How do judgements work in texas

You can be sued for hiding or fraudulently transferring property to avoid paying a debt. Also, real estate transactions are public records and are easy to trace.

You are judgment proof as long as your financial condition stays the same or worsens. If your finances improve, your creditors might try to collect on the judgment. Common Topics. Family, Divorce, and Children. All Topics. Court Basics. Individual Rights. Name Change. Protection from Violence or Abuse. Self Help. Featured Self-Help. Self-Help Guides. Ask a Question. Guided Forms. Informative Articles. More Resources.

Court Information. How long does a creditor have to collect on a judgment against me? An article from self-help legal publisher Nolo on when judgments expire and how they can be revived.

Filing a Judgment Lien One of the ways in which a creditor could attempt to collect on their judgment is by placing a judgment lien on real property owned by the debtor. See the resources below for more information on filing a judgment lien.

Article 16, Section 50 of the Texas Constitution State constitutional law providing protections for property with a homestead exemption from forced or unauthorized sale for payment of certain debts. Texas Property Code, Ch. Texas Property Code, Chapter 52 State law governing judgment liens. Judgment Liens on Property in Texas An article from self-help legal publisher Nolo discussing how liens can be placed on a debtor's real property and what property is exempt.

Judgment Liens and the Texas Homestead Information from a private real estate attorney's website on how to release a judgment lien against homestead property. Release and Removal of Liens Against the Texas Homestead Information from a private real estate attorney's website on the release and removal of judgment liens. I Have a Lien on my Homestead Written for the debtor, this information from the Houston Lawyer Referral Service discusses how to release a judgment lien against property with a homestead exemption.

Requesting a Writ of Execution Another way a creditor may try to collect their judgment is through a writ of execution. Forms If the justice of the peace court you intend to file with does not provide a form, a sample application is available at the link below.

Requesting a Writ of Garnishment Garnishment is a remedy that allows a judgment creditor to order a third party that holds or owes property to the debtor e. Part VI. Collect Your Court Judgment From Deposit Accounts An article from self-help legal publisher Nolo discussing how a creditor with a money judgment against a debtor can garnish their bank accounts in order to satisfy the debt. Bank Levies on Joint Accounts Spouse An article from self-help legal publisher Nolo discussing whether a creditor can take money from a joint bank account and how that may differ in a community property state such as Texas.

Forms Some of the Texas justice courts have a form to request a writ of garnishment available on their website. Requesting a Turnover Order If a debtor owns nonexempt property that the creditor cannot obtain by any of the other methods mentioned above, they can request assistance from the court through a turnover proceeding. Turnover Proceedings [PDF] A publication from a private law firm on the steps in a turnover proceeding. What if the Debtor is Judgment Proof? What does it mean to be "judgment proof"?

An article from TexasLawHelp. Texas collections manual [electronic resource] This manual walks readers through the entire process of debt collection as well as provides templates for commonly used legal forms.

Judgment enforcement [electronic resource] From Wolters-Kluwer, this comprehensive guide on judgment enforcement in the United States covers discovery through execution with a chapter dedicated to debt collection in Texas.

How to collect your own judgment in Texas [print book] Geared towards pro se individuals, this guide is a "plain English" explanation to the process of collecting a judgment in Texas.

The Texas judgment debtor handbook [print book] For those who owe a debt, this guide is a "plain English" explanation on what a creditor can and cannot do to collect a judgment in Texas.

Texas litigation guide [print book] Volume 9, Chapter of this practice guide covers procedures to collect a judgment. It provides the reader with a legal overview on the topic, procedural guide for parties filing in court and templates for commonly used legal forms. Texas legal practice forms [print book] Volume 4, Chapter 68 provides templates for forms related to debt collection. Report a problem. Subjects: Civil procedure , Courts. Tags: abstract of judgement , abstract of judgment , bank levy , collecting a judgement , collecting a judgment , debt claim , domesticate , domesticating a judgement , domesticating a judgment , filing suit , foreign judgement , foreign judgment , garnishment , how to sue , jp court , judgement , judgement lien , judgment from another country , judgment from another state , judgment lien , justice of the peace , lawsuit , money judgement , money judgment , scire facias , small claims , writ of execution , writ of garnishment , Writ of Scire Facias.

