Judgment Proof


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Judgment Proof

A term used to describe an individual who is financially unable to pay an adverse court decision awarding a sum of money to the opposing party.

A judgment-proof individual has no money or property within the jurisdiction of the court to satisfy the judgment or is protected by wage laws that exempt salaries and property from formal judicial process.

References in periodicals archive ?
Lipchitz says Manuel has assets in Oklahoma and elsewhere and thus is not judgment proof.
The plaintiffs' lawyers were brilliant when faced with judgment proof defendants to withdraw the dram shop cause of action and limit their allegations to common law negligence to dip into the assets of the insurer, Mesa.
Parties that are judgment proof face asymmetric payoffs--unlimited
If the debt is unsecured, and the client doesn't have many assets, she said they might be judgment proof, meaning it won't make a difference if they file for bankruptcy or not.
The author is a three-time winner of the National Book Award for his books The Law on Annulment of Marriage (2001), Judgment Proof: How to Protect Your Property and Business from Lawsuits (2003), and The Law on Alternative Dispute Resolutions (2004).
If the claimant is judgment proof, this becomes a far less powerful tool.
Fortunately there are a number of easy tools and techniques to make oneself judgment proof or at least judgment resistant.
Once again, this aspect of the judgment is welcome news for Defendants seeking to protect themselves against sophisticated businessmen who choose to make themselves judgment proof well in advance of any litigation, on the assumption that sooner or later they are likely to be involved in litigation with the attendant risks of enforcement.
Izhar Khan Khosa said that Commission judgment proof there was no rigging in any level in 2013 election and adding that PTI leader nothing do for the country except allegation of poll rigging.
The shell-corporation, non-manufacturing status of a patent troll has strategic advantages because (1) the troll's victim cannot counter-sue the troll for infringement (In litigation between businesses that each make, use or sell patented technology, the defendant often uses its own patents to file counterclaims for infringement, and/or as an incentive for a cross-licensing arrangement.) and (2) being a shell company with no assets, the troll is usually judgment proof; if it is assessed millions in fees for sham litigation tactics, it simply defaults and declares bankruptcy.
but MM&A may also be judgment proof by failing to cover its
accident cases often fail to realize that they are judgment proof, a