Does a debtor who is subject to a pre-bankruptcy judgment against a debtor have any recourse against the debtor?

California, United States of America


The following excerpt is from Shuwa Investments Corp. v. Sato, B203702 (Cal. App. 8/27/2008), B203702 (Cal. App. 2008):

Here, after plaintiff obtained the first judgment in 1998 and sought to foreclose upon it in 2005 pursuant to the second judgment, defendant filed bankruptcy proceedings and received a discharge in 2006. The discharge nullified any prebankruptcy claims and judgments against the debtor and prevented proceeding against the debtor personally; however, it did not affect creditors' rights against prebankruptcy liens on the debtor's property. (Songer v. Cooney (1989) 214 Cal.App.3d 387, 392-393.) Since both of plaintiff's judgments arose before bankruptcy, the judgments are now void and plaintiff is limited to recovery upon the prebankruptcy liens it obtained upon those judgments.

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