What is a Judgment Bond?
A judgment bond (also known as a bond before judgment) is a type of surety bond that allows the winning party of a case to begin collecting a judgment. It is the responsibility of the winning party to obtain and pay for a judgment bond, but once this bond has been obtained and submitted to the court, the winning party will be able to immediately begin collecting the judgment that has been ruled in their favor. The winning party must also notify the party they are filing a judgment against.
When are Judgment Bonds Used?
Judgment bonds are often used when the party that has been deemed responsible has ignored the judgment the court has made against them. They allow the winning party to begin collecting their judgment.
Collecting a Judgment in Minnesota
When a party wins a judgment in Minnesota (they are known as the creditor), they have 10 years to collect the money owed to them by the debtor (the party the judgment was made against). To collect on a judgment that has not been paid in the 10-year timeframe, the creditor must renew the judgment by filing a new lawsuit with the court before the 10-year period has passed. This is done by serving a Summons and Complaint on the judgment debtor.
For more information on collecting judgments in Minnesota, refer to the Minnesota Basics of Money Judgments.
Obtaining a Judgment Bond in Minnesota
The sooner a judgment bond is obtained and presented to the court, the sooner the winning party will be able to collect their judgment. Since time is of the essence with these bonds, it’s important to work with a surety bond agency that has experience working with these bonds.
To obtain a judgment bond for your case, contact the surety experts at The Patrick J. Thomas Agency today.