What is the Marshal and a Sheriff’s “Poundage” in a NY Debt Collection Lawsuit?


By: Robert J. Nahoum

A man in suit and tie with his arms crossed.

When a money judgment has been entered against a debtor in a New York debt collection lawsuit, the New York City Marshal (or County Sheriff outside of New York City) is typically engaged to assist the debt collection lawyer in enforcing the judgment.  The Marshal or Sheriff is the court’s civil enforcement officer and has the power to seize your bank accounts, garnishee your wages and sell your property.

Often, as a consequence of judgment enforcement actions and in order to avoid the embarrassment of a wage garnishment or the cascade of bounced checks and fees after a bank account is frozen, debtors will reach a settlement with the debt collector.  When settling with a debtor after a Marshal’s levy, a little known fee is bundled into the settlement called the “Marshal’s poundageâ€.  The Marshal’s poundage is a fee due to the Marshal for his successful recovery of money on behalf of a judgment creditor.  According to New York’s debt collection laws, once the Marshal levys on the assets of a judgment debtor, he is entitled to keep 5% of all money recovered – this is his poundage.

When settling with a judgment debtor, debt collectors routinely tie the Marshal’s poundage in as part of the total amount to be paid.

If you are negotiating the settlement of a judgment after a bank freeze or wage garnishment, be aware of whether or not you are agreeing to pay the Marshal’s poundage.

If you need help settling or defending a debt collection law suit, filing for bankruptcy, stopping harassing debt collectors or suing a debt collector, contact us today to see what we can do for you.  With office located in the Bronx, Brooklyn and Rockland County, the Law Offices of Robert J. Nahoum defends consumers in debt collection cases throughout the Tristate area including New Jersey.

The Law Offices of Robert J. Nahoum, P.C
(845) 232-0202
www.nahoumlaw.com

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