Gillhams Solicitors and Lawyers
debt recovery
Recovery of Judgment Debts in England
Obtaining a favourable judgment in legal proceedings is a significant step in the course of litigation. Upon obtaining judgment, the successful litigant has obtained the relief that was sought from the court. Legal proceedings are usually commenced to either prevent a continuance of named conduct by the defendant, but most frequently to obtain a money order to compensate the claimant for some unlawful conduct on the part of the defendant. When judgment includes an order the unsuccessful party pay damages to the successful litigant - the judgment debt - the question turns to payment of the damages award to satisfy the order of the court. That is, to execute the judgment. In the first case, the claimant would be seeking an injunction; in the second the claim would be for damages or an account of profits.
When a judgment creditor enforces an order, the judgment debtor is liable for the costs of satisfying the order, and such legal costs are added to the sum recoverable by the execution of the enforcement process.
The judgment creditor may apply for an order that the debtor attend court to provide information in respect to their assets. When in attendance the debtor will be required to answer questions under oath relating to their debts and assets. In addition to this, for corporate defendants, information may be located at Companies House, by conducting insolvency searches and others.
After the cross-examination of the debtor, it may come to light that they are owed money themselves from a third party to the proceedings. Third Party Debt Orders allow the judgment creditor to take over such debts, and be paid the sums due, rather than the judgment debtor.
Charging orders are used to obtain security over land, shares and other securities owned by the judgment debtor up to the sum of the judgment debt. In common with Third Party Debt Orders, charging orders are made on an interim basis to allow interested parties to object to the making of a final order.
Writs of Fieri Facias entitle a High Court Enforcement Officer (formerly a sheriff) to peaceably enter upon premises to seize goods owned by the judgment debtor for the purposes of sale to satisfy the debt. County Courts are empowered to issue warrants of execution for judgment debts for sums less than or equal to £5,000.
Writs of delivery are available to require the judgment debtor to deliver up specified property.
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Articles
- Obtaining Evidence – Emails, Digital Documents and Communications as Evidence in Commercial Litigation
- Business Structures – Partnership Law & Misleading Statements – Court Enforced Duties of Good Faith
- Obtaining Evidence – Pre-Claim Disclosure in Commercial Litigation
- Disputes & Litigation – Rights to Sue and Selecting Defendants to Sue in England
- Damages & Compensation – Claiming Compensation in the UK – Assessment of Damages