The notice can be served on the judgment debtor by personal service or first-class mail and proof of service shall be filed with the court.
The process requires preparing and filing in the court where the judgment was issued an Application For and Renewal of Judgment, paying the filing fee, and preparing and serving a Notice of Renewal of Judgment on the judgment debtor.
#Abstract of judgment texas code
The process to renew a California money judgment is specified in California Code of Civil Procedure sections 683.010 to section 683.220. Since some courts can take many months to issue the renewal, the wise judgment creditor begins the process at least six months prior to the ten-year limit. A pending application for renewal will not be sufficient to renew the judgment. It is important to note that the judgment must actually be renewed, not just applied for renewal, by the time ten years has passed from original issuance of judgment. Failure to properly renew the money judgment within ten (10) years, eliminates the ability to collect money on the judgment from the judgment debtor, or otherwise enforce the judgment by sale of assets belonging to the debtor or garnishing his or her wages. This article shall describe the applicable law.Ī California money judgment terminates and is no longer enforceable if the judgment has not been renewed within ten (10) years from the date it was entered. Failure to renew the judgment prior to the ten-year time limit voids the judgment forever. It is vital to determine the law in the particular state in which the judgment has been filed.Ĭalifornia allows the judgment to last ten years and it can be renewed for an additional ten years if the creditor files the required forms in a timely fashion. We have known clients who were patient enough to wait fifteen years and collect a multimillion dollar judgment when the judgment debtor sought to sell once valueless property.īut how long can a judgment creditor hold a judgment before it becomes stale and unenforceable? Each state has its own laws in that regard, ranging from six years to twenty years.
Increase in equity can also allow a judgment creditor to seize assets that previously did not have sufficient value to generate a return. Thus, every seven years, the judgment just about doubles in value and many judgment creditors, unable to collect due to lack of assets owned by a judgment debtor, simply sit back and wait half a decade and then swoop in to attach any assets that the debtor may have accumulated over that time. RENEWING THE JUDGMENT: RENEW IT OR LOSE IT.Īs discussed in our article on enforcement of judgments, a judgment allows the creditor to attach assets, garnish wages, sell the debtor’s property, and accrues interest at ten percent per annum.
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