Business, Legal & Accounting Glossary
A judgement lien is a court-ordered lien on a debtor’s property, granted to a creditor to compensate for unpaid debts. A judgement lien typically arises after a lawsuit: a plaintiff who is awarded a monetary amount becomes a “creditor,” and the defendant who must pay that amount becomes the “debtor.” The judgement of this monetary amount is the basis for a judgement lien. Should the debtor fail to pay, the creditor can opt to enforce the judgement – through a judgment lien. In other words, a judgement lien is used to secure payment to a creditor and is enacted only after a debtor refuses to pay voluntarily. A judgement lien is satisfied when the property that is subject to the judgement lien is sold and the sale proceeds go to the creditor. A judgement lien that is placed on personal property is referred to as an attachment.
To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.
Definitions for Judgement Lien are sourced/syndicated and enhanced from:
This glossary post was last updated: 9th February, 2020