Legal Question in Credit and Debt Law in Nebraska

Small Claim Judgement Collection

I have issued an execution of property order on a small claim judgement. Our sheriff delivered notice, but then gave the party two weeks to pay cash or they would then take property. Meanwhile, they have done no search for property. When I made the loan to this party he (in writing, but only in an agreement written up by me) promised a tool as collateral. Now our sheriff says there is no "visible" property to take and that since he is self employed they cannot take this tool. Is this correct...can he avoid payment by claiming his property is all used for income generating? I also know that at the time of the court judgement he owned two pickups. What happens if the sheriff refuses to go after these, or if he puts them in someone elses name to avoid siezure?

I know at least one firm he is sub-contracting for. Can I go after the money the may owe him now or in the future. If so how? Also is there a time limit in which I have to collect or he gets off free? Any other suggestions to collect???


Asked on 6/09/99, 4:46 pm

1 Answer from Attorneys

Stephen Silverberg Silverberg Law Office

Small Claim Judgement Collection

1. Get yourself another sheriff, if possible.

2. Most states exempt from execution the tools the debtor needs to practice his/her trade. So, probably, the "tool" you are talking about is exempt.

3. Whether your debtor's trucks would be considered exempt "tools" will depend on the laws of your state. However, if the trucks are old and owned without financing, it is quite possible that the cost of having the sheriff seize and sell them would equal or exceed their value, leaving you with nothing for your trouble, and if the cost was more than the trucks brought, you would have to pay the sheriff his losses. If the trucks are anywhere near NEW, they are probably financed up to or more than their current value, and the proceeds of any sale would first go to the finance company, again possibly leaving you with having to pay the sheriff's costs.

3. Now something more encouraging. Your court system probably has a way to allow you to drag him into court (having him arrested for the purpose, if necessary), where he would HAVE to show you his tax returns, bank statements and business records, and answer questions about how he earns his money and where he keeps it. If you ask the right questions, he would have to tell you who his customers are, and how much he bills his regular customers. You might then be able to attach a bank account or a bill owed to him by his biggest and best customer.

Depending on the amount involved, you might consider hiring an attorney just to prepare the papers and write up a list of questions for you to ask.

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Answered on 6/15/99, 10:17 pm


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