It is not necessarily observed that after the judgment is passed, the person will pay the amount then and there. Usually, the opponent party takes time to spend the money they owe to the client who filed for the case. 

Hiring collection agencies or attorneys specializing in debt recovery can provide professional legal help. Attorneys adopt several strategies to collect on a judgment in New York that may require further enforcement actions.

Judgement and Debt Recovery

Judgment is a legal document that entitles a person to receive the money they owe from the opponent party. It may also include applicable interest and legal costs. This legally binding document is automatically recorded in the courts of New York. However, the opponent often attempts to buy time and delays releasing the payment.

In this regard, debt recovery becomes crucial. Attorneys ensure that legal actions are taken against the opponent party who has failed to meet the financial obligations. Debt recovery is a complex and lengthy process that starts shortly after securing the judgment.

Case Filing

Attorneys can file a case on their client’s behalf if the opponent denies payment. Once the waiting period is over, an attorney can file a case in court based on three clauses – garnishing the other’s wages, garnishing the other person’s bank account, and seizing the opponent’s assets. The case filing will soon proceed with trials and hearings. The ongoing administrative and legal exercises make the debt recovery proceeding costlier with time.

Financial Examination

It is important to understand the opponent’s financial condition, for which a legal process is conducted wherein a person’s assets, income, and economic status are scrutinized. This examination can be facilitated by obtaining a court order, and both parties are asked to disclose their financial documents under oath. However, debtors can complicate the operation by hiding their income and assets. 

Withholding Wages

Attorneys can work with their clients to collect debts through wage garnishment. During this legal procedure, the court will issue an income execution order addressed to the opponent party’s employer. The order will order the employer to withhold a portion of the salary and send it to the person who received the judgment of receiving money.

Putting a Hold on the Bank Account

Similarly, attorneys can get a court order directing the opponent’s bank to hold an amount from the personal account. This is only possible if there is sufficient balance in that account; otherwise, the account may run into a negative balance, which the opponent will also not repay.

Lien for Property

A lien can be imposed on an opponent’s property and assets if the person fails to repay the total amount within the stipulated time frame. Liens prevent the debtor from selling or refinancing the property until the debt is recovered. This technique allows attorneys to conduct successful debt recovery for their clients.

Asset Seizure

With a court order, attorneys help their clients pursue the seizure and sale of the debtor’s assets. The order will seize the assets of the opponent party and help sell valuable items like vehicles and jewelry to satisfy the judgment. 

The court may appoint a sheriff or involve law enforcement authorities to facilitate asset seizure summons. However, legal immunity and dispensations limit this undertaking for debt recovery.  

Legal counsel ensures debt recovery strategically, as retrieving money is multifaceted and complex. Securing judgment on behalf of the client is a critical function that attorneys perform. However, the difficulty lies in effectively collecting the recovery amount from the opponent to conclude the case with a successful resolution.