Asked by Nicole Davis on May 06, 2024
Verified
Mr. Holden, a program developer, developed software for inventory control that was superior to others on the market. He launched an ad campaign and all went well for several months-until a competitor came out with a cheaper program. In time, he could not pay his debts when they became due and owing. A supplier sued for damages and was awarded judgment for $21,000. Holden did not pay. With regard to the supplier's position at this time, which of the following is false?
A) Since the decision is in his favour, the supplier would be a judgment creditor, Holden, a judgment debtor.
B) The supplier could have a garnishee order served on Holden's bank, ordering the bank to pay money into court instead of to Holden.
C) The supplier could examine Holden under oath about his assets and sources of income.
D) The supplier could obtain a writ of execution that directs a court official to seize Holden and detain him in court until he arranges payment.
E) The supplier could get a government-authorized official to seize and sell enough of Holden's property to satisfy the debt.
Judgment Creditor
The person to whom a court awards damages or costs.
Garnishee Order
A legal order issued by a court that requires a third party to withhold the assets of a debtor, typically used to secure payment of a debt or judgment.
Writ of Execution
A court order that enables the enforcement of judgments, typically by seizing and selling the debtor's property.
- Gain an understanding of the approaches and fundamental tenets that direct the execution of court verdicts and the alternatives for settlement in legal matters.
Verified Answer
VC
Viviana CantuMay 07, 2024
Final Answer :
D
Explanation :
Option D is false because modern legal systems do not allow for debtors to be detained for failing to pay civil debts. Instead, other measures such as garnishment, asset seizure, or examination under oath about assets are used to satisfy judgments.
Learning Objectives
- Gain an understanding of the approaches and fundamental tenets that direct the execution of court verdicts and the alternatives for settlement in legal matters.