If you know anything about the judgment collection industry, you might be aware that states govern judgment law differently. What holds true in one state might not hold true in another. For example, California courts distinguish between money judgments and non-money judgments. We are obviously interested in the former.
Judgment Collectors offers consignment collection services in the state of California. We work with our California clients to track down judgment debtors in an attempt to collect payment. The consignment model alleviates our clients of any further expenses related to collection. We take care of everything, including covering our own costs.
We are keenly interested in money judgments in California because that is how we get paid. If you want to know what a money judgment is, keep reading. You will learn exactly what it is and why it’s difficult for judgment creditors to collect on their own.
The first thing to know is that a judgment is a court decision regarding who won and who lost a civil case. Most judgments include some sort of monetary compensation. But not all do, which is why California law creates a distinction for money judgments.
Any judgment, or part of a judgment, requiring monetary compensation is considered a money judgment under California law. Judgment creditors have certain legal rights relating to collecting that compensation. But what if a judgment doesn’t include compensation? Then it is not a money judgment under California statute.
How is this possible? Imagine a judgment that only results in a cease-and-desist order against the defendant. No money is to change hands. Rather, the defendant is ordered by the court to stop doing whatever it is that initiated the lawsuit. This type of judgment is not a money judgment.
Once a money judgment is entered in California, it is up to the judgment creditor and its representatives to handle collection. Far too many creditors attempt to collect on their own. Others give the task to their attorneys. Still others work with agencies like ours. Here at Judgment Collectors, judgments are our specialty. We are a collection agency that only works on judgments.
Collecting in California is just as challenging as in any other state. The challenges start with legal constraints. Simply put, we cannot do just anything. California has a strict set of rules we must follow.
In addition, judgment debtors rarely go out of their way to pay what they owe. You already know that if you’ve been trying for years to collect but still haven’t succeeded. You know that debtors:
Some judgment debtors go to great lengths to disappear. They are just determined to not pay up. Creditors who are not used to dealing with this type of person may be left scratching their heads, wondering how on earth they are going to get their money.
We sincerely hope your company isn’t struggling to collect judgments in California. But if you are, we can help. Judgment collection is what we do. We use every tool at our disposal to find debtors and their assets. We do what we can to initiate contact and work out some form of payment.
We cannot always guarantee success, but our consignment model does guarantee you don’t pay if we don’t collect. We’re betting that’s an arrangement you can live with.
Published April 25, 2023