Legal Question in Criminal Law in California

Court ordered restitution vs. civil contract

A neighbor young adult has court ordered restitution to me of 10,500. The judgment abstract says he's ordered to pay $5 a month. He's proposed to me to work it off via a few construction projects. I am agreeable. He proposes that I document to the county that the amount is paid off and replace it with a civil contract outlining our arrangement. This contract would be enforceable to $8000 in small claims court. He had mentioned things like, the judgment is on his credit, it's not dischargeable by bankruptcy. I had proposed that I incrementally credit him as work is completed but he said that with the colllections dept of the county it's all or nothing, in other words, incrementally discharging it is not an option. I have not yet heard from the collections dept to verify. What am I giving up, or risking, if anything, by replacing court ordered restitution with a civil contract?


Asked on 12/30/08, 7:52 pm

1 Answer from Attorneys

Edward Hoffman Law Offices of Edward A. Hoffman

Re: Court ordered restitution vs. civil contract

Among other things, you're giving up an existing court order that the neighbor pay you the full $10,500 in exchange for a chance to bring a civil suit -- which will cost money, time and effort (and which you might lose, especially if you don't have a lawyer draft an enforceable contract for you).

Another risk is that he will discharge the contractual obligation via bankruptcy. The fact that he actually *told* you he wants a contract because he can't discharge the existing debt should have raised a very large red flag for you right away. He could file a bankruptcy case before your signature on the proposed contract is even dry.

Additionally, the small claims limit is $7,500, not $8,000.

I don't know about the "all-or-nothing" attitude he claims the government has, but $5 a month is pretty close to nothing already. You will be able to tell the court that the debt has been satisfied, and I don't see any reason why it wouldn't accept reports of partial payments along the way.

In general, though, you should be suspicious of someone like this. He is looking out for his interests rather than yours. I don't see much of an upside for you in his proposal.

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Answered on 12/30/08, 8:13 pm


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