You have won and finally obtained a judgment.
You are past the point of politely requesting payment. Just take action.
1. Bank levy. [CCP§700.140] The most common way to collect a judgment is to levy a debtor's deposit account. This is handled by the sheriff (sometimes together with a registered process server) for the county where the bank accepts service. [If no location is indicated, it is proper to serve any branch.] Upon receipt of your instructions [Sheriff forms SER-001 AND SER-001A] and a Writ of Execution issued from the court, the levying officer will serve the bank. If there are non-exempt funds in the account on the day of the levy, they will be frozen. The levy lasts for one day only. If and when the judgment debtor files a Claim of Exemption you must move immediately to get a hearing date and file an opposition, or the funds will be returned to the judgment debtor. [Note that in federal judgments the USMarshal is the levying officer.]
2. Multiple bank levies. The bank balance may be zero or overdrawn on the day of your levy but the next day it could be flush with funds. Thus setting up subsequent multiple levies will increase your chance of collection.
3. Safe Deposit Box. [§700.150] Once the sheriff levies on a safe deposit box, the bank is prevented from allowing removal of the contents of the box. If a safe deposit box exists, an additional fee will be required by the sheriff for the forcible opening of the box.
4. Accounts receivables. [§700.170] The sheriff personally serves a copy of the writ and notice of levy on the account debtor. Alternatively, third parties owing the debtor money may be levied.
5. Property of a decedent's estate. [§700.200] A debtor's inheritance can be reached by levying on the personal representative of the decedent. The court will make an order that the debtor's portion of the estate be delivered to the sheriff.
6. Crops, timber, livestock, minerals, oil/gas. [ §700.020]
7. Real property. [§700.015] - This is a labor-intensive procedure which can easily take a year or more to conclude although oftentimes the matter is settled before the sheriff's auction. Note that the new homestead exemptions have been raised, making levying on property problematic unless there is substantial equity over $600,000. [§704.730]
8. Affidavit of Identity. - Oftentimes the name as entered in a judgment does not match the way the debtor has titled real property or a bank account. To remedy this a creditor may file an Affidavit of Identity ex parte which sets forth the additional aliases and the facts supporting the additional names. Once the court approves the Affidavit, it becomes an order allowing the creditor to add those names onto an abstract or writ of execution. This is a way to reach real property or a bank account where before it would not have been possible due to the mismatched names.
9. Tangible property held or in control by debtor. The sheriff can take the property into custody - §700.030
10. Sheriff's keeper. Per §700.070 a creditor may install the sheriff in the debtor's business for a specified period of time and upon payment of requisite fees. Customers must pay via cash or equivalent and all checks will be taken and cashed by the sheriff. The creditor may also instruct the keeper to inventory the debtor's business.
11. Till tap. - less expensive than a keeper -- but also less effective. The sheriff takes all cash and checks from the register and then exits the business. This is not usually effective as most payments received by businesses today are digital, but it will get the attention of the debtor.
12. Vehicle Levy. - §700.090 It's important that you know something about the debtor's vehicle before you engage the sheriff. Leased vehicles cannot be seized, and there must be substantial equity because the debtor is entitled to an exemption of $8,625. Also bids at a sheriff auction must pay off any existing loans and sheriff fees are $2500. You must also make sure that the title matches the name on the writ.
13. Chattel paper. CCP§700.100, Instruments - CCP§700.110, Negotiable Documents of Title CCP§700.120. If the property is in the possession of the debtor, the sheriff will take it into custody. If held by a third party, the notice of levy and writ will be served on the party.
14. Securities. §700.130 - To levy on stocks, bonds, ETFs and other securities, a writ of execution is personally served at the location where the issuer of the security is.
15. Bank account in non-debtor name. CCP§700.160. Pursuant to supporting affidavit, the sheriff may levy upon an account of the spouse, a fictitious business name and additional aliases pursuant to an Affidavit of Identity.
16. Third person levy. CCP §701.010 provides a method to reach funds held by a third person. Examples are tenants, contracts and funds held for the benefit of the debtor, such as funds held by an attorney. Note: A levy on property under a writ of execution creates an execution lien on the property from the time of the levy until the expiration of two years after the date of issuance of the writ unless the judgment is sooner satisfied. CCP 697.710
17. Assignment order. [708.510-708.560] - When a debtor has income that is not subject to garnishment, such as royalties, independent contractor work, rents, commissions, the creditor may apply to the court for an order assigning to the creditor the debtor's rights to payments.
18. California Secretary of State lien. CCP§697.510. A lien with the Secretary of State is all encompassing [ CCP§697.530] and attaches to accounts receivable, chattel paper, equipment, farm products, inventory, negotiable instruments within the state.
19. Earnings Withholding Order. §706.010-706.154 A percentage of the earnings of the debtor are garnished to satisfy the writ. The formula changed in 2023 and is somewhat variable and convoluted as set forth in CCP§706.50.
20. Written Interrogatories. [708.010-708.030] Every 120 days interrogatories may be served upon the judgment debtor. The creditor may also demand that documents be produced.
21. Judgment Debtor Examination. §708.110 The creditor may apply for an order to examine the judgment debtor to discover assets. Personal service is required and the examination should always be accompanied with a document subpoena for maximum effect. If the debtor does not produce the requisite documents the judgment debtor may be ordered to return to court at another date with the documents. Service of the order creates a lien on all non-exempt property of the debtor for one year from the date of the order.[On January 1, 2024, the rules regarding 'consumer debt' changed. If the judgment is a 'consumer debt', special rules apply under CCP §708.111 which make examining the debtor substantially more difficult due to burdensome requirements.]
