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Can a judgment creditor do this?

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Judgment creditor

Can a judgment creditor take my security deposit on my leased Automobile. The lease was taken out before the judgment was obtain if that makes any difference. Of course, if they can do this, ford will want their car back. Can I use the wildcard exemption in Washington state to protect this amount of $1500.

Attorney Answers 4


  1. Best answer

    It is very unlikely that a judgment creditor could take a security deposit for a lease. The car company as long as the lease is valid and they have a security interest in the deposit has first dibs on the money. If the lease is over and you have a right to the money again then the creditor theoretically could go after money that is yours. But if you lease in effect then the car company has a security interest in the deposit for the lease. If you are filing bankruptcy you list it the as a security deposit and the car creditor as the lienholder. Hope this helps.

    The response given is not intended to create, nor does it create an ongoing duty to respond to questions. The response does not form an attorney-client relationship, nor is it intended to be anything other than the educated opinion of the author. It should not be relied upon as legal advice. The response given is based upon the limited facts provided by the person asking the question. To the extent additional or different facts exist, the response might possibly change. Attorney is licensed to practice law only in the State of Illinois. Responses are answers to general legal questions and the receiver of such question should consult a local attorney for specific answers to questions.


  2. Whether the security deposit on your car is exempt or not, it is highly unlikely that Ford would be willing to relinquish this money to a judgment creditor while the lease of your vehicle is active. Alter all, they have a legal right to keep this money while you lease the vehicle and to look to the deposit to compensate them for any damages or excess mileage on the vehicle. I can just imagine Ford's big legal department's reaction to a claim like this. If your deposit were to be refunded to you soon, it might be a more difficult question.

    Hope this perspective helps!


  3. Security deposits are generally exempt. I have never heard of this happening before.

    Disclaimer: This answer does not constitute legal advice. I am admitted in the States of New York, New Jersey and Massachusetts only and make no attempt to opine on matters of law that are not relevant to those three States. This advice is based on general principles of law that may or may not relate to your specific situation. Facts and laws change and these possible changes will affect the advice provided here. Consult an attorney in your locale before you act on any of this advice. You should not rely on this advice alone and nothing in these communications creates an attorney client relationship.


  4. The Car lease folks have a superior lien to others. they have possesion of it and it is collatereal for your agreement. Can not think of a way they could be forced to turn iy over.

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