judgment debtor


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Judgment Debtor

A party against which an unsatisfied court decision is awarded; a person who is obligated to satisfy a court decision.The term judgment debtor describes a party against which a court has made a monetary award. If a court renders a judgment involving money damages, the losing party must satisfy the amount of the award, which is called the judgment debt. Such a decision gives the winner of the suit, or Judgment Creditor, the right to recover the debt, or award, through extraordinary means, and the court may help the creditor do so. State law governs how the debt may be recovered. Although the recovery process can be harsh, the law provides the debtor with certain rights and protection.

Following the verdict, other legal steps are usually taken against the judgment debtor. The court can order the debtor to appear for an oral hearing to assess the debtor's assets. If it is determined that the debtor has assets sufficient to satisfy the judgment debt, the court may order the debtor to surrender certain property to it. Commonly the judgment creditor must take additional legal action. This involves seeking the court's assistance in seizing the debtor's property, by the process known as attachment, or a portion of the debtor's salary, by the process called Garnishment.

For centuries, attachment of property was allowed ex parte—without first allowing the defendant debtor to argue against it. However, contemporary law affords the debtor some protection. The debtor has the right to minimal due process. States generally require that the judgment creditor first secure a writ of attachment, that the debtor be given notice before seizure occurs, and that the debtor have the right to a prompt hearing afterward to challenge the seizure.

Other protections apply to both property and wages. First, not every kind of property is subject to attachment. States provide exemptions for certain household items, clothing, tools, and other essentials. Additional provisions may protect individuals in cases of extreme hardship. Where the creditor seeks garnishment in order to seize the judgment debtor's wages, laws generally exempt a certain amount of the salary that is necessary for personal or family support.

Courts can exercise their discretion to go beyond the statutory protections for judgment debtors. They can exempt more property from attachment than that specified in a statute. In some cases they can also deny the attachment or garnishment altogether. This can occur when the creditor seeks more in property than the value of the judgment debt, or where the property sought is an ongoing business that would be destroyed by an attachment.

judgment debtor

n. the losing defendant in a lawsuit who owes the amount of the judgment to the winner. (See: judgment creditor)

judgment debtor

see JUDGMENT CREDITOR.
References in periodicals archive ?
Providing a judgment debtor with notice that the FTC is conducting this type of post-judgment investigation gives them the opportunity to dissipate assets before the FTC is able to secure them.
Seeking imprisonment of the judgment debtor Q: My friend borrowed money from me for personal purpose and he refused to pay me back.
It is apparent that the judgment debtor has refused to comply with the judgment of this court.
A Memorandum of Judgment, properly recorded, creates a judgment lien on any property owned by the judgment debtor in the county the memorandum was recorded.
The relevant legislative provisions aim to secure the property of the judgment debtor, to remain available for the enforcement of the court judgment and the satisfaction of the judgment debt.
If the Execution Judge issues his execution order, the execution officer of the court shall prepare and sign the notice to be sent to the person subject to execution (the judgment debtor).
After granting a judgment debtor's motion to reduce the amount of a confessed judgment, the circuit court erred in not setting the creditor's objections to the modified amount for trial.<br />Background<br />On November 19, 2008, Appellee Hunter Mill West executed a deed-of-trust note in the principal amount of $1 million, payable to BDC Capital Inc., the predecessor in interest to Appellant Catjen LLC.
He wants simply the same protection as a judgment debtor would have, which would include a lien on homestead equity over and above the statutory $390,000 exemption for non-farm property.<br />"We would never ask a client to waive a homestead exemption," Christensen said.
law, permits a judgment creditor to obtain information concerning a judgment debtor's assets on a worldwide basis-from both Kazakhstan and from the U.S.-based financial institutions that manage its assets.
'Considering that the Constitution does not fix the period of incapacitation of such a judgment debtor shows a clear intention that the lack of qualification under Article 62(1)(f) of the Constitution should extend so long as the declaration of law envisaged in Article 62(1)(f) remains in the field,' the judgment states in relation to the permanency of disqualification.
A garnishee order is passed by an executing court directing or ordering a garnishee not to pay money to judgment debtor since the latter is indebted to the garnisher (decree holder).
The execution proceeding has also been brought under the purview of case management and scheduling conference and it is pertinent to mention that for the purpose of compelling the judgment debtor for execution of the decree include the blockage of the computerised national identity card.