22. Third Party Examination. §708.120 - Upon application to the court supported by affidavit, a creditor may examine a non-debtor who has possession or control or property in which the debtor holds an interest or is indebted to the debtor.
23. Charging order. 708.310-708.320 - The judgment debtor's interest in a partnership or LLC may be applied toward satisfaction of the judgment pursuant to motion. A lien is acquired by service of the notice of motion on the partners and members of the LLC.
24. Lien in a pending action. CCP§708.410-708.480 If the judgment debtor is a party to a legal proceeding, a creditor can place a lien on a debtor's recovery by filing either an abstract or a certified copy of the judgment within the action along with the requisite notice to the parties. The matter cannot be settled without a court order, the consent of the creditor, or upon satisfaction of the judgment.
25. Creditor's suit. CCP§708.210-708.290 An action may be brought against a party restraining them from paying the judgment debtor, transferring property in which the creditor holds an interest or refusing to comply with a sheriff's levy or court order.
26. Appointment of a receiver. CCP§ 708.610-708.630 - The court may appoint a receiver, pursuant to motion showing the appointment of a receiver is a reasonable method to obtain an orderly satisfaction of judgment. This is used when there are substantial assets which are not easily reached using other methods, such as the sale of an alcoholic beverage license or liquidation of a business or multiple properties.
27. Trust assets. CCP§709.010 If the debtor is a beneficiary of a trust, the creditor may apply to the court for an order applying the debtor's interest in the trust toward satisfaction of the judgment.
28. Enforcement against a franchise. CCP§708.910-708.930 A judgment debtor's ownership of a franchise is subject to enforcement pursuant to noticed motion.
29. Garnish wages of debtor's spouse. CCP§706.109 Inasmuch as wages are generally presumed to be 'community property' in California, wages of a debtor's spouse are subject to garnishment upon noticed motion.
30. Involuntary bankruptcy. [US Bankruptcy Code 303(a)] An extreme remedy which can be a powerful tool if the debtor is dissipating assets. There are strict requirements under the code that must be met before a petition can be filed.
31. Third party subpoenas. §708.130 [Troy v. Superior Court (1986) 186 Cal.App.3rd 1006] The creditor may have third-party subpoenas issued if tied to a hearing on calendar. Disinterested third parties such as banks and escrow companies are oftentimes the best source of information leading to discovery of income and assets. A Notice to Consumer may be required under CCP §1985.3.
32. Intellectual property or intangible assets. Patents, copyrights, digital assets are subject to enforcement. These cannot be reached via writ of execution and would require other methods, such as the appointment of a receiver or the use of an assignment order.
33. Turnover Order. If a writ of execution has been issued, per a noticed motion for a turnover order, the creditor may apply to the court requiring the debtor to turn over property or documents to the sheriff §699.040. Alternatively, following a debtor's examination and the discovery of assets or documents, under §708.205 the court may issue a turnover order on the spot. The creditor should be armed with a pre-drafted order for the judge's signature.
34. Cryptocurrency. Digital assets are not immune to enforcement of a judgment. The various tools used to discover and reach cryptocurrency will depend on the type of crypto held. For instance, if the crypto is in the custody of an exchange in the United States, such as Fidelity, Coinbase or Gemini, it can be reached through a writ of execution via levy or assignment order served upon the exchange. If, however, the assets are held in the debtor's 'wallet', it requires the debtor to turn over the assets. Should the debtor fail to cooperate, the creditor can compel cooperation through the court using assignment, restraining, turnover orders and contempt proceedings. Depending on the situation, the judgment amount and the perceived crypto amount, it may be beneficial to have a special receiver step in. In either situation, discovery and possibly digital forensics may play a critical role in recovery.
35. Private place order. §699.030(b). If property subject to levy is located in a private place such as the debtor's dwelling, the judgment creditor may apply ex parte (or on noticed motion if directed by the court) seeking an order directing the levying officer to seize property in a private place. The application must describe with particularity the property sought as well as its location in the private place. The officer upon arrival makes a demand for the property. If the property is not voluntarily delivered, the officer may enter the building and if necessary, forcibly break into the building or enclosure.
36. Life insurance policy. Cash value unmatured life insurance can be reached to satisfy a judgment, but is subject to California's statutory limit. If your relationship with the debtor is civil and conditions are right, in rare situations the debtor may agree to either add you as a beneficiary to a current life insurance policy or take out a new policy altogether if one does not exist. In family law, life insurance policies are often part of a marital settlement agreement.
37. License suspension. If your judgment is the result of a car accident, you may suspend the debtor's license for up to six years. If your judgment is for child support, you may suspend the debtor's drivers license if the debtor is in arrears for at least 30 days.
38. Contempt. There is no such thing as 'debtor's prison' anymore. If, however, the debtor willfully violates a court order, in rare situations the debtor could be taken into custody. An Order to Show Cause re Contempt must be filed and personally served on the judgment debtor. This gives the debtor a chance to explain his flagrant disregard for a court order. CCP §1209, et seq., provides the court with the power to punish acts which are in "disobedience of any lawful...order of the court." and "any other unlawful interference with the process or proceedings of a court §1209(a)(5), §1209(a)(9). Section 1209 contempt proceedings are special proceedings, criminal in nature, intended to implement the inherent power of the court to enforce its lawful orders. Pacific Telephone and Telegraph Co. v. Superior Court, (1968) 265 Cal.App. 2d 370, 371-372.
Disclaimer: The author is not an attorney. The above information relates to the relevant sections of the California Code of Civil Procedure and does not constitute legal advice.