Hello and welcome to Just Answer. No attorney-client relationship or privilege is formed by speaking to an expert on this site, the answers are for general information. By continuing, you confirm that you understand and agree to these terms.
A little overview. This applies to all judgment types. Judgments are issued by the court which gives a creditor the right to place a lien against your property for failing to pay a debt. The creditor must first sue you, receive a judgment against you and then request that the lien be placed on the title to your property.
If this is the case with your lien, the bankruptcy would have eliminated your liability on the debts, but it did not get rid of the lien that was filed against your home.
Since you already received discharge and your case is closed you will need to take an added step to remove the lien. First you will have to file a motion with the bankruptcy court to re-open your bankruptcy for the limited purpose of filing “A motion to avoid the judgment lien.”
Second, once the case is re-opened, you need to file another motion to avoid the judgment lien. With this motion you need to include the following:
- deed to the real property
- an appraisal showing the value of the property at the time the original bankruptcy petition was filed
- an appraisal showing the current market value
- evidence of the balance of any mortgages when the original bankruptcy petition was filed, and
- evidence of the amount of all liens on the property, including the subject judgment lien and any deeds of trust or mortgages.
The motions must be served to the former creditors, including the judgment lien holders, and a hearing is then held before the bankruptcy court. The court will then issue and order stating that the “lien is avoided”.
You will then take that order to the county clerk in the county where the property is located, which will remove the cloud on your title.
I hope this helps.