Welcome to Michigan Out Of State Collections. Are you a non-resident of Michigan and wondering whether you can collect on an out-of-state judgment in Michigan? Or, are you wondering whether you will be able to collect on a Michigan judgment in another state? These are very common problems that make collecting on a judgment frustrating and time-consuming.
Michigan Out Of State Collections
Attempting to collect money owed to you is never a pleasant thing. Laws limit what avenues are available for recovering debts, bankruptcy can be used (and occasionally abused) to get out of paying, and there are time restraints on how long a debt can be sought. Things get even more frustrating when the debtor is from another state and may be beyond the reach of your local courts. Fortunately, Michigan courts are willing to enforce debts accrued in other states, and will recognize and enforce judgments from courts in other states as reliably as they will judgments rendered in the state of Michigan. This can provide out of state creditors with options for collecting on those debts, possibly including garnishment. It is important not to delay in seeking to collect on judgments, as the longer you wait, the more likely certain options may be foreclosed to you. An experienced Michigan attorney will be familiar with the the debt collection options available, and can help you determine the best mechanism for recovering what is owed to you.
Michigan Out-of-State Judgments
Your out-of-state judgment will be enforced in Michigan by a Michigan court. No additional complaint is required to be filed in Michigan to collect. A judgment from a Michigan court is good for ten years. A judgment from out-of-state is good for six years in Michigan. Upon expiration of these time periods, a party may renew the judgment for additional ten and six year periods. So, an out-of-state party has the ability to garnish wages or bank accounts of another party in Michigan; as well as the ability to file post-judgment motions to request injunctions, installment payments or the appointment of receivers.
Methods of Discovery
The two main methods of discovering a party’s assets once a judgment has already been rendered are issuing a subpoena and conducting a creditor’s examination. Both the court and attorneys have subpoena power; the ability to make someone appear in court to testify or produce relevant documents. Subpoenas may be issued to opposing parties or third parties who may be in possession of a party’s property. A creditor’s examination may also be conducted. An affidavit must be submitted to the court that shows that the party is indebted to you. In these scenarios, your attorney will have the ability to meet with the indebted party and ask a series of questions related to that party’s assets. If the indebted party refuses to cooperate, the court may hold that party in contempt; a powerful tool that imposes sanctions ranging from attorney fees, to license suspensions, to jail time. Of course, it is imperative that a party use the pre-judgment, discovery period to his advantage in obtaining valuable information about the other party before a judgment is even rendered.
Hire a Michigan Attorney
The collection process can be time-consuming and frustrating. This is especially true if you are an out-of-state resident trying to collect from someone in Michigan. It is important to hire a Michigan attorney to handle this business for you as they are familiar with the forms that need to be completed, the courts that need to be navigated, and the judges and attorneys that influence the entire process. Contact our office today for a free initial telephone consultation (586-268-2400). If you require additional information, please visit Michigan out of state collections attorney.