If a third person has possession or control of property in which the judgment debtor has an interest or is indebted to the judgment debtor, the judgment creditor may bring an action against the third person to have the interest or debt applied to the satisfaction of the money judgment.
Miscellaneous Creditors’ RemediesCreditor’s Suit
Section § 708.210
If someone owes money or holds property for a person who owes you money (a debtor), you can take legal action against that third person to use that money or property to pay what you are owed.
third party possession interest in property judgment creditor
Section § 708.220
In a legal action to enforce a judgment, the person who owes money (judgment debtor) must be included in the case, but the case can continue without them being essential. Where the debtor lives doesn't affect where the case is held, unless the contract specifically states otherwise.
The judgment debtor shall be joined in an action brought pursuant to this article but is not an indispensable party. The residence of the judgment debtor may not be considered in the determination of proper venue unless otherwise provided by contract between the judgment debtor and the third person.
judgment debtor indispensable party proper venue
Section § 708.230
This law section explains the time limits for starting a legal action against a third party concerning property or debt when a judgment is involved. You must start the action either when the debtor could initially take action against the third party or within one year if a lien was placed during that same period. However, you can't start this action if the time to enforce the money judgment has run out. If you begin the action within these time limits, you can continue until you get a judgment.
(a)CA Civil Procedure Code § 708.230(a)Except as provided in subdivision (b), an action shall be commenced pursuant to this article before the expiration of the later of the following times:
(1)CA Civil Procedure Code § 708.230(a)(1) The time when the judgment debtor may bring an action against the third person concerning the property or debt.
(2)CA Civil Procedure Code § 708.230(a)(2) One year after creation of a lien on the property or debt pursuant to this title if the lien is created at the time when the judgment debtor may bring an action against the third person concerning the property or debt.
(b)CA Civil Procedure Code § 708.230(b) An action may not be commenced pursuant to this article after the period for enforcement of the money judgment has expired.
(c)CA Civil Procedure Code § 708.230(c) Notwithstanding Section 683.020, if an action is commenced pursuant to this article within the time permitted in this section, the action may be prosecuted to judgment.
judgment debtor third person action property lien
Section § 708.240
If someone owes you money through a court judgment, you can ask the court to prevent a third person from giving the debtor their property or money. This can be done with a formal court motion or quickly with an ex parte application, which doesn’t require notifying others beforehand. The court can also issue orders to freeze property or money until the case is resolved. The court has flexibility to change or cancel these orders as needed.
The judgment creditor may apply to the court in which an action under this article is pending for either or both of the following:
(a)CA Civil Procedure Code § 708.240(a) An order restraining the third person from transferring to the judgment debtor the property in which the judgment debtor is claimed to have an interest or from paying to the judgment debtor the alleged debt. The order shall be made on noticed motion if the court so directs or a court rule so requires. Otherwise, the order may be made on ex parte application. The order shall remain in effect until judgment is entered in the action or until such earlier
time as the court may provide in the order. An undertaking may be required in the discretion of the court. The court may modify or vacate the order at any time with or without a hearing on such terms as are just.
(b)CA Civil Procedure Code § 708.240(b) A temporary restraining order or a preliminary injunction or both, restraining the third person from transferring to any person or otherwise disposing of the property in which the judgment debtor is claimed to have an interest, pursuant to Chapter 3 (commencing with Section 525) of Title 7, and the court may make, dissolve, and modify such orders as provided therein.
judgment creditor third person restraining order
Section § 708.250
When you officially deliver a legal notice to someone who owes money to a debtor, it puts a legal hold or claim on the debtor's interest in certain property or money involved in a lawsuit.
Service of summons on the third person creates a lien on the interest of the judgment debtor in the property or on the debt owed to the judgment debtor that is the subject of an action under this article.
service of summons third person lien
Section § 708.260
If someone owes you money and you try to collect it by taking their property or debt in California, the person who owes the money can claim that some or all of that property or debt should be protected from being seized. They need to tell the court in writing at least 30 days before the trial and let you, the creditor, know as well. If they don't tell the court they want to protect their property, they generally lose that right. However, if they weren't properly informed about the legal action and the property at risk, they might still keep the right to protect it.
