A writ of execution is a legal tool that judgment creditors can lean on to collect from debtors who otherwise don’t pay what they owe. It’s generally considered a tool of last resort given its drastic nature. When wielded properly, a writ of execution tends to be very effective for its intended purposes.
What a Writ of Execution Is
If you are not familiar with the writ of execution, learning what it is immediately reveals why it is so effective as a collection tool. A writ of execution is a court order authorizing the local sheriff to seize a judgment debtor’s property, sell it at auction, and forward sales proceeds to the judgment creditor.
The process accomplishes much the same thing as a real estate foreclosure but with a couple of twists: it doesn’t take nearly as long and the creditor does not have to go back to court to prove his case once again. He has already won a money judgment against the debtor. Obtaining a writ of execution is simple and straightforward.
The Question of Assets
Wits of execution are effective in motivating payment. But they do have their quirks. For instance, a writ of execution cannot be issued against any and all property a judgment debtor owns. Every state has its list of exempt assets that cannot be touched. At the top of that list is the debtor’s primary residence.
Most states protect the primary residence to some degree. Some states protect it entirely, meaning the debtor’s house and the land on which it sits are not subject to writs of execution. Other states protect the house but only a portion of the land. Still other states protect the value of the home and property under what is known as a homestead exemption.
Either way, there are certain assets that are not subject to writs of execution. Another quirk in the system is that neither courts nor the local sheriff put any effort into locating a debtor’s assets. That’s the judgment creditor’s job.
Searching for Nonexempt Assets
In order to get a writ of execution, a judgment creditor must identify the property he wants seized. That means searching for nonexempt property before going to court for a writ. The unfortunate thing is that most judgment creditors don’t know how to do this.
That’s what agencies like Utah-based Judgment Collectors come in. Judgment Collectors specializes in collecting money judgments in nearly a dozen states. Among the many things they do on behalf of clients is conduct independent asset searches. They can find everything from real property to boats and RVs to jewelry and collectibles.
Once nonexempt property has been identified, a Judgment Collectors client can go to court seeking a writ of execution. Once such a writ is entered, proceedings against the debtor’s property can begin.
Call in the Sheriff
A judgment creditor and its representatives are not legally authorized to seize targeted assets. Instead, that’s the sheriff’s job. The sheriff will deliver the writ of execution and immediately seize the property in question. Then the property will be sold at public auction. Proceeds will be forwarded to the creditor for payment of the debtor’s debt.
Some states require that creditors specify each individual asset for a writ of execution. Others allow creditors to submit groups of assets for seizure. Either way, the assets need to be named before writs can be executed.
The writ of execution is an important collection tool in money judgment cases. If you are ever on the losing end of a judgment, keep in mind that your assets are at risk.
