How to Enforce a Judgment: A Practical Guide for Creditors

Winning a lawsuit is an important step toward resolving a legal dispute, but it doesn’t always mean the matter is over. If the losing party fails to pay, you may need to take further legal action. This process is called judgment enforcement, and it ensures that you receive the money awarded to you by the court.

Whether the judgment is against an individual or a business, enforcing it requires following certain legal procedures. In most cases, you’ll need the help of a marshal or similar officer to carry out these actions.

This guide explains how to enforce a judgment, the role of a marshal, and how a judgment may affect a debtor’s credit.

What is the Enforcement of a Judgment?

The enforcement of a judgment refers to the legal process of collecting a monetary award that has been ordered by a court. After winning a case, the court will issue a judgment that says the other party owes you money. However, courts do not collect payments on your behalf.

As the judgment creditor, it becomes your responsibility to use available legal tools to collect the debt. These tools may include:

• Seizing funds from a bank account
• Garnishing wages from a paycheck
• Placing a lien on the debtor’s property
• Freezing other types of assets

To carry out these actions, you usually need a marshal or sheriff. These officers are authorized to serve court documents and enforce orders, making them essential to the enforcement process.

What Information Do You Need Before Enforcing a Judgment?

To begin enforcement, gather as much information as possible about the debtor’s finances. The more details you have, the more effective your strategy will be.

For Individuals:

• Legal name and current address
• Social Security number (for wage garnishment)
• Employer details
• Bank account or financial institution information

For Businesses:

• Legal business name and location
• Tax Identification Number or EIN
• Bank accounts and business property
• Names of corporate officers

This information helps you and your marshal locate the debtor’s assets and take action within the law.

Main Methods of Enforcing a Judgment

There are two main types of execution used to collect a judgment: income execution and property execution.

1. Income Execution (Wage Garnishment)

This method allows you to collect money from the debtor’s wages. If the debtor works for an employer, you can request that a marshal serve a wage garnishment order. The employer is then legally required to withhold a portion of the debtor’s paycheck, usually up to 10%, and send it through the marshal.

• This method is not available if the debtor is self-employed.
• It may also be limited in certain jurisdictions.
• It works best when the debtor has steady employment and no prior garnishments.
  

2. Property Execution

This method targets the debtor’s assets, such as bank accounts or real estate.

Bank Levies

With a property execution, a marshal serves the debtor’s bank with a legal form (often the Blumberg T-120) that orders the bank to freeze the account.

• Marshal’s Role: The marshal delivers the document, communicates with the bank, and collects available funds.
• Cost: Typically around $55 per bank for the marshal’s service.
• Outcome: The frozen account may encourage the debtor to negotiate or pay.
  

Real Estate Liens

You can also file a copy of the judgment with the local county clerk. This creates a lien on any property the debtor owns. The lien must be paid before the property can be sold or refinanced.

This method does not result in immediate payment, but it secures your position as a creditor in the future.

Step-by-Step Guide to Judgment Enforcement

Here is a general process for enforcing a judgment:

Step 1: Notify the Debtor

Send a certified letter with a copy of the judgment. Some states require a Notice of Entry, which includes the date the judgment was officially entered. Proof of mailing is often needed before enforcement actions can proceed.

Step 2: Prepare Legal Documents

• Use the Blumberg T-120 for property execution or wage garnishment forms for income execution.
  
• Include an affidavit explaining your enforcement request.
  
• Details to include:
  
  • Judgment entry date
  • Interest accrued
  • Name of garnishee (such as a bank or employer)

Step 3: File with the Court

Submit the completed forms to the court. After reviewing your request, the court may approve and issue the required documents.

Step 4: Work with a Marshal

Once approved, engage a marshal to carry out the enforcement:

• Serve banks or employers with the execution forms
• Freeze accounts or begin wage garnishment
• Collect funds and transfer them to you
• In some cases, marshals may receive a 5% fee from the amount collected
  

The marshal plays a vital role in ensuring that enforcement is carried out correctly. Without their involvement, you may not be able to reach the debtor’s assets.

Step 5: Consider a Turnover Order

If the debtor’s assets are located in another state, a turnover order may be necessary. This order allows the enforcement of judgments across state lines and may still require a marshal’s help.

Step 6: Negotiate a Settlement

Freezing a bank account or garnishing wages often motivates a debtor to settle. You may be able to negotiate a lump-sum payment or a structured plan. Once collected, the marshal will take their fee and send the remaining funds to you.

Additional Considerations

Enforcing Judgments in Another State

If the judgment was issued in one state but the debtor’s assets are elsewhere, you will need to domesticate the judgment in the state where the assets are located. This process includes registering the judgment with a new court and following local enforcement rules.

Accuracy and Compliance

Courts may reject your enforcement request if documents are incomplete, forms are outdated, or proof of mailing is missing. Ensure that all paperwork is correct and submitted properly.

Legal Support

While marshals assist with physical enforcement, they do not offer legal advice. An attorney can help with paperwork, cross-state enforcement, and communicating with the marshal or sheriff.

How Badly Does a Judgment Affect Your Credit?

From a debtor’s perspective, a judgment can have serious credit consequences. Once a judgment is entered, it may appear on the debtor’s credit report. Although some credit bureaus have stopped reporting civil judgments in recent years, lenders, landlords, and other institutions may still access public court records.

Here are some potential effects:

• Lower credit scores due to unresolved debt
• Difficulty qualifying for loans or credit cards
• Problems renting housing or getting approved for financing
• A lien may block the sale or refinance of real estate
  

Judgments can remain enforceable for several years and may be renewed depending on the state. This means even if a debtor tries to ignore the debt, enforcement can be attempted for a long time.

Conclusion

Enforcing a judgment is a necessary step to make sure a court decision leads to real payment. With the right information, legal documentation, and the assistance of a marshal, you can successfully pursue collection. From wage garnishments to property executions and bank levies, every step must follow legal procedures to avoid delays or rejection. Always consider consulting with a judgment attorney to ensure compliance with local laws and to coordinate with the marshal effectively.

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Frequently Asked Questions

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1. What is judgment enforcement and why is it important?

Judgment enforcement is the legal process of collecting a court-ordered monetary award. It's important because the court does not collect the money for you, making it your responsibility to use legal means to ensure the debtor pays what is owed.

2. What information is crucial to begin the enforcement process?

You need to gather detailed financial information about the debtor. This includes their legal name, address, employer details, and bank account information, which will help you and a marshal locate their assets.

3. What are the key methods used to enforce a judgment?

The key methods are income execution, which involves garnishing a portion of the debtor's wages, and property execution, which allows you to target assets like bank accounts through a levy or place a lien on their real estate.

4. What is the role of a marshal or sheriff in enforcing a judgment?

A marshal or sheriff is a court officer who serves legal documents and physically carries out the enforcement actions. They are crucial for tasks like freezing bank accounts, garnishing wages, and collecting the funds on your behalf.

5. Can I enforce a judgment against a debtor in another state?

Yes, but you must first "domesticate" the judgment by registering it with a court in the state where the debtor's assets are located. This step makes the judgment legally enforceable in that new jurisdiction.

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