Successfully collecting a money judgment in Texas often hinges on what the judgment creditor does in the weeks and months immediately following the judgment being recorded. Doing the right things in the early stages increases the chances of getting paid. That’s one of the things we’ve learned after so many years of collecting Texas judgments.
One of the first tasks post-judgment is that of discovery. In legal terms, post-judgment discovery is the process of gathering information from the judgment debtor, information that will be utilized to establish a collection strategy going forward. Bear in mind that Texas allows:
- Garnishment
- Property liens
- Writs of execution
Judgment creditors and debtors can even enter voluntary payment plans if they are so inclined. But before any of this is possible, the creditor needs to know what he’s looking at. He needs to have all the information about the debtor’s assets and income. That is where post-judgment discovery comes in.
The Creditor Asks for Information
After a judgment has been entered against a debtor, the creditor has an opportunity to send written questions about income and assets. Those written questions are known as interrogatories. Through their attorneys or collection agents, creditors request both answers and documents demonstrating said answers.
For example, a creditor might ask about the debtor’s employment and weekly pay. In addition to the answer, the debtor would furnish a recent pay stub demonstrating weekly pay and the employer’s name and address.
Any information pertaining to incoming assets is up for grabs. If a debtor owned a piece of vacation property in another state, for example, he would be expected to furnish information about that property. What if he failed to do so?
The Motion to Compel
If a Texas judgment creditor has any reason to believe that the debtor is not furnishing complete or truthful information, a motion to compel can be sought. This is a court order compelling the debtor to appear before the judge, where questions will be answered under oath.
The motion to compel can be quite compelling, indeed. Especially since a failure to appear before the court could ultimately result in a motion for contempt. That could result in the court issuing a warrant for the debtor’s arrest. The authorities could then forcibly bring the debtor to court.
It Hopefully Doesn’t Go That Far
Most of the clients we have worked with in Texas generally hope that things never go that far. Judgment creditors typically just want to get the matter settled so they can move on. When it does come to a motion to compel or contempt, such actions are necessary because debtors are failing to cooperate.
For the record, we have worked with plenty of clients who come to us for that very reason. They have tried their best to work with their respective debtors, but to no avail. Turning their cases over to Judgment Collectors relieved them of the hassle and headaches that come with collection. We handled all the work for them.
Here’s what we can typically do:
- Research the debtor’s income and asset
- Locate the debtor (if necessary)
- Attempt to make contact with the debtor
- Work with the debtor to get the debt settled
Unfortunately, uncooperative debtors have a habit of remaining uncooperative until they are given sufficient reason to do otherwise. This frustrates judgment creditors to no end. We get it. But that’s why Judgment Collectors exists.
If you have been working unsuccessfully on a money judgment in Texas, we might be able to help. Judgment Collectors works on consignment, so you have nothing to lose.