A property lien may be utilized to collect a court judgment in New Hampshire. This is how it works.
In a civil court matter, a judgment is issued by the court after a judge or jury renders a verdict – or after a court-approved settlement. A typical judgment includes an order for money to be paid from one person to another. However, the individual who owes the money (the debtor) does not always pay it back. A judgment lien is one method of ensuring that the person who obtained the judgment (the creditor) receives what is due to him or her. A judgment lien grants the creditor the right to receive a set amount of money from the profits of the debtor’s property sale.
A judgment lien may be connected to the debtor’s real estate in every state, which includes a home, condo, land, or other kind of property interest. In addition, certain jurisdictions permit judgment liens on the debtor’s personal property, including as jewelry, art, antiques, and other valuables.
A judgment lien in New Hampshire may be connected to either real estate or personal property.
During the course of the case, the creditor may seize the debtor’s property. The creditor files the order of attachment with the New Hampshire Secretary of State for personal property. In the case of real estate, the creditor files the order of attachment with the registrar of deeds in any New Hampshire county where the debtor now resides or may reside in the future.
In New Hampshire, a judgment lien remains connected to the debtor’s property for six years (regardless of whether the lien is linked to real estate or personal property).
Keep in mind that in New Hampshire, a creditor’s ability to collect under a judgment lien is influenced by a number of factors, including a fixed amount of value that cannot be touched if the property is the debtor’s primary residence (known as a homestead exemption), other liens that may be in place, and any foreclosure or bankruptcy proceedings. If matters get problematic, you should consult with an expert New Hampshire bankruptcy and debt attorney to assist you in resolving any lien concerns.
If you want to go straight to the source and seek out New Hampshire laws on judgment liens – whether you’re a party to a judgment or merely looking for possible encumbrances on property – the applicable statute(s) may be found under N.H. Rev. Stat. Ann. Sections 511:1, 511-A:5, and 511:55:00.
