All Red Flags/#15
#15
Enforcement & BankruptcyHigh Risk

After the judgment takes effect, the other party transfers or hides assets

Evading Enforcement

Why It's Dangerous

Winning a judgment doesn't mean getting paid. If the judgment debtor transfers property into someone else's name or hides assets after the ruling, your judgment can become worthless paper. This conduct may constitute the crime of refusing to enforce a judgment or ruling.

Real Case

After winning and applying for enforcement, a client discovered the other party had already transferred their real estate to relatives and drained their bank account to zero. The court issued a consumption-restriction order, but the debtor kept spending through other people's accounts, with no real impact on their lifestyle.

* This case has been anonymized. Details have been adjusted to protect privacy.

What To Do

1
Apply for enforcement as soon as you win, without giving the other side time to move assets
2
You can apply for property preservation as early as the litigation stage
3
Provide the court with leads on the other party's enforceable assets
4
If the other side has the means but refuses to comply, you can pursue criminal liability
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