subject: 5 Details You Must Know About Texas Post Judgment Interrogatories [print this page] Asset discovery is a big component of the process of collecting judgments in Texas because it is the primary way available for finding a debtor's possessions. Interrogatories play a major role in the post judgment discovery process.
But, there are certain details you need to understand about post judgment interrogatories before you start.
1. The prejudgment discovery limits of Rule 190 of the Texas Rules of Civil Procedure do not apply to post judgment interrogatories.
Rule 190 puts some restrictions on the discovery process as it evolves before a case goes to trial. Those restrictions concern the time period during which you may pursue discovery, the number of questions you can ask in interrogatories, and also the amount of time for a deposition. Post judgment interrogatories are not so restricted. As a matter of fact, Rule 190.6 of the Texas Rules of Civil Procedure explicitly exempts post judgment discovery from the Rule.
2. Pretty much any question should be acceptable so long as it assists in enforcing your court order.
The key here is realizing that your questions must be designed with the specific purpose to aid in the enforcement of your judgment. With that in mind, your questions really should be crafted to help you discover whether your judgment debtor -
(A) owns non-exempt property that is subject to seizure and sale to satisfy your judgment;
(B) has fraudulently transferred property in an effort to avoid your judgment;
(C) will receive any assets that will be subject to your judgment.
So long as you maintain your questions according to these objectives, you should not have any issues using post judgment interrogatories in Texas.
3. Your right to conduct post judgment discovery transfers to your successor or assignee.
The fact that you won in court gives you the right to conduct post judgment discovery at all. But, what happens when you assign your award to a non-lawyer collection specialist? Does the person or organization to whom you assign the judgment have the very same right to make use of interrogatories as you do?
With a larger number of successful plaintiffs using non-lawyer judgment recovery professionals, that question has come up. The answer in Texas is that your assignee gets the same right to perform post judgment discovery as you do. Rule 621a of the Texas Rules of Civil Procedure clearly says that the right to conduct discovery after a judgment "shall inure to ... successors or assignees ..."
4. In pursuing answers to post judgment interrogatories, you need to keep clearly in mind which possessions are exempt and which are not.
Just because you have the right to look for the defendant's assets after judgment does not mean you have a right to cross lines when it comes to the protection of exempt property in Texas. Texas does recognize numerous exemptions so there is a lot of property your judgment debtor possesses which you just can not take to collect your judgment. You must be respectful of that distinction when delivering interrogatories to your defendant.
But, this does not imply you can not ask about all of your debtor's resources and financial situation. Remember that any type of question should be acceptable as long as it is crafted to help you determine exactly what property your debtor has as well as whether any of his assets are non-exempt and subject to your judgment.
5. You may not deliver post judgment interrogatories to your debtor if the judgment has been suspended by a supersedeas bond.
A losing defendant in a Texas legal action may, of course, appeal the decision to a higher court. While the appeal is being pursued he can suspend the execution of the judgment by posting a bond with the clerk of the court. The bond has to be payable to the plaintiff and is designed to protect the plaintiff from any loss or additional damage caused by the appeal. Rule 24 of the Texas Rules of Appellate Procedure furnishes more details on the bond and conditions for its use.
The bottom line is that you can not go forward with post judgment interrogatories while the case is on appeal if the defendant files the bond to suspend the judgment. On the other hand, if the appeal is made without the filing of a bond you are free to employ post judgment interrogatories to locate important information on your defendant's possessions.
Post judgment interrogatories are an excellent instrument for finding your debtor's assets and establishing which of those assets are subject to your judgment. Use them prudently.
