The language of collections, in plain English.

Judgment

The court's official decision that one party owes another a specific amount of money. Winning it is the halfway point — a judgment is a right to collect, not a payment. The party owed is the judgment creditor; the party owing is the judgment debtor.

Restraining notice

A notice served on a debtor's bank (or anyone holding the debtor's property) that freezes assets up to twice the judgment amount the moment it is received — no court appearance required. Usually the first move in enforcement. CPLR 5222.

Information subpoena

Written questions that a judgment debtor — or a bank, employer, or other third party — must answer under oath about the debtor's assets, income, and accounts. How hidden money gets found. CPLR 5224.

Levy & execution

The seizure of a debtor's property to pay the judgment. The creditor's attorney issues an execution to the sheriff or marshal, who levies on bank accounts, receivables, vehicles, or other non-exempt property and turns proceeds over to the creditor. CPLR 5230, 5232.

Income execution (wage garnishment)

An ongoing deduction — up to 10% of gross wages — taken from a judgment debtor's paycheck by the sheriff or marshal and paid to the creditor until the judgment is satisfied. CPLR 5231.

Turnover proceeding

A special court proceeding compelling the debtor — or a third party holding the debtor's money or property — to hand it over to satisfy the judgment. The heavy artillery for assets a levy can't conveniently reach. CPLR 5225, 5227.

Docketing & judgment lien

Recording the judgment with a county clerk. Docketing makes the judgment a lien on the debtor's real property in that county — including property acquired later — generally for ten years, renewable. The debtor can't cleanly sell or refinance without resolving it. CPLR 5203, 5014.

Domestication

Converting a judgment from another state into a New York judgment (or vice versa) so it can be enforced locally. Sister-state judgments come in under CPLR Article 54; foreign-country judgments under Article 53.

Default judgment

A judgment entered because the defendant never responded to the lawsuit. Fully enforceable — accounts get frozen on default judgments every day — but potentially vulnerable to being vacated if the default was excusable or service was defective. CPLR 3215, 5015, 317.

Traverse hearing

A hearing to test whether the defendant was actually, properly served with the lawsuit. If service fails, the court never had jurisdiction — and a judgment built on it can fall entirely.

Confession of judgment

An affidavit in which a debtor consents in advance to entry of judgment for a stated amount. Used to give settlements teeth: one missed payment and judgment enters immediately, without relitigating. CPLR 3218.

Summary judgment in lieu of complaint

New York's fast track for suing on a promissory note, guaranty, or other instrument for the payment of money only — the case starts as a motion for judgment, skipping ordinary pleadings and often reaching judgment in months. CPLR 3213.

Fraudulent (voidable) transfer

Moving assets — to a spouse, insider, or new company — to keep them from creditors. New York's Debtor and Creditor Law lets creditors unwind such transfers, generally within a four-year window, and recover the assets or their value.

Piercing the corporate veil

Holding a business owner personally liable for the company's debt — available where the entity was used as the owner's alter ego to commit a wrong: commingled funds, no corporate formalities, stripped assets.

Personal guaranty

An individual's written promise to pay a business's debt if the business doesn't. Often the difference between collecting and writing off a shell-company debt — and frequently enforceable on the CPLR 3213 fast track.

Exempt funds

Money the law puts off-limits to enforcement: Social Security, SSI, public assistance, most pension and retirement income, and a protected baseline amount in bank accounts holding exempt deposits. CPLR 5222-a.

Contempt

The court's response to disobeying its enforcement devices — ignoring a restraining notice, subpoena, or turnover order. Punishable by fines and, in persistent cases, arrest. Why stonewalling a judgment creditor is not a strategy. CPLR 5251.

Statute of limitations

The deadline to sue. Most New York contract claims: six years from breach (CPLR 213). Sale of goods: generally four years. Enforcing an existing judgment: generally twenty years (CPLR 211(b)). Miss it and the claim dies regardless of merit.

Receiver

A neutral appointed by the court to take control of a debtor's property — collect its rents, manage it, or sell it — and apply the proceeds to the judgment. Used when the debtor controls a valuable asset but won't pay. CPLR 5228.

Demand letter

Counsel’s formal pre-suit notice that payment is due — stating the amount, the basis, and the consequence of ignoring it. Often the cheapest dollar collected: a meaningful share of commercial debts resolves at demand, because the debtor now knows litigation follows.

Summons & complaint

The papers that start a lawsuit: the summons compels the defendant to respond; the complaint states the claims. The clock to respond — generally 20 or 30 days in New York — starts running from service. CPLR 304, 320.

Answer & counterclaims

The defendant’s formal response: admitting or denying each allegation, raising defenses (payment, defective service, statute of limitations), and asserting any claims back against the plaintiff, which can change the settlement math entirely.

Affidavit of service

The process server’s sworn statement of how, when, and on whom the lawsuit was served. If it’s wrong, the court may never have had jurisdiction — which is why service is the first thing examined when defending or attacking a judgment.

Deposition in aid of enforcement

A judgment debtor examined under oath — in person — about everything relevant to satisfying the judgment: accounts, income, property, transfers, business interests. Failing to appear invites contempt. CPLR 5223.

Prejudgment & post-judgment interest

Interest before judgment runs from the breach (CPLR 5001); interest after judgment runs until paid (CPLR 5003). Most commercial claims and judgments accrue at 9% per year; consumer-debt judgments accrue post-judgment at 2%. CPLR 5004.

Stipulation of settlement

The written agreement resolving a case — amount, schedule, releases. Well-drafted stipulations provide for immediate entry of judgment on default, so one missed payment restores full enforcement without a new lawsuit.

Satisfaction of judgment

The document filed when a judgment is paid, clearing it from the record and lifting the lien. A creditor who is paid must provide it (CPLR 5020) — and a debtor resolving a judgment should never pay without securing it.

Sheriff, marshal & poundage

The enforcement officers who execute levies and garnishments — the county sheriff, or in New York City, city marshals. Their statutory fee on amounts collected ("poundage") is generally added to what the debtor owes. CPLR 8012.

Commercial Division

The specialized business part of the New York Supreme Court, staffed by justices who hear only commercial cases. Larger disputes meeting each county’s monetary threshold may be assigned there, including in Nassau and Kings counties.

A commercial litigation and collections law firm in Cedarhurst, New York — serving Nassau County, Kings County, the Five Towns, New York City, and New Jersey.