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Collecting Your Judgment from a Business

Posted by Nima Asadi | Jun 23, 2023 | 0 Comments

Congratulations! You have won your case and the Court issued a judgment in your favor. Unfortunately, although not surprisingly, many judgments are not paid voluntarily by a defendant. This article will provide a general overview of what you can do to collect a judgment against a business entity.

What is Judgment Enforcement?

Judgment enforcement is a post-judgment process heavily regulated by California Code of Civil Procedure. It is very technical and requires comprehensive knowledge of these statutes to maximize your success in collecting your judgment. It is very exciting to win your case, but sometimes people end up with a piece of paper that is uncollectable which may have you questioning whether the lawsuit was worth it in the first place. Therefore, it is very important to know what rights you have as a judgment creditor and what assets are subject to judgment enforcement to collect from a defendant.

What Can You Do to Collect Your Judgment from a Business?

If you have a judgment against an ongoing business, you have several options to enforce the judgment: You may instruct a levying officer to make a one-time seizure of cash and checks in their cash register; You may instruct a levying officer to go to the business for up to ten (10) days to collect all the cash and checks that come into the business during that period. After this 10-day period, the assets and/or inventory must be seized and sold; You may instruct the levying officer to seize personal assets of the business and sell them (Keeping in mind that seizing the assets of an ongoing business is time consuming, expensive and economically risky); You can levy the business' bank accounts by obtaining a writ of execution from the court and then instruct the sheriff to levy the business' bank accounts.

There are other, more drastic options available as well, such as appointing a receiver to operate the business to satisfy the judgment. All these options are available to you to satisfy your judgment and choosing the right option depends on advice from you attorney who can assess these options related to the assets available for collection in satisfaction of your judgment. What Legal Value Firm Offers At Legal Value Firm®, we can evaluate your case and engage in a judgment enforcement process to maximize the collection of the assets and money to satisfy your judgment. Please check out for more details! Thank you for reading. We caution our readers that every legal matter has unique qualities which require consultation with an attorney to evaluate how this purely informational post may apply in your specific situation. Please contact Legal Value Firm® today.

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