1. Immediate payment on demand 2. Satisfaction by levy
3. Garnishment of debts and credits Steps in executing a judgment for money
1. The officer shall demand from the obligor the immediate payment of the full amount stated in the judgment including the lawful fees in cash, certified check payable to the judgment obligee or any other form of payment acceptable to him;
2. If the judgment obligor cannot pay all or part of the obligation in cash, certified check or other mode of payment, the officer shall levy upon the properties of the judgment obligor. The judgment obligor shall have the option to choose which property or part thereof may be levied upon. If the judgment obligor does not exercise the option, the officer shall first levy on the personal properties, if any, and then on the real properties if the personal properties are insufficient to answer for the personal judgment but the sheriff shall sell only so much of the property that is sufficient to satisfy the judgment and lawful fees;
3. The officer may levy on the debts due the judgment debtor including bank deposits, financial interests, royalties, commissions and other personal property not capable of manual delivery in the possession or con troll of third parties. This is called garnishment
Discretion to choose which property to levy
The judgment obligor shall have discretion to choose which property to levy. Therefore, the sheriff cannot and should not be the one to determine which property to levy if the judgment obligor cannot immediately pay because it is the judgment obligor who is given the option to choose which property or part thereof may be levied upon to satisfy the judgment (Leachon v. Pascua, A.M. No. P-11-2972,
September 28, 2011).
Right to Choose may be waived by the judgment obligor If the judgment obligor does not exercise the option, he waives such right, and the sheriff shall levy first on personal property, then on real property. The sheriff shall only sell property sufficient to satisfy the judgment and other lawful fees (Villarin v. Munasque, 568 SCRA 483).
Levy
It is the act by which an officer sets apart or appropriates a part or the whole of the property of the judgment debtor for purposes of the execution sale.
Garnishment
It is the act of appropriation by the sheriff of the of debtor’s property in the hands of third persons. This is proper if the property involved is money, stocks, other incorporeal property (Regalado, 2012).
Garnishment is a specie of attachment for reaching credits belonging to the judgment debtor and owing to him from a stranger to the litigation. A writ of attachment is substantially a writ of execution except that it emanates at the beginning, instead of at the termination, of a suit. It places the attached properties in custodia legis, obtaining
pendente lite a lien until the judgment of the proper
tribunal on the plaintiff’s claim is established, when the lien becomes effective as of the date of the levy.
NOTE: The garnishee or the third person who is in the possession
of the property of the judgment debtor is deemed a forced intervenor.
Jurisprudence: It is a settled rule that upon service of the writ of garnishment, the garnishee becomes a “virtual party” or “forced intervenor” to the case and the trial court thereby acquires jurisdiction to bind the garnishee to comply (BPI v Carlito Lee G.R.
No. 190144, August 1, 2012).
Procedure in garnishment
1. A notice is served upon the third person or garnishee having in possession or control of the credits in favor of the judgment obligor;
2. The garnishee shall make a written report to the court within 5 days from service of notice of garnishment stating whether or not the judgment obligor has sufficient funds to satisfy the judgment. If sufficient, the garnishee shall deliver the amount in cash or certified check shall be delivered directly to the
judgment oblige within 10 working days from service of notice on garnishee.
3. The lawful fees shall be directly paid to the court. 4. If the amount is insufficient, the garnishee shall make
a report as to the amount he holds for the judgment creditor (Sec. 9, Rule 39).
Distinction between attachment and garnishment (1999 Bar Question)
Attachment refers to corporeal property in the possession
of the judgment debtor. Garnishment refers to money, stocks, credits and other incorporeal property which belong to the judgment debtor but is in the possession or under the control of a third person.
Q: The writ of execution was returned unsatisfied. The judgment obligee subsequently received information that a bank holds a substantial deposit belonging to the judgment obligor. If the bank denies holding the deposit in the name of the judgment obligor but your client's informant is certain that the deposit belongs to the judgment obligor under an assumed name, what is your remedy to reach the deposit? (2008 Bar Question) A: A motion may be filed for a court order requiring the proper bank officer to appear in court for examination under oath as to such bank deposit, and subsequently move for a court order authorizing the filing of an action against such bank for the recovery of the judgment obligor’s deposit/interest therein and to forbid a transfer or other disposition of such deposit/interest within 120 days from notice of the order (Secs. 37 and 43, Rule 39). Implementation of Judgment if the obligee is absent at the time of payment
When the judgment obligee is not present at the time the judgment obligor makes the payment, the sheriff is authorized to receive it. However, the money received must be remitted to the clerk of court within the same day or, if not practicable, deposited in a fiduciary account with the nearest government depository bank. Sheriffs are not permitted to retain the money in their possession beyond the day when the payment was made or to deliver the money collected directly to the judgment oblige (Peña, Jr. v.
Regalado II; A.M. No. P-10-2772, February 16, 2010). EXECUTION OF JUDGMENTS FOR SPECIFIC ACTS Specific Acts
1. Conveyance, delivery of deeds, or other specific acts vesting title;
2. Sale of real or personal property; 3. Delivery or restitution of real property;
4. Removal of improvements on property subject of execution; and
5. Judgments for the delivery of personal property (Sec.
Remedy when a party refuses to comply with the judgment
1. Vacate the property – The sheriff must oust the party. A demolition order from the court is required to effect removal of an improvement constructed by the defeated party.
2. Deliver – The sheriff will take possession and deliver it to the wining party
3. Comply – The court can appoint some other person at the expense of the disobedient party and the act shall have the same effect as if the required party performed it.
Execution of Judgments for the following specific acts if the judgment debtor refuses/fails to comply
Judgments for Specific Act (Sec. 10) Manner of Execution Conveyance, delivery of deeds, or other specific acts, vesting title.
Court can appoint some other person at the cost of the disobedient party and the act when so done shall have the same effect as if done by the required party.
Sale of real and personal property
Sell such property and apply the proceeds in conformity with the judgment.
Delivery or restitution of real property
If the party refuses to deliver, a writ of execution directing the sheriff to cause the defendant to vacate is in the nature of a
habere facias possesionem and
authorizes the sheriff to break open the premises where there is no occupant therein.
If party refuses to vacate
property, remedy is not contempt. The sheriff must oust the party. But if demolition is involved, there must be a special order.
Removal of improvements on property subject of execution
The officer may destroy,
demolish or remove the
improvements upon special order of the court, issued upon motion of the judgment obligee.
Delivery of personal property
The officer shall take possession and deliver to the party entitled thereto.
Contempt in case of refusal to comply with the judgment of the court
GR: No. The judgment debtor cannot be cited in contempt of court. Generally, contempt is not a remedy to enforce a judgment.
XPNs:
1. Refusal to perform a particular act or special judgments under Sec. 11 where he may be cited in contempt.
2. In case of the provisional remedy of support pendente
lite under Rule 61, the judgment debtor may still be
cited for contempt even if the decision is not a special judgment and requires the latter to pay money.
NOTE: A judgment of specific acts may be performed by other
person if the party refuses to comply with the judgment and the act by such other person shall have the same effect as if performed by the party himself. In such case, the disobedient party incurs no liability for contempt (Regalado, 2012).
EXECUTION OF SPECIAL JUDGMENTS