ihatearizona
Member
What is the name of your state?Arizona
In March of this year we had a default judgement recorded against us.
In May we filed for chapter 7. We were discharged last month (October).
I've been trying to figure out if we are protected against a lien on our home due to our state's homestead exemption. I found this on the Arizona Revised Statute web page:
33-964. Lien of judgment; duration; exemption of homestead; acknowledgment of satisfaction by judgment creditor
A. Except as provided in sections 33-729 and 33-730, from and after the time of recording as provided in section 33-961, a judgment shall become a lien for a period of five years from the date it is given, on all real property of the judgment debtor except real property exempt from execution, including homestead property, in the county where the judgment is recorded, whether the property is then owned by the judgment debtor or is later acquired. A judgment lien for support, as defined in section 25-500, and associated costs and attorney fees remains in effect until satisfied or lifted.
B. A recorded judgment shall not become a lien upon any homestead property. Any person entitled to a homestead on real property as provided by law holds the homestead property free and clear of the judgment lien.
C. A judgment of the justice court, municipal court, superior court or United States court which has become a lien under this article, shall, immediately on the payment or satisfaction of the judgment, be discharged of record by the judgment creditor or the judgment creditor's attorney by recording a satisfaction of judgment with the county recorder of the county in which the judgment is recorded. The judgment creditor or the judgment creditor's attorney shall enter a notation of satisfaction on the docket of the clerk of the superior court of each county where the judgment has been entered or docketed, and in a like manner enter a notation of satisfaction on the docket of the clerk of the United States district court.
NOW: Per section B of the above this tells me that the judgment cannot be forced to be paid if we sell our home (we are well within the exemption amount of $150,000). Am I correct? If we were to sell our home would we be clear of paying back the judgment?
AND: Here's where I have the most questions as I just found this section today. Per section C (above). Since the judgment has been satisfied by the bankruptcy, wouldn't the judgment creditor's attorney (per the above law) have to immediately record a satisfaction of of judgment? Am I correct???
In March of this year we had a default judgement recorded against us.
In May we filed for chapter 7. We were discharged last month (October).
I've been trying to figure out if we are protected against a lien on our home due to our state's homestead exemption. I found this on the Arizona Revised Statute web page:
33-964. Lien of judgment; duration; exemption of homestead; acknowledgment of satisfaction by judgment creditor
A. Except as provided in sections 33-729 and 33-730, from and after the time of recording as provided in section 33-961, a judgment shall become a lien for a period of five years from the date it is given, on all real property of the judgment debtor except real property exempt from execution, including homestead property, in the county where the judgment is recorded, whether the property is then owned by the judgment debtor or is later acquired. A judgment lien for support, as defined in section 25-500, and associated costs and attorney fees remains in effect until satisfied or lifted.
B. A recorded judgment shall not become a lien upon any homestead property. Any person entitled to a homestead on real property as provided by law holds the homestead property free and clear of the judgment lien.
C. A judgment of the justice court, municipal court, superior court or United States court which has become a lien under this article, shall, immediately on the payment or satisfaction of the judgment, be discharged of record by the judgment creditor or the judgment creditor's attorney by recording a satisfaction of judgment with the county recorder of the county in which the judgment is recorded. The judgment creditor or the judgment creditor's attorney shall enter a notation of satisfaction on the docket of the clerk of the superior court of each county where the judgment has been entered or docketed, and in a like manner enter a notation of satisfaction on the docket of the clerk of the United States district court.
NOW: Per section B of the above this tells me that the judgment cannot be forced to be paid if we sell our home (we are well within the exemption amount of $150,000). Am I correct? If we were to sell our home would we be clear of paying back the judgment?
AND: Here's where I have the most questions as I just found this section today. Per section C (above). Since the judgment has been satisfied by the bankruptcy, wouldn't the judgment creditor's attorney (per the above law) have to immediately record a satisfaction of of judgment? Am I correct???