Collecting Personal Injury Judgments

Congratulations, you won a judgment in your personal injury case. Now, you must collect the judgment. That can be harder than you expect. The court doesn’t make the defendant immediately hand you a check. A well-off defendant may be able to pay the court judgment. However, some defendants may not have the resources to pay. Unfortunately, some defendants may have the means but drag their feet on paying.

If you’re having trouble collecting a judgment, a personal injury attorney in your area can help. An attorney can give you legal advice. They’ll know what options you have available under state law.

What Is a Judgment in a Personal Injury Lawsuit?

A personal injury claim occurs when someone else may be responsible for your injury. Examples of these accident cases include the following:

• Car accident
• Motorcycle accident
• Medical malpractice
• Wrongful death
• Product defect
• Premises liability like slip-and-fall

There are three possible outcomes in a personal injury claim. The first is a personal injury settlement. A settlement is the most common result. In a settlement, the defendant agrees to pay you a specific amount of money. The settlement agreement specifies the amount. It covers your legal fees, medical bills, and other damages. The defendant’s insurance company usually negotiates the settlement with you.

The second possible outcome is that you go to court and lose. In this case, you don’t get any compensation.

The third possibility is that you go to court and win a judgment. You can win extensive damages in a personal injury judgment. That’s in addition to money for your attorney’s fee and medical bills. You could win more from a trial than from a settlement. But that’s not guaranteed. Trials can also be lengthy and expensive. The defendant can also appeal to the case outcome. That will add to your expenses. It will also delay your collecting any money.

How Do I Collect a Personal Injury Judgment?

You won in court. Now, you have to collect the judgment from the defendant. You become a creditor when you win. The defendant is the judgment debtor. The amount of time the defendant has to pay varies by state law.

If the defendant has liability insurance coverage, collecting should be straightforward. The insurance company will send you a check. Insurance companies generally pay on time. But, an appeal of the lawsuit’s results by the defendant could delay your payment.

Collecting can be more complicated if the defendant doesn’t have insurance coverage. Some personal injury lawyers won’t take cases with an uninsured defendant. That’s because they often have limited assets.

As a creditor, you have options if the defendant doesn’t pay on time. These options include the following:

• Levy on the debtor’s bank account. In this case, the defendant’s bank will withdraw the money from the defendant’s account and transfer it to you.
• Lien on the debtor’s property. With a lien, you’re entitled to the money when the defendant sells the property,
• Wage garnishment. You can get the debtor’s employer to withhold part of the debtor’s paycheck and transfer it to you.

How Can an Attorney Help Collect a Personal Injury Judgment?

You may think the hard part is over when you win a personal injury judgment. In some cases, the work may only be starting. If the defendant can’t, or won’t, pay—you have options. A personal injury attorney in your area can explain your options for collecting what you’re owed.