Non-Consumer Related Civil Judgments Will Not Affect Credit Rating

Jon Alper Creditor Rights

Client frequently are concerned about the effect on their credit rating of a civil judgment for damages when the judgment comes from a business dispute or a business debt. . Civil judgments appear on credit reports. Clients have asked what effect the judgment will have on their credit worthiness. I have always explained the clients that credit scoring is not …

Federal Government Garnishment and Debt Collection

Jon Alper Creditor Rights

One of my clients was sued by the Federal Trade Commission for a violation of their rules. The FTC obtained a large monetary judgment.  There is a federal statute permitting the U.S. government to garnish wages and bank accounts. The federal garnishment statute provides less debtor protections than Florida’s garnishment laws.  For instance, the government may garnish 15% of wages …

Creditor May Levy Upon Debtor’s Lawsuit Against A Third Pary

Jon Alper Creditor Rights

My client is suing his former business partner for over $ 1 million. The lawsuit is scheduled for trial in about six months. The same client has a judgment already entered against him in favor of a bank that lent him money for a real estate investment. My client hopes to recover money from his partner and use those funds …

Judgment Creditor Can Take Over Debtor’s Lawsuits and Claims

Jon Alper Creditor Rights

A civil judgment is entered against you. At the same time, you are a plaintiff in an unrelated lawsuit where you are pursuing damages against an unrelated third party. Can your judgment creditor take over your lawsuit and apply a recovery to satisfy the judgment? Yes. By first opening a proceedings supplementary under Section 56.29 of the Florida Statutes your …

Does The Fraudulent Loan Statute Pertain To Money Lending?

Jon Alper Creditor Rights

Suppose a judgment debtor pays a significant amount of cash to a relative or business insider and says that the money transfer is to repay a loan. The relative or insider did previously give money to the debtor, but suppose the debtor never paid back any of the loan, never paid interest, and the debtor cannot produce a promissory note. …

Federal Agency Freezes Defendant’s Assets Before Adjudication

Jon Alper Creditor Rights

A new client contacted me because his bank accounts were attached and frozen by a U.S. federal agency that had recently filed a lawsuit against him seeking civil damages for his violation of certain federal regulatory laws. He wanted to know how the government could effectively freeze his assets without him first having the chance to defend himself against their …

Creditor Can Cause Sheriff To Take Forcibly All Debtor’s Personal Possessions

Jon Alper Creditor Rights

Clients sometimes ask me whether a judgment creditor can take personal property in their home such as furniture and jewelry. The answer is that a creditor can obtain what is known as a “break order” to authorize the sheriff to remove your personal property. The Florida homestead exemption does not extend to protect tangible personal items inside the homestead. Some …

Revised Proceedings Supplementary Statute Procedures

Jon Alper Creditor Rights

Proceeding Supplementary under Section 56.29 of the Florida Statutes provide judgment creditors important collection tools. Most fraudulent transfer cases and other aggressive collection remedies are prosecuted under the scope of proceedings supplementary. The Florida Legislature has passed a significant revision to the statute. The governor approved the new statute. Under the existing law a creditor may file a motion requiring a …