My husband has a judgment against him and the private party creditor levied our bank accounts. They were able to get the money out of all of the joint accounts. Can they do that? I primarily use the accounts, not him. Also, they took the money out of our daughter's account since his name was also listed on the account. Regarding the cars, one is in my name only and the other one is in both of our names.
Patrick BegleyLife Sciences and Biotechnology Attorney ·
If it is a joint account that means that your husband has an ownership interest and his creditors can get to it. I highly recommend opening up another bank account separate from your husband if you have not already. I'm not a California attorney so I'm not familiar with CA exemption law. In Texas, we have fairly generous property exemptions that protect automobiles, I am unsure if CA has the same sort of protections. Even though the car is in your name, CA is a community property state so your husband COULD have an interest in the vehicle depending on when it was purchased, if you have a prenuptial agreement, etc. I recommend your husband go consult a CA bankruptcy attorney IMMEDIATELY to prevent the seizure of more of your assets. Most offer free consultations.
Unless your state provides an exemption for joint assets then a creditor can pursue the asset. Only a few states recognize it (not sure about CA) but if your state recognizes ownership as tenants by the entireties then a creditor against only one spouse cannot reach assets titled jointly.
In addition to the foregoing, all debtors have certain exemptions that can be raised pursuant to your state's law outside of bankruptcy. It seems to me that some of the assets could be exempted. Should try to speak to an attorney immediately.
Also, creditor should not be able to reach assets owned by you individually.
There are also community property arguments for the collection. While it may not be too late, it's awfully late in the game to ask these questions. Time to contact a collections attorney or a bk atty to see if you can get any protection, FAST.
Christian Frederick PaulLitigation LawyerSan Juan Capistrano, CA ·
Yes, they can do that.
In California, it is permissible to levy bank accounts jointly held by the judgment debtor, and to seize assets of the judgment debtor's spouse, because of community property--whatever one spouse earns belongs to the community. You can claim exemptions when the levy occurs, either as the judgment debtor or as a third party, but if you don't have a legitimate exemption to claim, it won't do you any good.
If you put more money into these same accounts, you might find that a second levy takes even more of your money. A word to the wise is sufficient.
If the judgment is not yet satisfied, you can expect further enforcement efforts. You can consult an attorney to help you in this regard, if you wish. You are entitled to a notarized acknowledgment of satisfaction of judgment, either partial or full, depending on the circs., and you should demand one, to be recorded in the appropriate counties and filed with the court. This notifies the world that you have satisfied the judgment, at least in part.
Good luck.
