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

References in periodicals archive ?
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).
NM, Doha A: According to Article 514 of the Civil and Commercial Procedure Code, if the judgment debtor abstains from the execution of judgment issued against him, the judgment creditor may request the imprisonment of the judgment debtor.
A Memorandum of Judgment attaches a lien to all real estate owned by the judgment debtor in the county the memorandum was filed in, effective the date of recording.
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.
com)-- A lot of hard work has been applied into obtaining a judgment, but the judgment debtor will not voluntarily pay off the balance.
Mmtc invite bids for appointment of detective agency for obtain details of a judgment debtor / defaulter in delhi/ncr
49) The Court concluded that those broader powers permitted the trustee to assert the same right afforded judgment creditors generally to access payments made by a judgment debtor on a life insurance policy during the year prior to execution on judgment, which were excluded expressly under Utah law from the exemption granted debtors in life insurance policies.
supposedly related to the original judgment debtor.
It is true that there are Supreme Court pronouncements that held that the husband of the judgment debtor cannot be deemed a 'stranger' to the case prosecuted and adjudged against his wife for an obligation that has redounded to the benefit of the conjugal partnership.
If the judgment debtor has a claim or potential claim against a third party, the judgment creditor may acquire the right to assert that claim against the third party, with limited exceptions.
Contrary to the corporation in Evans, a judgment creditor with a charging order only has the right to distributions that would have been paid to the judgment debtor.
They cover obtaining a judgement, writs of attachment and their foreign equivalents, amending the judgement, enforcing judgments in the US, judgment debtor examinations, asset investigations and ethical challenges, enforcing US judgement outside the US, and the New World case.