How is a judgment perfected?
Table of Contents
Table of Contents
Insurance Lawyer
Jeffrey Johnson is a legal writer with a focus on personal injury. He has worked on personal injury and sovereign immunity litigation in addition to experience in family, estate, and criminal law. He earned a J.D. from the University of Baltimore and has worked in legal offices and non-profits in Maryland, Texas, and North Carolina. He has also earned an MFA in screenwriting from Chapman Univer...
Jeffrey Johnson
Insurance Lawyer
Jeffrey Johnson is a legal writer with a focus on personal injury. He has worked on personal injury and sovereign immunity litigation in addition to experience in family, estate, and criminal law. He earned a J.D. from the University of Baltimore and has worked in legal offices and non-profits in Maryland, Texas, and North Carolina. He has also earned an MFA in screenwriting from Chapman Univer...
Jeffrey Johnson
Updated July 2023
At the conclusion of a lawsuit or settlement, the court will issue a judgment ordering the losing party to pay or satisfy the judgment. After the court’s decision, there are a few steps to perfecting the judgment. Some states require that a Notice of Entry be sent to the losing party or judgment debtor. A Notice of Entry let’s the losing party know that a judgment has been entered against them. The person then has a set period of time to pay the judgment. Until this form is filed, the judgment is neither cleared nor perfect and cannot be considered satisfied.
Steps for Perfecting a Judgment
Once the Notice of Entry is signed and filed, the judgment can be perfected. Although the specific steps vary from state to state, the first is always to have the judgment perfected. It must be certified by the Clerk of Court. Some states call this docketing, which is another form of filing. To accomplish this, it is important to make certain that the court’s written decision of judgment has been signed by the judge and provided to the clerk of the court.
Generally, the court will retain the original and supply a “conformed copy” to the judgment creditor or winning party. Next the judgment must be recorded with the Recorder of Deeds or that office’s equivalent. This has the effect of making the judgment a lien of record against any real property owned by the judgment debtor. It can now be considered perfected.
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Perfecting a Judgment and Other Outcomes
In many states, Notice of Entry of the judgment must be given to the debtor or losing party. The date that the order is issued often determines the time period which the debtor has if he wishes to file any appeal. Another option is that the debtor will pay the judgment. This person can do so the same day of the judgment or soon after, depending upon the circumstances. If this happens, the judgment is satisfied and a satisfaction of judgment form is filed with a court to indicate that a judgment has been satisfactorily resolved. Typically, this does not happen until the judgment is paid in full.
Case Studies: Perfecting Judgments and Legal Outcomes
Case Study 1: Notice of Entry and Judgment Perfection
John sued Sarah in a personal injury case. The court issued a judgment against Sarah, but it wasn’t perfect until a Notice of Entry was sent to her. Sarah had a set time to pay the judgment. Once the Notice was filed and the judgment paid, it was considered cleared and perfected.
Case Study 2: Steps for Perfecting a Judgment
Mark won a lawsuit against John. To perfect the judgment, Mark ensured the court’s decision was signed by the judge and provided to the clerk. The judgment was recorded with the Recorder of Deeds, establishing it as a lien on John’s property. These steps completed the judgment perfection process.
Case Study 3: Satisfaction of Judgment
After Mark’s judgment against John, John had options. He could appeal within a specific time period. Alternatively, John paid the judgment soon after. Once paid in full, Mark filed a satisfaction of judgment form, indicating the resolution of the case.
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