Can I quit claim a deed if I have a judgement against me? 10 Answers as of June 14, 2013

I own a home. I paid $100,000 for it at auction & put about $50,000 into it. All was paid cash. I have it up for sale & found out that this business put a judgement against me for $11,700. It was from a repossed car before I bought the home. I had no idea they did this. Can I quit claim the deed to my daughter so I do not have to pay the judgement or is it too late? I am selling for $222,500 so I am making a $72,50 profit. Im not sure if I fall under the rules of exemption on real estate since it was all paid cash. I am married, but am on the deed alone.

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Law Office of D.L. Drain, P.A.
Law Office of D.L. Drain, P.A. | Diane L. Drain
It would be best to take care of the debt. Do not transfer the house to your daughter. Unless she pays fair market value it is called a fraudulent conveyance.
Answer Applies to: Arizona
Replied: 6/22/2012
Alvin Lundgren | Alvin Lundgren
You can quit claim the property but you cannot render yourself so broke that you cannot pay the judgement without risking charges of fraud.
Answer Applies to: Utah
Replied: 6/22/2012
Musilli Brennan Associates PLLC
Musilli Brennan Associates PLLC | John F Brennan
You may generally transact business as long as it is for far value. You, however, have issues with the judgment creditor and a quit claim to you daughter to avoid the creditor is fraudulent and can be reversed, and may cause both of you future problems. You need to consult an attorney now. What you are planning could cause more problems than it is intended to solve.
Answer Applies to: Michigan
Replied: 6/21/2012
Law Office of Kristen Allard Shier
Law Office of Kristen Allard Shier | Kristen Allard Shier
Even though the judgment is against you personally, the lien from the judgment is on the house and property. That means that the lien is attached to the property, no matter to whom you transfer it to. Even if you were to quit claim the house to your daughter, the lien will still need to be paid in order to transfer clear title to the buyer of the home. You might be able to negotiate a settlement with the creditor for the removal of the lien for a lesser amount than the $11,700 lien, but you would need to speak to the creditor.
Answer Applies to: Colorado
Replied: 6/21/2012
Law Office of John C. Farrell, Jr.
Law Office of John C. Farrell, Jr. | John C. Farrell, Jr.
You will most likely have to clear title before you sell the property or convey it to anyone. If the amount of the lien was resolved an paid then you should submit proof of this and clear the title.
Answer Applies to: Massachusetts
Replied: 6/21/2012
    Clos, Russell & Wirth, P.C. | Gary A. Russell
    The issue is not whether or not you have a judgment against you, the issue is whether or not the creditor used that judgment to obtain a lien against the home. If so, then you can still transfer the property, but the lien must be paid at the time of closing/transfer. Just because the creditor has a judgment against you does not divest of the right to sell and transfer property. A money judgment is just a court order saying that you owe someone a certain amount of money. They still have to collect on the judgment using whatever legal means exist; i.e., liens, garnishment, seizures, etc. However, if the transfer of the property is done to avoid creditors, the transfer could be reversed under the Fraudulent Transfers Act.
    Answer Applies to: Michigan
    Replied: 6/21/2012
    James T. Dunn PC | James T. Dunn
    body{font-family: Geneva,Arial,Helvetica,sans-serif;font-size:9pt;background-color: #ffffff;color: black;} If you deed the property to your daughter, the judgment still attaches to the property and she takes the real estate with the judgment debt. The judgment is good for 8 years from the date on entry and expires unless renewed prior to the expiration of 8 yrs. You may just want to sit tight until the time period runs. You can file a homestead exemption against the property but it doesn't protect you since there is ample equity to pay the judgment.
    Answer Applies to: Utah
    Replied: 6/21/2012
    Answer Applies to: California
    Replied: 6/14/2013
    The Law Office of Darren Aronow, PC
    The Law Office of Darren Aronow, PC | Darren Aronow
    No, once you have a judgment you can not quitclaim. Even if you did, the judgment would still show on title and attached to you so you would not be able to sell. You can try to negotiate a settlement before you sell the house to satisfy the judgment.
    Answer Applies to: New York
    Replied: 6/21/2012
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