Process Service: Getting Valid Money Judgments from Out-of-State or Evasive Defendants

One question comes up often in commercial real estate litigation: Can I receive a money judgment if the defendant resides out of state or is evading service?

The issue arises frequently, because anyone filing a complaint seeking damages resulting from a breach of a guaranty or lease must serve the party against which they are taking action. If that party is unable to be found because they relocated to another state or they are intentionally avoiding service, it poses a problem for the plaintiff.

If you receive a money judgment before executing proper service, the judgment will be easier to challenge, void, and set aside. If the statute of limitations runs out on the claim after the judgment is set aside, you can’t refile. Personal service is an imperative for plaintiffs in many cases.

However, there are two misconceptions regarding personal service that cause confusion. Let’s address both of them.

If You Can’t Locate the Party, Publishing a Copy of the Claim is Sufficient

This is FALSE. Serving a party through publication will not earn you a valid money judgment. Serving via publication permits you to get a judgment for a property in rem (for instance, a foreclosure action), but it will do you no good in your quest for a valid money judgment stemming from a breach of contract.

You Must Be Physically Present When Serving the Defendant

This also is FALSE. You physically do not need to hand documentation of the complaint to the party. You do not need to be present when serving the defendant.

What You Should Do

To successfully get a money judgment for breach of guaranty or lease against a party intentionally evading service or residing out of state, the process of substitute service should guide your actions.

Substitute service allows a plaintiff to allege that a defendant has relocated out of state or is avoiding service. The plaintiff is then able to execute service after completing a process that begins with serving the Secretary of State.

To use substitute service, a plaintiff needs to prove that he or she made reasonable attempts to find the defendant and to gain the information required for effective personal service. When seeking a valid money judgment against a defendant residing out of state or a defendant intentionally evading service, plaintiffs must strictly comply with laws pertaining to substitute service.

All American Document Services can help.

Process Service & Skip Tracing from All American Document Services

Don’t let your pursuit of a money judgment land you in legal and financial trouble. All American Document Services employs fully licensed and highly trained skip tracers that work in accordance of all state, local, and federal laws. As registered agents, we can also receive process service on behalf of companies and corporations.

To learn more about how we Clarify Legal and Financial Risk, visit our homepage today.