Quickly: Application for Charging Order Granted
March 30, 2018
Heading out with the family for Spring Break but wanted to offer a quick post about a motion decided last year in our local federal court. The opinion is very short, and Magistrate Judge Tim Baker's report and recommendation later was adopted by Judge Pratt. Click here for the ruling.
The case involved a twist to a charging order on one tenant's in common half-interest in some real estate. The interest arose out of a purchase agreement. The Court concluded that the tenant's "economic interest in the [real estate] should be charged against any unsatisfied part of [judgment creditor's] judgment" against him. The Court thus granted the judgment creditor a lien against the judgment debtor's interest in the real estate.
The debtor claimed that he had no interest in the real estate because he did not actually financially contribute to the purchase, but the purchase agreement listed him as a tenant in common. In arriving at his decision, Magistrate Judge also addressed the law of contribution.