Collecting Judgments, Enforcement Methods, and Collection Tools - California Law
Collecting a California small claims judgment requires patience and persistence, as the court doesn't collect money for you. First, wait for the judgment to become final (30 days after mailing if the defendant could appeal, or immediately if you're the defendant who won). Send a written demand letter to the judgment debtor requesting payment by a specific date.
If voluntary payment isn't received, you can use formal collection methods including:
Before pursuing these remedies, conduct a judgment debtor examination using Form SC-134 to learn about the debtor's assets, bank accounts, and employment. Interest accrues at 10% annually until paid.
A Writ of Execution is a court order authorizing the sheriff or levying officer to seize the judgment debtor's non-exempt assets to satisfy your judgment. To obtain one in California, file Form EJ-130 (Application for Writ of Execution) with the court clerk along with the required fee (approximately $40-60).
Once issued, take the writ to the sheriff's department in the county where the debtor's assets are located, along with Form EJ-130 (Instructions to Sheriff) specifying what you want levied. You'll need to prepay the sheriff's fees, which vary by county and type of levy. For bank levies, you'll need the specific bank name and branch. For personal property, describe the items and their location. The sheriff will serve the writ on the bank or seize property, and funds collected will be sent to you minus fees. The writ is valid for 180 days and can be renewed.
Wage garnishment in California allows you to collect up to 25% of the judgment debtor's disposable earnings until your judgment is paid. To begin, file Form WG-001 (Application for Earnings Withholding Order) with the court, along with the appropriate fee.
Once the court issues the Earnings Withholding Order (Form WG-002), you must have it served on the debtor's employer by a registered process server or sheriff. The employer must then withhold the required amount from each paycheck and send it to you. California law protects low-income earners by limiting garnishment based on minimum wage calculations. If the debtor's earnings are below certain thresholds, less may be withheld. The debtor can claim a financial hardship exemption using Form WG-006. You must know the debtor's employer name and address; conduct a judgment debtor examination if needed.
Yes, you can record an Abstract of Judgment against real property owned by the judgment debtor in California. File Form EJ-001 (Abstract of Judgment) with the court clerk, who will issue a certified abstract showing your judgment amount. Take this to the County Recorder's office in any county where the debtor owns real property and pay the recording fee.
Once recorded, your judgment becomes a lien on any real property the debtor owns in that county for 10 years, renewable for additional 10-year periods. The lien doesn't immediately give you money, but the debtor cannot sell or refinance the property without paying your judgment first. If the property is sold, you'll receive payment from the proceeds. Priority is determined by recording date, so earlier recorded liens are paid first. You can record the abstract in multiple counties.
A judgment debtor examination is a court-ordered proceeding where the debtor must appear and answer questions under oath about their income, assets, bank accounts, and employment. To schedule one, file Form SC-134 (Application and Order to Produce Statement of Assets and to Appear for Examination) with the court at least 30 days after your judgment became final.
The court will set a hearing date, and you must have the order properly served on the debtor at least 10 days before the examination. At the examination, you can ask about employer information, bank accounts, vehicles, real property, income sources, and other assets. If the debtor fails to appear after proper service, you can request a bench warrant for their arrest. The debtor must also bring financial documents as specified in the order. Use the information obtained to target your collection efforts effectively.
California law protects certain assets from judgment collection through exemption statutes. Protected assets include:
The debtor must actively claim exemptions by filing Form EJ-160 (Claim of Exemption) when you attempt collection. Understanding exemptions helps you target non-exempt assets and avoid wasting money on unsuccessful collection efforts.
A California small claims judgment is enforceable for 10 years from the date of entry and can be renewed for additional 10-year periods. To renew your judgment before it expires, file Form EJ-190 (Application for and Renewal of Judgment) with the court between 5 years and 10 years after the original judgment date, or within 10 years of the most recent renewal.
The renewal must be filed before the judgment expires; once expired, it cannot be renewed. Each renewal extends enforceability for another 10 years. The renewed judgment includes the original principal amount plus any accrued interest at 10% annually. If you've recorded an Abstract of Judgment as a property lien, you'll need to record a new abstract after renewal to maintain lien priority. Keep records of all payments received.
If the judgment debtor appears to have no collectible assets, you have several options. First, conduct a judgment debtor examination to verify their financial situation; debtors sometimes hide assets or understate their income. Record an Abstract of Judgment against any county where they might acquire real property in the future.
Monitor for changes in the debtor's circumstances, as people's financial situations can improve over time. You can conduct repeated debtor examinations (after waiting at least 120 days between examinations). Consider using a professional collection agency, which will take a percentage of amounts collected but handles the work. You can also sell your judgment to a debt buyer, though you'll receive less than the full amount. Keep your judgment valid by renewing it before the 10-year expiration.
Generally, you can only collect a judgment from the person or entity named as the judgment debtor. However, there are exceptions that may allow collection from other sources. If the defendant fraudulently transferred assets to another person to avoid paying the judgment, you may be able to pursue the transferred assets through a separate fraudulent transfer lawsuit.
If the defendant was acting as an agent or employee, you might be able to pursue their principal or employer through a separate action. For business defendants, you may be able to pierce the corporate veil and pursue individual owners if proper corporate formalities weren't followed. If the defendant dies, you can file a claim against their estate within the required timeframe. These situations require additional legal action beyond your original judgment.
Once your judgment is fully paid, you are legally required to file an Acknowledgment of Satisfaction of Judgment with the court within 14 days of receiving full payment. Use Form EJ-100 (Acknowledgment of Satisfaction of Judgment) and file it with the court clerk where your judgment was entered. There is typically no filing fee for this form.
You must also record the satisfaction with any County Recorder's office where you recorded an Abstract of Judgment as a lien. Failure to timely acknowledge satisfaction can result in liability to the debtor for damages and costs. If the judgment was paid in installments, you can file a partial satisfaction showing the remaining balance. Keep records of all payments received, including dates and amounts, to support your acknowledgment. A filed satisfaction clears the debtor's credit record of the judgment.
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