1Dear [FIRSTNAME], The topic of this issue of the newsletter is a brief discussion of the filing of an action on a judgment under

Code of Civil Procedure Section 337.5(b) in California. Many people are under the impression that a California judgment is no longer collectible once 10 years have passed since the date of entry of the judgment. That is not always true. In fact, Code of Civil Procedure Section 683.020 states that, "Except as otherwise provided by statute, upon the expiration of 10 years after the date of entry of a money judgment or a judgment for possession or sale of property: (a) The judgment may not be enforced. (b) All enforcement procedures pursuant to the judgment or to a writ or order issued pursuant to the judgment shall cease. (c) Any lien created by an enforcement procedure pursuant to the judgment is extinguished." However, what many people do not know is that a separate action on the judgment may be commenced after the 10 year enforcement period has expired, if the statute of limitations provided by Code of Civil Procedure Section 337.5(b) has not yet expired. That statute of limitations is also 10 years. However, it does not begin to run until the judgment has become final either upon expiration of the period within which an appeal may be taken, or, if an appeal is taken, upon the issuance of the remittitur when the judgment has been affirmed. See Hoover v. Galbraith (1972) 7 Cal.3d 519, 525-526. If the judgment debtor is absent from the state, the statute of limitations is tolled for the period of time they are absent pursuant to Code of Civil Procedure Section 351; see also Green v. Zissis (1992) 5 Cal.App.4th 1219, 1223. And if the judgment debtor files a bankruptcy petition the statute of limitations period is also tolled during the period of the automatic stay. Kertesz v. Ostrovsky (2004) 115 Cal.App.4th 369, 377. This means that many California judgments that are considered not collectible may in fact be collectible simply by filing an action on the original judgment pursuant to the provisions of Code of Civil Procedure Section 337.5. And a judgment creditor is entitled as a matter of right to a judgment on the original judgment providing it is commenced within the 10- year statute of limitations period. Laches is no defense. See United States Capital Corp. v. Nickelberry (1981) 120 Cal.App.3d 864, 867-868. Note that a stipulated judgment cannot normally be appealed and becomes final when entered, unless both parties enter into the stipulated judgment to facilitate an appeal. Cadle Co. II, Inc. v. Sundance Financial, Inc. (2007) 154 Cal.App.4th 622, 624. If you enjoy this newsletter, tell others about it. They can subscribe by visiting the following

link: http://www.legaldocspro.net/newsletter.htm It would be greatly appreciated if you would visit the website at http://www.legaldocspro.net and give it a like with Google + if possible. Have a great week and thanks for being a subscriber. Yours Truly, Stan Burman The author of this newsletter, Stan Burman, is a freelance paralegal who has worked in California and Federal litigation since 1995, and recently relocated to Asia. THE AUTHOR NOW SELLS COLLECTIONS OF SAMPLE LEGAL DOCUMENTS AT A HUGE DISCOUNT! VISIT THE WEBSITE BELOW FOR MORE INFORMATION. http://www.scribd.com/legaldocspro Copyright 2012 Stan Burman. All rights reserved. DISCLAIMER: Please note that the author of this newsletter, Stan Burman is NOT an attorney and as such is unable to provide any specific legal advice. The author is NOT engaged in providing any legal, financial, or other professional services, and any information contained in this newsletter is NOT intended to constitute legal advice. These materials and information contained in this newsletter have been prepared by Stan Burman for informational purposes only and are not legal advice. Transmission of the information contained in this newsletter is not intended to create, and receipt does not constitute, any business relationship between the sender and receiver. Subscribers and any other readers should not act upon this information without seeking professional counsel.

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