Judgment enforcement (legal efforts to satisfy judgments on behalf of creditors who have already won their lawsuits) is a major component of Ariel Berschadsky’s law practice. Applying tenacity, experience, and a thorough knowledge of this area of law, the firm has been able to achieve numerous successes on behalf of its clients. This firm has represented individuals, companies, and, increasingly, other law firms which have won judgments but need expert assistance to hunt down debtor assets and seize them on behalf of their own clients.
Typical methods used to obtain assets belonging to recalcitrant debtors include serving restraining notices to banks and other holders of debtor assets in order to freeze them, serving information subpoenas to third parties in order to locate and obtain information about debtor assets, filing turnover proceedings to transfer property from debtors to creditors, and garnishing wages. In some cases, an additional lawsuit alleging fraudulent conveyance, successor liability, or “piercing the corporate veil” is required in order to restrain assets that can satisfy the judgment. Once assets are identified and restrained, either a Marshal or Sheriff is hired to levy upon the assets.
Representative judgment enforcement matters on behalf of recent clients include:
Represented textile importer against various individuals and affiliated New York companies in order to obtain and then enforce a $53,300 judgment. These judgment debtors had, in one form or another, over 50 uncollected judgments against them, presenting significant challenges for judgment enforcement. Successfully opposed their Motion to Vacate Default Judgment, and then employed a wide variety of collection techniques including asset searches, information subpoenas, property executions, and restraining orders. Ultimately, the judgment debtors cried “Uncle!” and settled.
- Represented California-based businesswoman with $3.5 million judgment against owner of co-op apartment in New York. The apartment was actively being marketed for sale. A Temporary Restraining Order (“TRO”) was obtained to prevent the co-op’s sale until its shares could be transferred to the judgment creditor. This process was further complicated by the fact that the property had been liened to a third party in order to enable the debtor to evade his creditors. The TRO was granted and a settlement (of that portion of the dispute) was subsequently reached.
- After winning a $57,568 judgment on behalf of Canadian photographic equipment wholesaler Carman’s Foto Source against 520 Camera Corp., conducted extensive discovery and asset investigations. Based on the information uncovered, filed a new lawsuit against defendant corporation’s shareholder alleging fraudulent conveyance, undercapitalization, and failure to adhere to corporate formalities. That case settled shortly thereafter, and client finally received what he was owed. [Carman’s Foto Source v. 520 Camera Corp., NYS Supreme Ct., NY Cty. (107286/03); Carman’s Foto Source v. David Edery, NYS Supreme Ct., Kings Cty. (38927/04)]
- Filed suit on behalf of realty company for breach of $36,000 promissory note by a corporation. After winning on default judgment, engaged in extensive discovery to track down assets. Identified fraudulent conveyance and initiated new lawsuit against former shareholder of the corporation. Won on Motion for Partial Summary Judgment, and the shareholder agreed to settle the case shortly thereafter.
Ariel Berschadsky presented Continuing Legal Education course for Lawline.com on July 16, 2014: Judgment Enforcement in New York
You’ve won the case, now how do you make sure your client gets paid? Join New York attorney Ariel Berschadsky for this introductory course that provides a step-by-step approach to enforcing New York judgments. Mr. Berschadsky provides valuable information on the various resources that can be used to locate a judgment debtor’s assets. He then guides viewers on how to freeze bank accounts, garnish wages, and place liens on real property while complying with all applicable New York Civil Practice Laws and Rules. Mr. Berschadsky also explains the best situations to use a marshal rather than a sheriff, and the locations of where judgments should be docketed. This course will teach all New York practitioners how to implement the most effective methods to collect the next outstanding judgment for their clients.
Ariel Berschadsky presented Continuing Legal Education course for New York County Lawyers Association on July 18, 2014: Judgment Enforcement in New York
Ariel Berschadsky presented Continuing Legal Education course for New York City Bar Association on October 1, 2014: Judgment Enforcement in New York