Judgment Liens on Property in Illinois

You went to court and got a judgment that says you're entitled to money from the party you sued, now called a "judgment debtor." What comes next? How can you—the judgment creditor—collect the money you're due? That's the focus of this article.

One way to collect is by putting judgment liens on the judgment debtor's Illinois property. After a quick review of how judgment liens differ from judgments, we'll turn our attention to the specifics of Illinois law. In particular, we cover:

• the kinds of property subject to Illinois judgment liens
• how you put judgment liens on Illinois property
• how long your judgment lien lasts, and
• the ways you can turn your judgment lien into money.

If you want some background information, here's more about how court judgments are collected.

What's the Difference Between a Judgment and a Judgment Lien?

A judgment is a court order that says a judgment creditor is legally entitled to a sum of money from a judgment debtor. But a judgment, standing alone, isn't self-enforcing. That is, you can't take a judgment to your county sheriff's office and demand that the judgment debtor's real estate be sold to pay you.

If you want to seize and sell the judgment debtor's property, you first have to attach your judgment to specific items of property. That's what a judgment lien does. In Illinois, a judgment becomes a lien on real property when you file it with the county recorder. Once that's done, you can start looking for ways to turn your judgment into cold, hard cash.

What Property Is Subject to Illinois Judgment Liens?

In Illinois, you can attach judgment liens only to real estate, meaning land, buildings, and other improvements. A properly filed judgment attaches a lien to real estate the judgment debtor presently owns, as well as property they acquire later—as long as your judgment lien is still good.

You can't put judgment liens on Illinois personal property—cars, artwork, antiques, electronics, household furnishings, and the like. But that doesn't mean a judgment debtor always gets to keep their autos, boats, and other big ticket items. Even without judgment liens, there's a way to have the sheriff seize personal property.

If you're considering this step, speak to an Illinois collection lawyer first. They can tell you whether it's worth your time and expense to go after the judgment debtor's personal property—and there's a good chance it won't be. If it's likely to be worthwhile, they'll guide you through the process.

Property Exempt From Illinois Judgment Liens

Like all states, Illinois exempts some property—both real and personal—from the reach of creditors. Dollar amounts mentioned here represent the maximum value of the debtor's exempt equity in the property, which might not be the same as the property's market value.

Here are a few examples:

• a homestead exemption, protecting as much as $15,000 equity in a primary residence ($30,000 for jointly owned property)
• equity of up to $2,400 in one motor vehicle
• a $4,000 "wildcard" exemption for personal property of the judgment debtor's choosing, and
• up to $1,500 equity in professional books, tools of the trade, and work-related implements.

How to Get an Illinois Judgment Lien

To attach judgment liens to Illinois real estate, follow these steps.

• Obtain a certified transcript or copy. Contact the clerk of the court that entered the judgment to request a certified transcript (summary) or certified copy of your judgment. Many counties provide online request forms or detailed instructions for in-person submissions. You'll need one certified transcript or copy for each county where you want to attach a judgment lien.
• File with the county recorder. File the certified transcript or certified copy with the county recorder for the county where the real estate is located. Check the recorder's website for electronic filing options and other requirements, like notarization. Once the certified document is properly filed, a judgment lien attaches to all non-exempt real estate owned by the judgment debtor in that county.

An Illinois judgment lien remains valid for seven years from the date judgment was entered or last revived. You can renew a judgment lien as described below.

How Long Does an Illinois Judgment Last?

When it comes to enforcing an Illinois judgment, there are two important dates:

• the date your judgment becomes dormant, and
• the judgment statute of limitations.

Date Your Judgment Becomes Dormant

If you don't take any steps to enforce your judgment within seven years from the date it was entered, the judgment becomes dormant. It's not quite dead, but it isn't really alive, either. Think of it as a "zombie" judgment. To bring the judgment back to life, you must revive it.

Under Illinois law, you can revive a judgment in the seventh year after it was entered or last revived, subject to the statute of limitations discussed below. To revive a judgment, file a petition in the same court that entered the original judgment, asking the court to revive it. When the court grants your revival petition, the seven-year enforcement clock is reset. You have another seven years to collect the money you're due.

You can revive a judgment up to three times: In the seventh, fourteenth, and twentieth years after the judgment was entered. By reviving a judgment three times, you get up to 27 years from the date it was entered to collect it. The statutory requirements for a revival action are painstaking and detailed. Think about hiring an experienced Illinois lawyer to prepare, file, and handle the case for you.

Note, importantly, that reviving a judgment doesn't automatically renew or extend your judgment liens. Those disappear after seven years. Each time you revive your judgment, you must re-attach new judgment liens following the procedures described above.

The Judgment Statute of Limitations

The Illinois judgment statute of limitations—the latest you can file a petition to revive your judgment—is 20 years from the date judgment was entered. As explained above, you can file one last petition to revive in the 20th year after judgment was entered, but that's it.

Assuming you file a petition to revive in year 20, once the final seven-year revival period expires (27 years after the judgment was originally entered), your judgment is legally dead. Barring extraordinary circumstances, nothing you do will bring it back to life. You can't take any steps to enforce it. In other words, you've lost the right to collect the money you're owed.

How to Collect on Your Illinois Judgment Lien

In general, there are three ways you can try to collect on an Illinois judgment lien:

• negotiate a settlement
• wait for the judgment debtor to refinance or sell, and
• force a sale of the property.

Negotiate a Settlement

If you want payment sooner rather than later, this is likely your best choice. No, you won't get all the money you're entitled to, but that's the nature of a settlement. You'll collect faster—and more inexpensively—than via the other two options.

Wait for the Judgment Debtor to Refinance or Sell

Most often, a buyer or lender will insist on clear title, free of all judgment liens. So, to sell or refinance, the judgment debtor will have to approach you to make a deal. Only now, you've got more negotiating leverage. As long as you're willing to sit tight and wait, this too is a low-cost, low-stress way to collect.

Force a Sale of the Property

Forcing a sale means having the sheriff sell the property at auction. This might seem like a tempting option. But before you head down this path, check with a local attorney to find out about the legwork and costs involved. In addition, see who's ahead of you in payment priority, or you might discover—too late—that the sale proceeds aren't enough to pay you in full (or at all).

Lastly, be aware that this step might be just the push the judgment debtor needs to declare bankruptcy. Should that happen, you're likely to be standing in a long, very unhappy line of creditors with little chance of getting paid.

Next Steps

We've covered Illinois judgment lien basics, but of course, the devil's in the details. Now that you're familiar with Illinois law, you might decide that your best option is to get help collecting your judgment. An experienced Illinois creditor's rights or collection attorney can answer your questions and help you chart a collection path that gives you the best chance to maximize your recovery.