What happens when somebody who is successfully sued doesn’t have enough money to pay after selling assets, etc?

Question

I’m in Australia but interested in the process in other countries as well

In: Other

Answer 1

For the United States, a judgment accrues interest. So the longer you go without paying it, the larger it gets. If you sell all your assets and your wages get garnished, but it’s not enough to pay it down, it will keep growing.

Most judgments can be discharged in bankruptcy. So if a person can’t pay it, most people will declare bankruptcy and the judgment will go away.