How to Enforce a Judgment in New Jersey

Enforcing a Judgment in New Jersey

Obtaining a court judgment is a significant legal victory — but it is only the first step. If the judgment debtor (the person who owes you money) does not voluntarily pay, you must take active steps to collect. New Jersey provides several powerful enforcement tools.

Step 1: Docketing the Judgment

After obtaining a judgment in the Superior Court, you should docket it with the Clerk of the Superior Court. A docketed judgment becomes a lien on all real property owned by the debtor in New Jersey. This means the debtor cannot sell or refinance property without satisfying your judgment.

Step 2: Wage Garnishment (Wage Execution)

Under N.J.S.A. 2A:17-50 et seq., you can garnish up to 10% of the debtor's gross wages (or 25% of disposable earnings under federal law, whichever is less). To garnish wages, you must:

1. Obtain a Writ of Execution from the court
2. Serve the writ on the debtor's employer
3. The employer withholds the specified amount from each paycheck

Wage garnishment is one of the most effective collection tools because it is automatic and ongoing.

Step 3: Bank Levy

You can levy (seize) funds in the debtor's bank account. To do so:

1. Obtain a Writ of Execution
2. Serve the writ on the bank
3. The bank freezes and turns over funds up to the judgment amount

Note: Certain funds are exempt from levy, including Social Security benefits, unemployment compensation, and workers' compensation payments.

Step 4: Writ of Execution on Personal Property

A Writ of Execution authorizes the Sheriff to seize and sell the debtor's non-exempt personal property (vehicles, equipment, inventory, etc.) to satisfy the judgment.

Step 5: Charging Order (for LLC/Partnership Interests)

If the debtor owns an interest in an LLC or partnership, you can obtain a charging order — a court order directing that any distributions from the entity be paid to you instead of the debtor.

Step 6: Post-Judgment Discovery

If you are unsure of the debtor's assets, you can conduct post-judgment discovery — including interrogatories and depositions — to identify assets available for collection.

Exemptions from Execution in NJ

New Jersey law protects certain assets from creditors:

• Primary residence (homestead exemption — limited in NJ)
• Retirement accounts (IRA, 401k)
• Life insurance proceeds
• Social Security, disability, and pension benefits
• Tools of the trade (up to $1,000)

How Long Is a NJ Judgment Valid?

New Jersey judgments are valid for 20 years and can be renewed for an additional 20 years. Interest accrues on unpaid judgments at the post-judgment interest rate set by the court.

Default Judgments

If a defendant fails to respond to a lawsuit, a default judgment can be entered. Default judgments are fully enforceable through all the tools described above. However, defendants can move to vacate a default judgment if they have a meritorious defense and a reasonable excuse for not responding.

Disclaimer: This article is for general informational purposes only and does not constitute legal advice. Please consult a licensed New Jersey attorney for advice specific to your situation.