Winning a judgment is easy for creditors after spending money, time, and energy. However, this does not guarantee that they will recover the money from the debtor especially if the debtor is unwilling to pay. The court has ruled in your favor, and now it’s your job to recover your money. Many creditors put all their efforts into collecting the judgment but fail to collect their money due to the delinquent nature of the debtor. In such scenarios, the selling judgment is a valuable solution to recover the debt.
Selling a judgment is an integral part of judgment collection offering an alternative route for creditors to recover their money. It allows the creditor to collect the cash upfront instead of waiting a long time to collect their hard-earned money from a reluctant debtor. The judgment-selling process involves several steps, including finding a buyer, price negotiation, and handing over the right.
This blog will discuss the process, options, and considerations for selling court judgments for cash. First, let’s understand what a Judgment is.
Understanding the Judgment
A judgment refers to a court decision resolving the dispute between two parties. This typically involves monetary compensation from one party to the other. While Judgment can also be non-monetary and legally enforceable, most judgments involve monetary compensation
as this is often considered the most appropriate form of compensation. Once the judgment is entered, the winning party has the right to collect the judgment through various means. They may collect the money from the losing party by seizing their money or property. However, collecting debt or judgment can be challenging for various reasons including the debtor’s unwillingness to pay the debt. This is where selling them becomes an ideal solution to recover the money.
Options for Selling Your Judgment for Cash
When selling judgment for cash, you can consider following marketplaces.
Judgment Marketplace
A judgment marketplace is an online marketplace where judgment sellers connect with potential buyers who may be interested in purchasing the judgment. This market is also sometimes referred to as the secondary market where judgments are transferred from an original party to a new party who will pursue the collection. Judgment buyers include collection agencies, law firms, and investors, as they specialize in judgment collection. This convenient option provides a centralized option for listing, negotiating, and selling your judgment. Moreover, judgment holders can connect with a vast pool of customers in the judgment market and find a suitable purchaser. Judgment holders can sell their legal judgment to buyers, who then have the right to collect the judgment on their behalf.
Direct Sale to a Collection Agency
Another great option to sell your judgment is a collection agency where you can deal directly. This involves selling the judgment to a collection agency that may pursue the collection on your behalf. These agencies hold expertise and plenty of tools to pursue difficult-to-collect debts.
Process of Selling Judgment
Assess the Value of Your Judgment
Before selling your judgment, it’s important to assess its actual value. While a judgment value on paper could be specific, its actual value is defined by the ability of the debtor to pay. If the debtor’s financial condition is good, you can receive more money. On the other hand, if the debtor’s financial condition is poor, the value of judgment may be lower.
Find a Potential Buyer
Finding a potential buyer would be the next step for selling your judgment. You will connect with buyers who may interested in purchasing your judgment such as collection agencies, investors, and other judgment buyers. These agencies specialize in judgment collection and have all the tools to pursue the collection effortlessly.
Price & Term Negotiation
Once you have found a buyer for your judgment you ask them for negotiation. In many cases, there is enough room for negotiation. Negotiate everything the price, cash terms, and portfolio details with judgment buyers. If you believe your judgment has a higher value, don’t hesitate to show the evidence to get the fair worth of your judgment.
Legal Documentation
After terms and price negotiation, the next step would be the legal documentation process. This is the final step in completing the sale of your judgment through legal documentation. Judgment buyers will typically provide you with the contract agreement mentioning the agreed amount, payment structure, and other relevant details.
Transfer the Rights
Once all the terms are completed, the rights to judgments are legally transferred from you to the buyer. This is the final step in selling your judgment.
Conclusion
If you have won the judgment but do not want to get involved in the time-consuming and challenging process of judgment collection, sell your judgment. By selling your judgment or working with a judgment collection agency you can recover your money without getting involved in a complex process of collection. Judgment recovery requires collection efforts and judgment collectors know how to do this job effortlessly. If you have won the judgment and don’t know how to recover your money, contact us. We can simplify your judgment collection efforts and recover your hard-earned money.
