DEBT COLLECTION
Did you know that in terms of the law applicable in Zimbabwe a School Development Association (‘SDA’) can institute debt recovery proceedings for the recovery of unpaid levies? In fact, the SDA of any government school in Zimbabwe can institute court proceedings in any court of competent jurisdiction for the recovery of any levy which remains unpaid after any due date.
Generally, in an action for the recovery of any levy all that is required by the SDA is a written statement which is signed by the Chairperson or Secretary of the SDA which shows the amount due and owing by a defaulting parent and/or legal guardian.
Did you know that both government and non – government schools in Zimbabwe are not precluded from engaging the services of law firms to assist the schools with the collection of unpaid and / or outstanding school fees and levies? Debt collection for schools in Zimbabwe can be a time-consuming exercise. It is for this reason that there is need for schools to adhere to the law, and have in place adequate and / or efficient debt collection policies in place to assist schools with the recovery of unpaid school fees and levies.
In terms of section 27 of the Education (School Development Associations) (Government Schools) Regulations, 1998 a pupil (student) cannot be refused admission and / or attendance at school or be excluded from any activity which is provided for and / or funded by the School Development Association (‘SDA’) on the sole ground that a parent or legal guardian of a child has failed to pay levies.
Unfortunately, some parents and legal guardians fail, refuse and / or neglect to pay school fees. Due to the fact that unpaid school fees and levies have a significant impact on a school’s budget, many bursars and SDA Chairpersons have had to agonise on ways of collecting school fees.
More often than not independent schools (private schools) and tertiary institutions tend to have in place debt recovery policies. Unfortunately, some parents and legal guardians may still neglect and or fail to pay notwithstanding the policies in place.
It is a fact of life that many school governing bodies are owed various sums of monies by parents and legal guardians. It is important that schools regularly monitor outstanding debts and have adequate and up to date records on the amounts due and owing to the school.
Where a parent or legal guardian has failed to pay school fees or levies, it is important for the school to engage the services of a law firm. The practice of debt collection in Zimbabwe is reserved for law firms.
The typical steps to be followed by a school in recovering unpaid school fees include:
This is a letter which is sent to a parent or legal guardian setting out the cause of action on which the demand is based. This formal letter of demand generally gives the parent or legal guardian five (5) – seven (7) days within which to either enter into a payment plan or to make full payment to the school.
After the letter of demand is served on a parent or legal guardian the school and / or legal practitioners appointed by the school await a response from the parent or guardian. Usually, parents comply with formal letters of demand and pay the outstanding fees or enter into payment plans. It also does occur, that some parents may refuse, fail or neglect to comply with the letter of demand.
In the event that a parent or legal guardian fails to comply with a letter of demand, it is prudent to issue a reminder or second letter of demand inviting the parent or legal guardian to attend at the school to hold a discussion with the bursar or any other staff member responsible for such matters.
If a parent or legal guardian is unable to pay, the governing body of the school should convene and make an informed decision on the way forward. Some parents or legal guardians may not be able to pay school fees due to issues such as ill – health, hardship and / or multiple debts. It is for this reason that the school can also implore alternative dispute resolution mechanisms such as negotiation, mediation and / or arbitration. One of the leading institutions in Zimbabwe in terms of which both governmental schools and non – governmental schools (independent schools) can use as an informal way to resolve non – payment of school fees disputes is the Alternative Dispute Solutions Centre (ADSC) in Harare.
It should be noted that nothing precludes a school from engaging in litigation. Simply put debt collection for schools is not illegal in Zimbabwe. It is legal.
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