MCA lenders trap—MCA lenders deceive—MCA lenders destroy. And this stops now. I’ve seen too many businesses nearly collapse because of these predatory agreements. But guess what? We fight back, and we win. You can win. You can fight back. You can beat them—even a partial win is a victory. I’ve seen it, time and time again. We break them down, step by step, clause by clause.
They hide, they lie, they twist. MCA contracts call themselves “receivable purchases,” not loans, but that’s a trick. Courts have ruled them as loans, like in Pear Funding LLC v. Chalme. This is how we begin to unravel their falsehoods. Illinois Interest Act (815 ILCS 205)—my shield in this battle. These MCAs often charge illegal interest rates. 200%, 300%—how do they think they’ll get away with it? Well, they won’t. We don’t let them get away with it.
In New York, we’ve seen rulings where personal guarantees made MCAs loans. It happened in LG Funding v. United Senior Properties. It happens here too—every day, we use those same arguments to win in Illinois. We use those same arguments to win. The non-recourse clause—it’s everywhere in MCA contracts. “Don’t worry,” they say, “If you fail, we won’t come after you.” But they do. They always do. Prove that falsehood, and guess what? You win.
Partial Victories and Negotiation Tactics
A win is a win—sometimes it’s full, sometimes it’s partial. A partial victory isn’t small—it’s breathing room. I helped a Chicago bakery cut its debt by 50%. That’s survival. That’s a win. Negotiate, negotiate, negotiate. Lenders don’t want court—they fear court. They settle. They slash interest rates to avoid a fight. Half the time, they cave when we push. That’s why we push. Time—every second matters. A partial win isn’t just about reducing debt. We restructure payments, stop collections, and buy you time. Time to breathe, time to recover. Time is priceless.
I’ve helped businesses stand again through restructuring. Sometimes a business doesn’t need debt erased—it needs time. And MCA lawyers? We fight for time. We fight to keep you open. Illinois law is the sword we use—grossly unfair contracts won’t stand. Courts invalidate these MCA traps when terms are too harsh. Like in Lakeview v. Merchant Advance Capital—we break down the contracts and expose the unfairness. UCC—the Uniform Commercial Code governs every transaction. MCAs must comply, but they don’t. We expose these violations. We expose them again and again. Section 2-302 on unconscionability? That’s our weapon.
Legal Precedents and How We Win
MCA lenders claim they’re selling receivables. But if there’s no real risk for them, it’s not a sale—it’s a loan. And when it’s a loan, we win. Courts see through the disguise. Precedents—oh, they matter. Look at Advance Funding v. Midwest Transport. The court ruled the MCA wasn’t a sale, but a loan. Same thing we argue, again and again, here in Chicago. Or look at Allied Contracting Services v. MCA Fund. Same story. Courts ruled that the MCA repayment plan was disguised as a loan, and we’ve used this again and again to win in Chicago.
MCA defense lawyers—we see every clause. We know every trick. We fight them with every law we’ve got. We don’t fight just to fight—we fight to win. And we win. Illinois’s Consumer Fraud Act (815 ILCS 505) isn’t just for consumers—it’s for you, too, as a business owner. We use it to protect businesses from MCAs that deceive and overreach. We fight, using the Act. Usury laws—you can’t ignore them. Illinois limits how much interest a lender can charge, and MCAs? They go way over. They think they’re above the law—but they’re not. And we prove it. We always prove it.
Fee Traps, Success Stories, and FDCPA
MCAs love to hide behind fees—fees that trap you. Late fees, penalty fees, fees you didn’t even know existed. We tear down these fees, expose them, crush them. Let me tell you about my Illinois auto shop client. They were buried, completely buried in debt. We slashed their payments in half, extended their terms, and they’re still running today.
MCAs will send you threatening letters—demanding money, demanding you shut down. That’s illegal. We use the Fair Debt Collection Practices Act (FDCPA) to stop them. We shut them down instead. They think their contracts are airtight, but contracts are only as good as the laws they follow. And when they break those laws? We step in. And we win. Every clause is a target.
Turning the Tables and Fighting Back
Small businesses, remember—you can win. These MCA lenders might seem invincible, but with the right attorney, the odds shift in your favor. We turn the tables. We know exactly where to hit. Illegal interest rates, hidden fees, predatory collection tactics—we expose them, over and over again. And when we can’t win it all? We win partially. We reduce debt, we buy time, we get better terms. I’ve helped clients walk away from the brink, alive and still fighting. That’s a win.
Chicago business owners—you don’t have to fight alone. The law is on your side. We fight with the law, we fight with strategy, we fight with every tool we have. And we win. The next step? Get a lawyer who knows these laws, these precedents. We’ve fought this fight before—and we’ve won it. You don’t have to lose your business.