6 Steps To Enforce A Non-Indiana Judgment In Indiana

If you hold a judgment entered in a state other than Indiana, and if you believe the judgment debtor has assets in Indiana that could satisfy the judgment, then keep reading.  The hoops through which you must jump to reach those assets are outlined in Indiana Code § 34-54-11 “Enforcement of Foreign Judgments.” 

I.C. § 34-54-11.  Enacted in 2003, this Indiana statute tells you just about everything you need to know.  Here are the six major steps:

1. Wait at least twenty-one days after the entry of the judgment in the original (non-Indiana) court.

2. File a certified and exemplified copy of the foreign judgment in the clerk’s office of the Indiana county where the debtor resides or owns property. 

3. File an affidavit, signed by the judgment creditor, that states:
a. the name/address of the judgment debtor; and
b. the name/address of the judgment creditor.

4. In accordance with Trial Rules 4 through 4.17, serve upon the judgment debtor a notice of the filing of the foreign judgment (like you’re serving a summons and complaint). This notice must contain: 
a. the name/address of the judgment creditor;
b. the name/address of the judgment creditor’s attorney, if any; and
c. the nature/amount of the claim under the foreign judgment.

5. Pay a filing fee, which is $133.00 currently.

6. Wait at least twenty-one days after the date the judgment debtor is served with the notice.  (See below).

Once the filing and service requirements have been met, and twenty-one days have passed with no action by the judgment debtor, the judgment creditor is free to proceed as if it holds an Indiana judgment.  In other words, you may begin to enforce the judgment by execution or other process.

21-day grace period.  My understanding always has been that, in cases of domesticating foreign judgments in Indiana, the judgment debtor’s (the defendant’s) only defense relates to jurisdiction.  In other words, the judgment debtor only can attack the validity of the judgment (halt enforcement) by establishing that the original court did not have the power to enter the judgment in the first place – an unlikely scenario.  Otherwise, the judgment essentially is presumed to be valid, and the underlying case will not be re-litigated in Indiana.  The other potential barrier is if the defendant files an appeal in the original case.  An appeal generally will stay the enforcement of the foreign judgment in Indiana until the underlying case concludes. 

Indiana Code §§  34-54-11-2(e)(i) and 4 address these two “defenses.”  The judgment debtor has twenty-one days to file a notice with the Indiana court asserting reasons (jurisdiction/appeal) that would prohibit the judgment creditor from enforcing the foreign judgment.  If filed, the enforcement of the judgment is stayed pending a ruling by the Indiana court.  (It should be noted, however, that a creditor filing a foreign judgment still is entitled to Indiana prejudgment remedies during the pendency of the stay, such as prejudgment attachment or garnishment.)

Old school.  I.C. § 34-54-11-5 states that the statute “does not impair” the right to bring an action to enforce a foreign judgment by other means.  Before the enactment of the statute, it was common to file a complaint to domesticate (certify) the non-Indiana judgment and to follow all the normal rules and procedures applicable to new lawsuits.  I no longer see a benefit to this course of action.  The new statute now allows the judgment creditor, initially, to bypass the judge because a separate Indiana court order domesticating or certifying the foreign judgment is not required, unless the debtor files a notice under Sections 2 or 4.  The statutory formula should result in the enforcement of a foreign judgment more quickly and, therefore, more inexpensively.

If as an out-of-state judgment creditor you need to pursue the assets of a judgment debtor that are located in Indiana, please contact me or another Indiana lawyer to assist with the process.  I.C. § 34-54-11, the relatively new “Enforcement of Foreign Judgments” statute, is your ticket to an expeditious and cost-effective enforcement of your lien.