What results in the creation of a judgment lien in Hawaii?

What results in the creation of a judgment lien in Hawaii?

• A. Personal bankruptcy of the debtor
• B. Recording of a judgment against a debtor's property
• C. Foreclosure of property
• D. Sale of property to pay debts

Answer: (B)

In Hawaii, a judgment lien is created when a court issues a judgment in favor of a creditor against a debtor, and this judgment is formally recorded against the debtor's property. Recording the judgment creates a legal claim on the debtor's property, allowing the creditor to potentially recover the owed amount by forcing the sale of that property if necessary. This process protects the creditor's interests and establishes their priority over other potential creditors. The other options provided do not result in the creation of a judgment lien. Personal bankruptcy of the debtor may affect the repayment of debts but does not automatically create a lien. Foreclosure of property concerns the process of seizing and selling property due to non-payment of a mortgage, which is distinct from a judgment lien purely based on a court judgment. Similarly, the sale of property to pay debts is an action taken to satisfy debts but does not establish a judgment lien on its own. Thus, the key factor in forming a judgment lien is the formal recording of the judgment against the debtor's property.

In Hawaii, a judgment lien is created when a court issues a judgment in favor of a creditor against a debtor, and this judgment is formally recorded against the debtor's property. Recording the judgment creates a legal claim on the debtor's property, allowing the creditor to potentially recover the owed amount by forcing the sale of that property if necessary. This process protects the creditor's interests and establishes their priority over other potential creditors.

The other options provided do not result in the creation of a judgment lien. Personal bankruptcy of the debtor may affect the repayment of debts but does not automatically create a lien. Foreclosure of property concerns the process of seizing and selling property due to non-payment of a mortgage, which is distinct from a judgment lien purely based on a court judgment. Similarly, the sale of property to pay debts is an action taken to satisfy debts but does not establish a judgment lien on its own. Thus, the key factor in forming a judgment lien is the formal recording of the judgment against the debtor's property.