Are there any rules prohibiting me from collecting a small claims court judgment outside of court?
In California, there are no laws prohibiting individuals from collecting on a small claims court judgment outside of court. However, parties must follow certain procedures to ensure that the judgment is legally enforceable. First, the winning party must obtain a copy of the court order that states the judgment in their favor and lists the other party’s obligation to pay. This document, also known as an Abstract of Judgment, may be obtained from the county clerk or the small claims clerk and must be registered with the County Recorder. Registration with the County Recorder establishes the lien on property owned by the debtor. Next, the winning party must send a “Demand Letter” to the debtor. This letter should include a copy of the Abstract of Judgment, and give the debtor a certain time period to pay the judgment. If the payment is not received, the winning party may take legal action to enforce the judgment. Finally, the winning party has the right to collect from the assets of the debtor until the debt is satisfied. This can involve levying bank accounts, garnishing wages, or placing a lien on real property owned by the debtor. It is important to note that some assets are exempt from collection and some debtors may qualify for a hardship exemption. In summary, while there are no rules prohibiting individuals from collecting a small claims court judgment outside of court, certain procedures must be followed in order to ensure that the judgment is legally enforceable.
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