Enforcing a Judgment: When it’s Time to Hire a Los Angeles Court Appointed Receiver

If you are faced with an enforcement of a judgment that
is proving to be difficult or involves fraud, the illegal transfer of assets,
hiding of assets, or other activities, the appointment of a receiver is an
option worth considering.

Pursuant to Article 7, section 708.620 of the California
Code of Civil Procedure, entitled Receiver to Enforcement Judgment, “The court
may appoint a receiver to enforce the judgment where the judgment creditor
shows that, considering the interests of both the judgment creditor and
judgment debtor, the appointment of a receiver is a reasonable method to obtain
the fair and orderly satisfaction of the judgment.”

Although there are numerous examples of how a receiver
can be utilized to enforce a judgment for the benefit of the judgment creditor,
the following are some more common examples:

  1. Take Possession of Real Property
  2. Take Possession of a Judgment Debtor’s Liquor Licens
  3. Seize the assets of a busines
  4. Take control of a partnership interes

By carefully crafting the Order Appointing Receiver
(“Order”), the receiver will have broad based powers to collect the judgment on
behalf of the judgment creditor.
Assuming the Order is granted, some of the more common tools available
to a receiver are as follows:

  • Immediate Possession of Real Property
  • Access to Accounting Records
  • Possession of Bank Accounts
  • Collect Accounts Receivable
  • Liquidate Assets

Utilizing a receiver does pose some risks and is not the
ideal remedy for all judgment enforcement actions; however, for the cases that
prove to be more complex in nature, using a receiver and the broad based powers
given to a receiver, is a great alternative to the traditional methods of collecting
a judgment and can greatly increase the probability of a successful
recovery.

If you find yourself involved with an enforcement of a judgment,
contact the receivership specialists at FedReceiver. Our Los Angeles court
receivers have years of experience yielding substantial, positive results for
our clients. For more information, please visit our website to learn more about our services
or schedule a consultation.