Abstract Of Judgment To Get Your Money
When someone owes someone else money, it is important that there be a legal form that clarifies what is owed. An abstract of judgment is exactly that. It is a form of judgment in writing that states what is owed. Abstract of judgments also are detailed in that they make clear the terms of the judgment. It covers issues such as court costs, how much interest will be applied, and also an idea about how the judgment will be played out. The abstract of judgment is filed on record, and is the permanent record for both the debtor and the person that is owed.
While abstract of judgments are nice to have, they are far from perfectly effective. The person that is found owing may have many abstract of judgments on record, and in this situation they are enforced in the order they were filed as a rule. If you have someone that owes quite a few people, this can be a major legal roadblock in collecting your money.
The best use of an abstract of judgment is when the debtor has liquid assets. That means that they have assets that can be sold to pay debts, then the sheriff can enforce the abstract of judgment. They can sometimes seize the items, sell them, and use the proceeds to settle the debt. This is far from an open and closed situation, as some items are protected. Generally you can not take a primary residence or a car, and many people that owe money in this way do not have extras. Abstract of judgments are still good to have on file, because you never know when the person’s situation might change.