Which lien arises from a court order to pay a certain amount to a creditor?

Prepare for the Real Estate Ownership Exam with multiple choice questions, flashcards, and detailed explanations. Master land use controls and financing to excel on your test.

Multiple Choice

Which lien arises from a court order to pay a certain amount to a creditor?

Explanation:
Judgment liens arise when a court orders a debtor to pay a specific amount to a creditor. Once the court issues the money judgment, the creditor can record it to attach a lien on the debtor’s real property in the jurisdiction. This lien is involuntary and serves to secure payment of the awarded sum, including interest and costs. A mortgage lien is created by a mortgage agreement to secure a loan, not by a court order. An equitable lien comes from a court recognizing a claim to payment or value transfer to correct inequity, not from a specific monetary judgment. A general lien covers all of the debtor’s property, not a particular court-ordered amount. Therefore, the lien that arises from a court order to pay a certain amount to a creditor is a judgment lien.

Judgment liens arise when a court orders a debtor to pay a specific amount to a creditor. Once the court issues the money judgment, the creditor can record it to attach a lien on the debtor’s real property in the jurisdiction. This lien is involuntary and serves to secure payment of the awarded sum, including interest and costs. A mortgage lien is created by a mortgage agreement to secure a loan, not by a court order. An equitable lien comes from a court recognizing a claim to payment or value transfer to correct inequity, not from a specific monetary judgment. A general lien covers all of the debtor’s property, not a particular court-ordered amount. Therefore, the lien that arises from a court order to pay a certain amount to a creditor is a judgment lien.

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