(a)CA Civil Procedure Code § 708.260(a)In an action brought pursuant to this article, the judgment debtor may claim that all or any portion of the property or debt is exempt from enforcement of a money judgment. The claim shall be made by application to the court on noticed motion, filed with the court and served on the judgment creditor not later than 30 days before the date set for trial. Service shall be made personally or by mail. The judgment debtor shall execute an affidavit in support of the application that includes all of the matters set forth in subdivision (b) of Section 703.520. No notice of opposition to the claim of exemption is required. If the
judgment debtor has not been named as a party to the action, the judgment debtor may obtain an order under Section 389 that the judgment debtor be made a party. Except as provided in subdivision (b), failure of the judgment debtor to make a claim of exemption is a waiver of the exemption.
(b)CA Civil Procedure Code § 708.260(b) Failure of the judgment debtor to make a claim of exemption in an action brought pursuant to this article is not a waiver of the exemption if both of the following conditions are satisfied:
(1)CA Civil Procedure Code § 708.260(b)(1) The judgment debtor has not been served with process in the action that contains a description of the property or debt reasonably adequate to permit it to be identified.
(2)CA Civil Procedure Code § 708.260(b)(2) The judgment debtor does not have actual notice of the pendency of the action and the identity of the property or the nature of the debt in issue.
judgment debtor money judgment claim exemption
Section § 708.270
This section states that if you are involved in a legal action under this specific article, you do not have the option to have your case decided by a jury.
There is no right to a jury trial in an action under this article.
jury trial legal action no right
Section § 708.280
This law is about handling claims where someone who owes money (a debtor) argues that their property or debts shouldn't be taken to pay what they owe. If they prove the claim, the court agrees and stops further action. If the person they're dealing with (a third person) has some of the debtor's property or owes them money, the court can use that to pay off the debt. The court can also stop this third person from moving the debtor's property until the debt is paid. If the third person wrongly gives the debtor their property or money against court orders, they might have to pay the creditor instead.
(a)CA Civil Procedure Code § 708.280(a)The court shall determine any exemption claim made in the action. If the judgment debtor establishes to the satisfaction of the court that the property or debt is exempt from enforcement of a money judgment, the court shall so adjudge and may not make the orders referred to in subdivisions (b), (c), and (d).
(b)CA Civil Procedure Code § 708.280(b) If the judgment creditor establishes that the third person has property in which the judgment debtor has an interest or is indebted to the judgment debtor, the court shall render judgment accordingly. The property or debt may be applied to the
satisfaction of the judgment creditor’s judgment against the judgment debtor as ordered by the court.
(c)CA Civil Procedure Code § 708.280(c) If the court determines that the third person has property in which the judgment debtor has an interest, the court may order the third person not to transfer the property until it can be levied upon or otherwise applied to the satisfaction of the judgment.
(d)CA Civil Procedure Code § 708.280(d) If the court determines that the third person has transferred property that was subject to a lien in favor of the judgment creditor or, contrary to court order of which the third person has notice, has paid the debt to the judgment debtor or has transferred the property, the court shall render judgment against the third person in an amount equal to the lesser of the following:
(1)CA Civil Procedure Code § 708.280(d)(1) The value of the judgment debtor’s interest in the property or the amount of
the debt.
(2)CA Civil Procedure Code § 708.280(d)(2) The amount of the judgment creditor’s judgment against the judgment debtor remaining unsatisfied.
exemption claim property enforcement judgment creditor
Section § 708.290
If someone wins a court case and tries to collect the money owed to them, they can't make the person who owes pay for any costs involved in their collection process.
Costs incurred by or taxed against the judgment creditor in an action under this article may not be recovered from the judgment debtor as a cost of enforcing the judgment.
judgment creditor judgment debtor enforcing judgment
