1. Chapter 26 Creditors’ Remedies & Suretyship

2. Learning Objectives
What is prejudgment attachment? Writ of execution? How does a creditor use these remedies?
What is garnishment?

3. Laws Assisting Creditors
Liens
Mechanic’s Lien (real property)
Artisan’ Lien (personal property)
Innkeeper’s Lien (baggage of guests)
Judicial Lien
Attachment: court-ordered seizure of property
Writ of Execution: court-ordered sale
Garnishment
Creditor permitted to collect a debt by seizing property held by third party (usually wages held by debtor’s employer)

4. Laws Assisting Creditors
Mortgage Foreclosure
Creditor (mortgagee) has the right to foreclose on property upon debtor’s (mortgagor) default.
Suretyship and Guaranty
Third person promises to pay debt owed by another
Surety (3rd person is primarily liable)
Guaranty (3rd person is secondarily liable)

5. Laws Assisting Debtors
Homestead Exemption
Family home free from claims of unsecured creditors or trustees in bankruptcy.
Other Exemptions:
Household furniture
Clothing and personal possessions
Vehicle
Tools of the trade