Full question:
My wife had a business debt which was over $100,000 which she was sued for, she filed bankruptcy and received poor legal advice. The bankruptcy filing was denied because it was said she failed to produce accurate business records....it was on the advice of the attorney that she did not produce the records (she had them). At any rate after losing the bankruptcy, the guy suing her was granted a large judgement. This was several years ago, recently, my wife and I were attempting to secure a home equity loan against our homestead. We were surprised to find that there had been a lien placed against our homestead by this man and we could not secure the loan due to this lien and could only do so if the man would subordinate his lien. Is it 'legal' that he was able to do that? What could we do to find out and what can we do if it was not 'legal' that he placed the lien?
- Category: Courts
- Subcategory: Attorneys
- Date:
- State: Texas
Answer:
When a person obtains a court judgment against someone, that person becomes a judgment debtor. If the judgment isn't paid, the judgment holder can place a lien on the debtor's property by filing a motion with the court that issued the judgment. To secure the lien, it must be filed with the county recorder's office where the property is located. You should contact the clerk of courts to check if an order of attachment was granted. Since the bank discovered the lien, it is likely already on file with the county recorder's office.
In Texas, a writ of attachment can be issued if the plaintiff meets certain criteria, such as proving the defendant is justly indebted and that the attachment is not intended to harass the defendant (Tex. Civ. Prac. & Rem. Code § 61.001). Specific grounds for attachment include situations where the defendant is hiding assets or about to leave the state without paying debts (Tex. Civ. Prac. & Rem. Code § 61.002).
To determine if the lien was placed legally, you may want to review court records or consult with a legal professional for further assistance.
This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.