Legal Judgement filings are a moderate-to-high legal event where the result of a lawsuit against the defendant company is a court order, ordering them to make specific payments to a plaintiff. If a judgment is entered against a company, the debt collector will have more effective tools to collect the debt that is owed.
One such tool, garnishment is a proceeding by a creditor to collect a debt by taking the property, assets, and or a portion of the earnings of a debtor. Creditsafe receives data daily on judgments for organizations from the Courts and Recorders' Officers.
Filing length varies by court according to state and federal codes. In some states, judgments must be renewed every 5 years; in others, they are active for up to 20 years by default.
- On average 30,000 companies per year are affected.
- Affecting roughly 100,000 companies