Welcome to Part 3 of our Hard Truths series focusing on collections, i.e., enforcing judgments pursuant to victory at trial. If you’re just tuning in, Part 1 was about civility, the overlooked superpower of being decent in a profession that thrives on conflict. Part 2 was about the cost-benefit analysis of filing suit in the first place, and the practical considerations for business litigation and trials.
This article focuses on what happens after the trial win. In most cases, the prevailing party in trial obtains a “judgment.” A Judgment is a legally enforceable document entitling the prevailing party to certain damages, often monetary damages, against the losing party.
The Judgment Fantasy
Let’s kill the Hollywood version of what happens after a win. In movies, the lawyer wins the case, the client hugs everyone and presumably obtains payment without issue. In real life, you get a piece of paper—a judgment that doesn’t enforce itself. It doesn’t find assets, it doesn’t file liens, and it certainly doesn’t chase down dodgy debtors.
You have to collect. And that process is neither quick nor clean. Even after investing substantial time and money into the case, the result may be a judgment that is only as valuable as the assets behind it.
The Cold Reality of Collection
We’ve seen debtors hide funds, transfer assets, and operate LLCs that exist in name only. Enforcement isn’t about emotion, it’s about pressure. Asset levies. Abstracts of judgment. Debtor’s exams. Every step is part of a disciplined, calculated pursuit.
Why? Because judgments don’t enforce themselves. That defendant who lost? He may not be lining up to cut you a check. He’s calling his accountant, his divorce attorney, and probably his cousin in Arizona to figure out how to hide every dime.
Enforcement Is a Strategy, Not an Afterthought
Note, in Part 2, we explained that part of the cost-benefit analysis for litigation is the “collectability” of damages. Before you file suit, evaluate whether you can actually collect. Does the defendant have assets? Are they accessible? Have they been sued before? Did they pay? If they live in a rented condo, drive a leased Tesla, and run a shell LLC with a website but no inventory, you better think long and hard.
A judgment against a ghost entity is no victory. Litigation must be treated like any other investment—measured, risk-aware, and executed with the endgame in mind.
This article presumes the financial viability / collectability of the defendant was verified, and there are assets to enforce a judgment against should the losing party try to delay or avoid payment. This is the essence of collections. Judgements are enforced against assets, and there are various legal remedies to enforce judgments on assets.
For instance, if the defendants have bank accounts, you pursue bank levies on the accounts. If they have property, you file abstracts of judgment in the counties where the property is located. If they have income, you look to impose a wage garnishment.
However, collection work is often not simple, cheap or fast. The same degree of strategy and cost-benefit analysis for litigation and trial is required for collections. If done right, the prevailing party will not only collect on the judgment, but in certain situation, he/she can recover all of its costs and attorney’s fees plus 10% interest.
Final Thought: Where the Rubber Meets the Road
At WG-LLP, we don’t sugarcoat litigation. We don’t dangle million-dollar judgments in front of our clients and forget to mention they might need a crowbar to pry the money loose.
We believe in enforcement. In strategy. In cold, calculated thinking before the first motion is filed. Because a lawsuit should be a business decision, not a moral crusade. We don’t stop at verdicts. We go after results. Not the kind you frame. The kind you cash.