Judicial Lien

A judicial lien is a court-ordered claim against a debtor's property to secure a debt. When a creditor wins a lawsuit against a debtor, they can request the court to place a lien on the debtor's assets, such as real estate. This means that the creditor has a legal right to the property until the debt is paid. If the debtor fails to pay, the creditor can enforce the lien, potentially leading to the sale of the property to recover the owed amount. Essentially, it’s a way for creditors to ensure they can collect debts legally.