Even with a judgment, you have several potential options. The Kugel Law Firm can help you explore these, which may include negotiating a settlement with the creditor to pay a reduced amount, identifying and protecting your exempt assets from being seized, assessing if there were any irregularities in how the judgment was obtained that could lead to it being vacated, or evaluating whether bankruptcy is a suitable solution to discharge the debt. Contact us for a detailed review of your case.

In New Jersey, a civil money judgment is valid and enforceable for 20 years from the date it is entered. Before that initial 20-year period expires, a creditor can file a motion to revive or renew the judgment for one additional 20-year period. This means that a judgment can effectively last and be collected upon for up to 40 years if properly renewed

 Yes, Cannon Legal PLLC in New Jersey can certainly attempt to negotiate a settlement on your behalf with the judgment creditor. Our attorneys have experience in communicating with creditors and their legal representatives. We will assess your financial situation and the details of the judgment to develop a negotiation strategy aimed at reducing the total amount you owe or establishing a manageable payment plan. Having legal representation can often lead to more favorable outcomes in settlement negotiations.

Yes, under New Jersey law, creditors are not required to provide you with any advance notice before levying and freezing your bank account. This deliberate procedural rule exists to prevent debtors from preemptively hiding or withdrawing their funds before the levy takes effect. Once the funds are frozen, the levying officer must mail you a Notice to Debtor, and you then have exactly 10 calendar days to file a written objection with the court to prevent the funds from being permanently turned over to the creditor

Yes. Under federal law, Social Security benefits are generally exempt from garnishment by debt collectors. The Kugel Law Firm can help you understand these exemptions and take steps to protect your Social Security benefits if a creditor attempts to levy them. If your bank account containing exempt funds has been frozen, we can assist in filing an emergent application with the court to release these funds.

New Jersey law limits wage garnishment to 10% of your gross wages if your income is below 250% of the federal poverty level, or up to 25% of your disposable earnings if you earn more. The first $217.50 of your weekly net pay (equivalent to 30 times the federal minimum wage) is entirely exempt from garnishment. Additionally, under the Louisa Carman Medical Debt Relief Act, wage garnishment is strictly prohibited for medical debt if the patient’s household income falls below 600% of the federal poverty level

If you were never properly served with the lawsuit, this could be a serious issue known as “sewer service”, and it may be grounds to vacate the default judgment. Cannon Legal PLLC can review the court records to determine if proper service was made. If not, we can assist you in filing a motion to vacate the judgment and potentially defend against the debt claim.

Several types of income are strictly exempt from creditor attachment, including Social Security benefits, Veterans’ benefits, unemployment compensation, state temporary disability, welfare (TANF/GA), and child support. Additionally, New Jersey provides a statutory $1,000 personal property exemption that can be applied to cash in your bank account. However, while federal benefits like Social Security are automatically protected during a levy through a bank “lookback” review, the $1,000 state exemption must be affirmatively claimed by the consumer through a formal court objection

If your account is frozen, you can stop the creditor from taking the funds by immediately filing an Objection to the Bank Levy within 10 calendar days of receiving notice, asserting that your funds originate from exempt sources. You can also file a Motion to Vacate the Default Judgment to attack the underlying validity of the debt and erase the judgment entirely. Lastly, filing for bankruptcy triggers a federal “automatic stay” that immediately halts all active bank levies and wage garnishments.

Bankruptcy can be a viable option to deal with a debt judgment. Filing for Chapter 7 bankruptcy can potentially discharge the judgment entirely, while Chapter 13 bankruptcy allows you to create a repayment plan that may include the judgment debt. The Kugel Law Firm can analyze your overall financial situation and advise you on whether bankruptcy is the right path for you to address the debt judgment and other financial obligations.

A Motion to Vacate a Default Judgment is a formal request asking a judge to erase a judgment and rewind the lawsuit because you failed to answer the initial complaint. To succeed, you must generally file within one year of the judgment and prove “excusable neglect” (a valid reason you didn’t respond, like a severe medical emergency) and a “meritorious defense” (a legitimate legal reason why you do not owe the debt, such as the expiration of the statute of limitations). If you can prove you were never properly served with the initial lawsuit, the judgment is classified as “void” and carries no time limit for vacating.

Yes, if a judgment is issued in the Superior Court Law Division, or if a Special Civil Part judgment is formally “docketed” with the Superior Court Clerk in Trenton, it acts as a statewide lien on any real estate you own in New Jersey. This means that if you attempt to sell or refinance your home, a title search will reveal the lien, and the judgment must typically be paid off before the transaction can be completed.

Yes, money judgments in New Jersey accrue post-judgment interest at a rate set annually by court rules. For example, in 2025, the standard interest rate is set at 5.5% for most judgments, and 7.5% for judgments exceeding $20,000. However, under the new Medical Debt Relief Act, the post-judgment interest rate specifically for medical debts is legally capped at a maximum of 3% per year