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Clever ways to collect on a judgement against someone/business?

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beckysue_92

New member
What is the name of your state? Alabama
I received a default judgement for $50K from a contractor that did faulty work and never finished the job. The person was a former family friend and I have the person's ssn, possible new address and email. The judgement was on both the contractor's business and him personally, if that makes sense. The issue is the contractor has no actual assets without a lien. He doesn't really do construction work anymore and works a regular job now. I know he has cars hidden at his mother's house but I found out during a background check, that the car has/had a lien and the car company was looking for the vehicle because he never paid it. I'm not sure where he works now but I know he had insurance with "Best Insurance Agency LLC". I'm not sure what bank he uses because he changes bank accounts all the time. Does anyone have advice on what I can do to collect money or any small assets from him? At this point I would take the bed he sleeps on. He's married but I would think his wife would have to show certain assets belong to only her.
 


quincy

Senior Member
Do you know if Alabama currently has a State order temporarily prohibiting all debt collection activity?

You might look into hiring a skip tracer to help you locate the judgment-debtor’s assets. Or you potentially could sell your judgment to a debt collection agency, if you are looking for a faster payoff than you stand to get with a lien (although if going this route, you would get much less than the $50,000).
 

beckysue_92

New member
Do you know if Alabama currently has a State order temporarily prohibiting all debt collection activity?

You might look into hiring a skip tracer to help you locate the judgment-debtor’s assets. Or you potentially could sell your judgment to a debt collection agency, if you are looking for a faster payoff than you stand to get with a lien (although if going this route, you would get much less than the $50,000).
No state orders to stop debt collection. I have used a skip tracing service for a background check and they provided some intel, which is how I got current addresses, alias', known associates, and possible employers. Unfortunately, he has no debt. I've looked into selling the debt before but all of the debt collecting company's only deal with large corporations. Plus selling the debt wouldn't give me 25% of the payment. At this point, i'm trying to be creative to collect. I'll do whatever I need to.
 

quincy

Senior Member
No state orders to stop debt collection. I have used a skip tracing service for a background check and they provided some intel, which is how I got current addresses, alias', known associates, and possible employers. Unfortunately, he has no debt. I've looked into selling the debt before but all of the debt collecting company's only deal with large corporations. Plus selling the debt wouldn't give me 25% of the payment. At this point, i'm trying to be creative to collect. I'll do whatever I need to.
Have you tried a post-judgment interrogatory?

You have 10 years to collect on the judgment so you possibly could wait awhile - although the contractor might be considering bankruptcy to escape his debts.
 

adjusterjack

Senior Member
The judgement was on both the contractor's business and him personally, if that makes sense.
It does. You sued both, he didn't defend, you got a judgment against whoever you listed as a defendant. If he has an LLC he might have been able to get himself dismissed as an individual and you'd be dealing with an empty piece of paper.

He doesn't really do construction work anymore and works a regular job now.
Find out who his employer is and garnish his wages.

I know he has cars hidden at his mother's house but I found out during a background check, that the car has/had a lien and the car company was looking for the vehicle because he never paid it.
OK, he's a deadbeat. Likely judgment proof and the odds of you ever collecting on the judgment are slim.

I know he had insurance with "Best Insurance Agency LLC"
That doesn't help you.

I'm not sure what bank he uses because he changes bank accounts all the time.
Another sign that he is a deadbeat who stays one step ahead of bill collectors.

Does anyone have advice on what I can do to collect money or any small assets from him?
Was he licensed? If he was licensed he would likely have a bond posted with the state that you can look into. If he wasn't licensed, well, that's kind of on you, isn't it.

At this point I would take the bed he sleeps on.
The bed he sleeps on is likely included in the exemption from judgment of $7500 worth of personal property.

https://law.justia.com/codes/alabama/2019/title-6/chapter-10/article-1/division-1/section-6-10-6/

At yard sale prices, everything he owns is probably less than $7500.

Sorry to have to paint such a bleak picture. I've dealt with contractors all my life as a homeowner and as a claims adjuster. You have scraped the bottom of the barrel with this one.
 

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