Judgment Liens on Property in Massachusetts

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 Massachusetts property. After a quick review of how judgment liens differ from judgments, we'll turn our attention to the specifics of Massachusetts law. In particular, we cover:

• the kinds of property subject to Massachusetts judgment liens
• how you put judgment liens on Massachusetts 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. As we'll see below, when the county register of deeds records a writ of attachment on your judgment, it becomes a lien against the judgment debtor's nonexempt real estate in that county. At that point, you can look for ways to turn your judgment into cold, hard cash.

Kinds of Property Subject to Massachusetts Judgment Liens

In Massachusetts, you can attach judgment liens to:

• real estate, such as land, buildings, and other improvements, and
• personal property like cars, artwork, antiques, electronics, and household furnishings.

A properly recorded writ of attachment puts a lien on the judgment debtor's nonexempt real estate—both presently owned and later acquired—in that county. Judgment liens on personal property get attached in a different way. We discuss the processes for attaching judgment liens below.

Property Exempt From Massachusetts Judgment Liens

Like all states, Massachusetts exempts some property—both real and personal—from the reach of creditors. Exempt 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:

• an automatic homestead exemption of up to $125,000, but the amount can be as great as $1,000,000
• household furniture worth as much as $15,000
• clothing, certain household appliances, and up to $500 per month for utilities
• tax exempt pension or retirement plans and individual retirement accounts, and
• tools of the trade, fixtures, and implements necessary for the debtor's trade or business, and worth up to $5,000.

How to Attach Massachusetts Judgment Liens

Attaching a judgment lien to Massachusetts real estate isn't complicated. But if you want a lien on the debtor's personal property, there's more work involved.

Judgment Liens on Real Estate

A Massachusetts judgment becomes a judgment lien on the debtor's nonexempt real estate when a certified copy of a writ of attachment is recorded with the county register of deeds office. You want a judgment lien in each county where the judgment debtor owns, or might in the future own, real estate.

Judgment Liens on Personal Property

To get a judgment lien on Massachusetts personal property, ask the court to issue a writ of execution. Once issued, the writ acts as a lien on the judgment debtor's personal property. But the lien only lasts for 30 days. If you want it to continue, you'll have to take additional action.

If you're considering this step, speak to a Massachusetts 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.

How Long Does a Massachusetts Judgment Last?

In Massachusetts, a judgment is presumed to have been satisfied 20 years after it was entered. But this rule simply creates a presumption, meaning you can file a new lawsuit to get another judgment. You should start this process well before the 20-year judgment term expires.

If you find yourself in this situation, think about hiring a Massachusetts collection lawyer to represent you.

Getting a new judgment doesn't automatically renew or extend your judgment liens. If you still want those liens—and you do if the judgment debtor hasn't paid what you're owed—you'll have to re-record a writ of attachment in each county where the judgment debtor owns real estate.

How Do You Turn a Massachusetts Judgment Lien Into Money?

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

• negotiate a settlement
• wait for the judgment debtor to sell or refinance the property, and
• execute on your lien.

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 Sell or Refinance

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.

Execute on Your Lien

Executing on your lien means having the sheriff sell the judgment debtor's 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 Massachusetts judgment lien basics, but of course, the devil's in the details. Now that you're familiar with Massachusetts law, you might decide that your best option is to get help collecting your judgment. An experienced Massachusetts 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.