Is a cognovit note legal in Connecticut?

Q: What is the cognovit code for Ohio Revised Code?

In Ohio, cognovit notes are governed by Ohio Revised Code § 2323.13. This statute allows for the use of cognovit clauses in certain agreements, enabling lenders to obtain a judgment without a trial if the borrower defaults. However, borrowers should be cautious, as these clauses can limit their legal recourse.

Full question:

IS COGNOVIT NOTE LEGAL IN CONNECTICUT

Category: Judgments
Date: 04/07/2025
State: Connecticut

Answer:

No. They are illegal in Connecticut if they contain a confession of judgment.

Connecticut Statutes
Title 52. CIVIL ACTIONS
Chapter 928. UNIFORM ENFORCEMENT OF FOREIGN JUDGMENTS
Current through the 2016 Regular and First Special Sessions

§ 52-604. Definition of foreign judgment

As used in sections 52-604 to 52-609, inclusive, "foreign judgment" means any judgment, decree or order of a court of the United States or of any other court which is entitled to full faith and credit in this state, except one obtained by default in appearance or by confession of judgment.

Cite as Conn. Gen. Stat. § 52-604

Source:

(P.A. 73-498, S. 1.)

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.

FAQs

What is a cognovit clause in real estate?

A cognovit clause is a provision in a loan agreement that allows a lender to obtain a judgment against a borrower without a trial if the borrower defaults. This clause can expedite the collection process but is not permitted in all states. In Connecticut, cognovit clauses that include a confession of judgment are illegal, meaning lenders cannot use them to secure judgments without court proceedings.

What is the cognovit code for Ohio Revised Code?

What states allow cognovit notes?

Cognovit notes are allowed in several states, including Ohio and Pennsylvania, where laws permit lenders to obtain judgments without a trial. However, many states, including Connecticut, have made cognovit clauses illegal, particularly those that involve a confession of judgment. Always check state-specific laws for the most accurate information.

Where are cognovit notes legal?

Cognovit notes are legal in states like Ohio and Pennsylvania, where they are recognized under state law. In these states, lenders can use cognovit clauses to secure judgments without a trial. However, in Connecticut and several other states, such clauses are prohibited, so it's essential to understand the laws of your specific state.

What is the difference between a promissory note and a cognovit note?

A promissory note is a written promise to pay a specified amount of money at a certain time, typically requiring court action to enforce. A cognovit note, on the other hand, includes a clause that allows the lender to obtain a judgment without a trial if the borrower defaults. While promissory notes are widely accepted, cognovit notes are illegal in Connecticut due to their potential to bypass judicial processes.