The sheriff applies the sales proceeds, minus expenses, to satisfy the judgment. The sheriff sells the debtor’s property at a public auction. The county sheriff executes the levy by physically seizing the debtor’s property. The creditor can execute against the debtor’s property in possession of a third party.Ī creditor must identify in advance the debtor’s property subject to execution and levy. Assets frequently subject to execution include the debtor’s automobiles, stock in private companies, and valuable home possessions. Execution and levy are used to seize real estate, stock in corporations, and the debtor’s personal property. Execution and LevyĮxecution and levy is a collection remedy used to force the sale of a debtor’s tangible personal and real property.
The purchaser or transferee takes possession of the property subject to the judgment lien. The judgment lien encumbers subsequent sales or other conveyance of the debtor’s personal property. The recorded lien will prevent the debtor from making an insured transfer of real property title to a mortgagee or buyer. Recording a certified copy of the judgment in any county creates a judgment lien on the debtor’s real property located in the same county, other than homestead property. In Florida, there are six primary ways to collect a judgment:įlorida judgment collection laws allow a judgment creditor to obtain a lien of all the debtor’s personal property located in Florida by filing a judgment lien certificate with the Florida Secretary of State. To collect a judgment in Florida, creditors can use any of the many legal tools provided by the state’s debt collection laws. Asset protection that maximizes your exempt assets puts you in the best position to leverage a successful debt settlement. Most money judgments against individuals or small businesses are settled for amounts significantly less than the face amount of the judgment. Creditors do not want to spend “good money” in futile attempts to collect “bad debt.” This is common when the creditor has reason to believe that you do not have financial ability to pay, or if the creditor does not want to do anything to force you into bankruptcy where the debt would be discharged. In some cases, a creditor may obtain a judgment and not actively try to collect money thereafter. They will ask for advice about what they should do if a court enters a money judgment against them in favor of a creditor. They imagine what would happen if a creditor sues them and gets a judgment against them for non-payment. In the event of an economic downturn or personal financial catastrophe, the same people become concerned about what will happen if they cannot pay their debt obligations. People who pay their debts on time have little experience dealing with debt collection or money judgments entered against them. A creditor cannot have you arrested for non-payment of a debt or for your inability to pay a court judgment. However, Florida law cannot impose criminal liability for not paying a civil money judgment. What Happens If You Have a Judgement Against You in Florida?Īfter a judgment is entered against you, the judgment creditor can garnish your bank account and wages, require you to reveal all assets belonging to you, and place a lien on any non-homestead property.
Debt collection laws provide legal tools by which a judgment creditor finds and takes the debtor’s property to satisfy a money judgment.Įffective asset protection planning requires understanding the tools judgment creditors may use to discover and take non-exempt assets. If the debtor is unwilling or unable to pay the judgment voluntarily, the creditor must use legal tools to collect the judgment from the debtor’s assets. Rehearing requests are usually denied, but if a request is approved, it stays the enforcement of the judgment until the court rules on the rehearing motion.Ī court’s final judgment does not provide the prevailing judgment creditor any money. Nor does the final judgment, by itself, take any of the debtor’s property. There is a 10-day period after the date of the judgment during which either party can request a rehearing.
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