When lenders secure loans through collateral and debtors default on payments, legal recourse is often necessary to offset the loss on the debt. Creditors often rely on collections law firms to handle debt collection.
Writ of Attachment
A writ of attachment is a court order that allows property seizure as described in the writ. For example, the writ can freeze assets in a bank account and put a lien on the account that entitles the creditor to the assets upon winning the case. A writ of attachment is a more general legal instrument, and replevin is a particular type of writ of attachment.
In New Jersey, replevin is governed by state statutes, in particular, Rule 4:61. Replevin. A creditor has two options for writs of replevin a writ on notice and a write ex parte. With a writ on notice, your lawyer makes a motion to the court to claim possession of the property by using an affidavit, which allows the defendant to counter through affidavits and evidence at the hearing. A writ ex parte occurs without notice based on the belief that the other party may try to hide, sell or destroy the property. The writ ex parte allows taking possession of the property before the hearing. During the hearing, the court determines which party has the right to the property. A sheriff or other law officer receives the writ of replevin from the court and serves it to the debtor. The debtor can provide the officer with a bond or cash deposit as security for the property. An example of a situation in which a party can move to use a writ of replevin is for repossession of a car because of a car loan default. When the creditor seizes the property, the defendant can counter-sue and present evidence that the property was wrongfully repossessed.
By working with an experienced New Jersey collections lawyer, you can take effective legal action to recover payment on debt.