A debtor owed you money so your business sued—successfully. Now you have a judgment against them.
Now comes the work of collecting whatever the court deemed yours. This is because contrary to popular belief, a judgment doesn’t actually ensure payment. Instead, think of it as a warrant to pursue collection. In many cases the court will try to incentivize payment by including a provision allowing for post-judgment interest to accrue on the amount owed and other associated fees and costs. Just don’t expect the court to go chasing those fees for you.
Which brings us back to the question: Now what? There are many options for collection available to creditors armed with a judgment. These include tools like writs of garnishment, execution, and attachment—all of which can force payment of the amounts owed. The debtor can also be required to submit to a judgment debtor exam in which the creditor is able to question the debtor about the extent and location of all his or her assets.
Obtaining a judgment is a necessary and vital step to collection of money owed; however, it rarely represents the end of the collection trail. A few more steps may be required to get you paid the money you are owed. Our firm is experienced in collecting judgments for creditors. Contact me today to discuss your businesses collection difficulties and to design a plan to take back what’s yours.