Can a judgement be collected on a person that is deceased?

Question

If a creditor goes to the judical court and a judgement is granted to them(this was 13 years ago), and it states "active", what happens now. My grandmother died 10 months ago. will this make her title on her land cloudy?..there was also a lien against the land because of them..we are getting ready to purchase a new mobile home on this land, which we still live on.

Answer 1

The judgement has to be paid out of her assets, even if this means you have to sell the assets.    

This should be about done with probate court, you should ask the executioner of her will when the debts will be cleared.

Answer 2

Having a lien on land mean that you have a legit claim to it if payments are not made.  So, the lien will need to be satisfied one way or another.

Answer 3

Who is her personal representative or is handling probate for her estate?  Her final personal income tax (if any) or debts need to be settled before any distribution of her estate.

If there are not enough other assets to cover her debts, either the property would be sold, or you may need to come up with the money to settle the lien.  Discuss that with whoever is legally handling her estate.

Answer 4

How could they pay it if they're dead?

Answer 5

I think you may just have to show the deceased paperwork to the ones who are trying to make her pay. You also may check with a lawyer because the judgement will sit active until it is satisfied.

Answer 6

Yep. A legitimate debt can be collected from a deceased persons estate.

The Rat

Answer 7

Hi deeshawn,

It will probably all come out of their estate. If there hasn't been an executor appointed to handle the estate, the government steps in and handles the estate.

Answer 8

Get a local lawyer involved.

Answer 9

yes.  Think Howard Hughes.  HE had a corporation and he debtors went after it.

IF any deed is now cloudy, you should go to

an escrow company and get title insurance.

Also, if someone is paying on a prop,

that note usually has a death benefit so that

the house goes to the beneficiary in

a bequeated hearing--a 'reading of the will.'

Answer 10

If the judgment was still in force at the time of her death...yes.  They can put a lien on any assets that she had. This would be a matter for a probate attorney in regards to the estate.

Answer 11

If they are just now suing for something from 13 years ago then almost certainly the statute of limitations for this has passed and they can't get a judgement (ie they will lose the court case).  This possibly won't apply if they have kept the debt current (ie kept bugging your grandmother about it for 13 years).

If there is a current lien on the land then this will probably remain in effect and must be paid off.  If title passes to someone else (you probably) with no sale then the lien just stays in place and will probably have to be paid off when you sell the land (no bank or buyer will accept the land with a lien on it).  If the land is sold now then the lien will be paid with proceeds of the sale (again the new buyer will insist on this).

One thing you could do is go to the lien holder and offer them a tiny percent of the lien amount to satisfy it (like 10% or so - for a 13 year old lien they may be happy to accept this).  Have an attorney draw up the paperwork if they accept this and if not you can just deal with it when you sell the land some day.

Another possibility is liens have to be renewed every 10 years (where I live) and if they forget or don't bother to do this the lien just goes away.  Maybe this could happen if you just ignore them.

Answer 12

Yes, they can put a lien against the home which is now part of the estate.