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ARTICLE · 14 MAY 2015

Priority Of Judgments And Rights To A Charging Order

In a recent decision from Florida, there was addressed the question of which judgment creditor should have the prior rights with respect to the issuance of the charging order.

United StatesFinance and Banking

In a recent decision from Florida, there was addressed the question of which judgment creditor should have the prior rights with respect to the issuance of the charging order. Essentially, the court found that the creditor who first moves for a charging order is entitled thereto. Regions Bank v Hyman, No. 08:9-CV-1841-T-17MAP (M.D. Fla. April 27, 2015).

Regions bank held an unsatisfied judgment against Hyman in the amount of $3,407,620.35, upon which interest accrued at 4.75% per annum, which judgment was entered on September 28, 2012. Travelers Casualty Insurance also held a judgment against Hyman in the amount of $3.75 million, which judgment was entered on October 28, 2011. While, based upon the recitation of the facts in the decision, Regions Bank had been quite aggressive in pursuing Hyman, Travelers had been far less diligent. Regions Bank had already been awarded charging orders against Hyman's interest in several partnerships; when Regions now sought charging

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