Wouldn’t it be nice if every civil lawsuit resulting in a money judgment were wrapped up quickly and quietly with immediate payment? Yes, it would. But then Judgment Collectors wouldn’t exist. No one would need our judgment collection services. The fact that we are so busy is evidence that things do not always work out in the easiest and most convenient way.
One could make the case that enforcing a money judgment can drag on for too long a time even under normal circumstances. There are just so many things that get in the way. What judgment creditors assume will be a quick process turns into a much slower reality, bogged down in one delay after another.
Are you curious about the types of things that slow down enforcement? Here are just five of them:
1. Limited Debtor Assets
As a judgment collection agency, we rely heavily on debtor assets to do what we do. Assets are leverage that can be used to encourage debtors to pay. A debtor without assets is less compelled to cooperate because the incentive for doing so just isn’t there.
A debtor with few assets and limited income is hard to collect from. So collection efforts must be more circumspect. That could mean waiting a few years to see if the debtor’s financial position changes. Waiting is hard, but sometimes it is the only way to get paid.
2. Administrative Delays
Judgment creditors sometimes must turn to the local sheriff or go back to court before certain enforcement actions can be taken. But both county courts and sheriff’s offices are subject to administrative delays due to short staffing, a full docket, etc. It can take a while for these third parties to do what they do so that wages can be garnished, property can be seized, and so on.
3. Debtor Evasion
The debtor can down slow enforcement himself. For example, a debtor might be compelled through interrogatories to reveal complete and accurate information about income and assets. Since interrogatories are often conducted via written questions, a debtor may slow-walk his written responses.
A debtor might also provide inaccurate information purposely to slow things down. In the interim, he is working behind the scenes to hide assets. The hope is that hiding them will protect them from possible seizure.
4. Limited Creditor Resources
Enforcement efforts are sometimes delayed, not because the debtor is failing to cooperate, but because the creditor has limited resources. Maybe it is a small business with few employees. The business owner cannot afford to have his small bookkeeping team working on collection efforts. It could also be a matter of a judgment creditor not wanting to bring in a collection agency but still struggling to track down debtor assets.
For the record, this is why the services of a judgment collection agency are so valuable. Agencies have the time and resources to put their full effort into collection. We can do what so many judgment creditors cannot because we are built for that very purpose.
5. Legal Challenges
Finally, collection efforts can be slowed by legal challenges. Right off the bat, a judgment debtor is usually afforded an opportunity to appeal the judgment against him. Later on, he can fight against writs of execution, wage garnishment, and other collection efforts.
It has been said that enforcing a judgment can be harder than winning it. Now you know why. There is no shortage of things that can slow down enforcement, even bringing it to a crawl. But that’s why Judgment Collectors is here to help. Contact us to simplify your judgment collection process today.