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CalAttorney2
CalAttorney2, Lawyer
Category: Real Estate Law
Satisfied Customers: 10244
Experience:  I am a civil litigation attorney with experience representing HOAs, homeowners, businesses and others in real estate matters.
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In the State of North Carolina does the law require or allow

Customer Question

In the State of North Carolina does the law require or allow personal bad debt (small claims judgments) to block the transfer or sale of a property? The property in question has no recorded liens against it, except of course the lender bank. Thank you very much, Brent Carter
Submitted: 2 years ago.
Category: Real Estate Law
Expert:  CalAttorney2 replied 2 years ago.
If the judgment is recorded, then yes. The judgment must be paid as part of escrow (closing) in order for the sale to be completed. Once the judgment is recorded it is treated as a "secured lien" against any property that the judgment debtor owns in the county.

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