Re: Paying Arbitration Award?

Posted by Drew (24.59.25.2) on July 15, 2004 at 18:20:02:

In Reply to: Paying Arbitration Award? posted by Andrea on July 15, 2004 at 03:42:49:

Texas allows the creditors to get a freeze on your bank accounts if the creditors can show to the judge that they have good reason to suspect you are trying to hide the assets. In Texas, the courts are liberal about the good reasons so a creditor once they file a lawsuit against you can also at the same time move that the court put a freeze on all your nonexempt assets, such as bank and savings accounts. They will freeze your account until after the trial. If the judge awards the judgment to the creditor, the creditor then has the right to take the money from the frozen accounts. If the judge denies their claim, the accounts are unfrozen and you can use them again.

Basically they do this to keep the money from disappearing while they are awaiting litigation. They have to file suit first I beleive before they can just freeze the accounts.

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