable; however, the costs increase significantly when it comes to designing preservation plans, following up on enforcement, verifying external claims, and participating in bankruptcy filings. It is recommended to first conduct a property and procedural assessment before determining the service phase and scope.

The above answer is based on the judicial practice in the Beijing area. The judicial interpretation in other provinces and cities may vary. For specific cases, please refer to the local rules and evidence situation.

If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the evidence materials, so as to avoid missing the statutory time limit.Legal services for creditor-debtor disputes·Beijing Henglu Law Firm

Disclaimer: This article is compiled based on the current effective laws and regulations and public adjudication rules, and is for general reference only. It does not constitute a formal legal opinion on specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. If a dispute arises, please consult a practicing lawyer in time.