What happens in a defamation case if the defendant does not have sufficient assets?
If a defendant in a North Carolina defamation case does not have sufficient assets, they may be unable to pay a court-ordered damages award. However, even if a defendant is unable to pay a damages award, they can still be held liable for their actions. This means that a defendant who cannot afford to pay a damages award may still be subject to other legal remedies. These legal remedies may include an injunction that prohibits the defendant from engaging in similar speech or conduct in the future, or an order that requires the defendant to publicly retract the statement or publicly apologize. Additionally, even if a defendant does not have enough assets to cover a damages award, they may still be liable for court costs, attorney’s fees, and other costs associated with the case. If a defendant is unable to pay a damages award, the plaintiff may be able to collect money damages from other sources associated with the defendant. For example, the plaintiff may be able to collect money from the defendant’s employer, if the employer held the defendant responsible for the defamation. Alternatively, funds from insurance policies taken out by the defendant could be used to pay the damages award. Finally, if a defendant is found liable for a defamation case and does not have sufficient assets, the court may choose to sentence the defendant to perform community service or another form of alternative punishment. This is seen as a way for the court to punish the defendant without requiring them to pay money they do not have.
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