The county clerk also maintains a record of UCC filings that can lead a creditor to attachable assets such as inventory and equipment. Judgment creditors, often at a disadvantage in Texas, have a particularly important collection tool: post-judgment discovery which includes interrogatories, requests for admission, and requests for production.

This discovery can be incredibly complex since rules pertaining to limits on trial discovery do not apply post-judgment. The purpose of post-judgment discovery is 1 to ascertain whether or not the debtor possesses non-exempt property sufficient to satisfy the judgment; and 2 to determine if the debtor has fraudulently hidden assets.

Note that if a debtor who has been properly served fails to answer post-judgment discovery, he or she may be held in contempt by the judge, resulting in a fine or even jail. If actionable information is obtained, the judgment creditor can approach the court and request a writ of attachment, Tex.

Code Sec. The judgment creditor bears the burden of preparing the writ of execution and placing it in the hands of the appropriate officer for execution. Sintim v. Larson , S. App—Houston [14th District] , no pet. The writ of execution is usually sent to the local constable or sheriff, in some counties who charges a fee for attempting to collect.

The reality is that these officers may not try very hard—no flashing lights, no guns drawn. If the debtor says no , then the officer may withdraw and send the unsatisfied writ back to the court. Other mechanisms available to the judgment creditor include a writ of possession or, for personal property, writs of garnishment and sequestration. Writs of execution are generally available after the expiration of 30 days, when a judgment becomes final, so long as no supersedeas appeal bond has been filed by the debtor.

It is, however, possible to get a writ sooner under Tex. The officer shall first call upon the defendant, if he can be found, or, if absent, upon his agent within the county, if known, to point out property to be levied upon, and the levy shall first be made upon the property designated by the defendant, or his agent. If in the opinion of the officer the property so designated will not sell for enough to satisfy the execution and costs of sale, he shall require an additional designation by the defendant.

If no property be thus designated by the defendant, the officer shall levy the execution upon any property of the defendant subject to execution.

Information in this article is proved for general educational purposes only and is not offered as legal advice upon which anyone may rely. The law changes. Legal counsel relating to your individual needs and circumstances is advisable before taking any action that has legal consequences. Consult your tax advisor as well. This firm does not represent you unless and until it is expressly retained in writing and receives payment to do so.

Many Texas debtors have numerous judgments against them but live in expensive homes. They can do this because the entire homestead equity is exempt from execution. Within broad parameters, a homestead is what a person intends it to be, subject to size limitations 10 acres for an urban homestead, acres for a rural one.

A rental property or even a vacant lot can be homestead if the owner has reasonable expectations of building a home on it. Moreover, Certain personal property is also exempt under Chapter 42 of the Property Code. This includes home furnishings, clothes, jewelry, firearms, and vehicles—even 12 head of cattle—but excludes cash on hand or in checking or savings accounts. Retirement plans including rollover proceeds are exempted under Section College tuition funds are exempted under Section The most notable vulnerability for a judgment debtor in Texas is cash that is not inside of a retirement plan, whole life insurance policy, or annuity.

A cash-burdened judgment debtor therefore has only a few options given the finite list of exempt items in Texas. One could, for example, pay down or eliminate the debt on the homestead; do improvements on the homestead; buy a new and more expensive homestead altogether; pay certain fixed future expenses such as school tuition; prepay IRS liability; pay a substantial retainer to an attorney; or perhaps take an expensive vacation.

Any such step, however, in order to fall within protected parameters, must be plausibly justifiable as being taken in the ordinary course of business Prop. It is important to note that homestead protections are available only to individuals, not LLCs or corporations. A homestead is exempt from forced sale so long as the property remains the homestead of the debtor. Exocet Inc. Cordes , S. In furtherance of this principle, Property Code Section Section Filing of the affidavit must be preceded by a day notice sent by certified mail and addressed to the judgment creditor and its attorney of record.