Arizona Laws 12-1588. Answer disclosing shares of stock; judgment and sale
A. If the garnishee is a corporation and it appears from the answer or otherwise that the judgment debtor is or was when the writ of garnishment was served the owner of any shares of stock in the corporation, or of any interest therein, the court shall give judgment ordering the sale under execution in favor of the judgment creditor against the judgment debtor of such shares or interest of the judgment debtor, or so much thereof as is necessary to satisfy the execution.
Terms Used In Arizona Laws 12-1588
- Answer: The formal written statement by a defendant responding to a civil complaint and setting forth the grounds for defense.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Garnishment: Generally, garnishment is a court proceeding in which a creditor asks a court to order a third party who owes money to the debtor or otherwise holds assets belonging to the debtor to turn over to the creditor any of the debtor
- Judgment creditor: means a person or entity that has a money judgment or an order for support of a person that is due and unpaid or an order pursuant to chapter 14 of this title allowing him to garnish monies, personal property or shares of stock before final judgment on the underlying action. See Arizona Laws 12-1570
- Judgment debtor: means a person or entity against which a money judgment has been awarded or against which an order for support of a person is due and unpaid or against which an order pursuant to chapter 14 of this title has been entered. See Arizona Laws 12-1570
B. The sale shall be conducted as other sales of personal property under execution, and the officer making the sale shall execute a transfer of the shares or interest to the purchaser, briefly reciting the judgment under which they were sold.
C. The sale shall pass to the purchaser all the right, title and interest which the judgment debtor had in the shares of stock, or in the corporation, and the officers of the corporation shall enter the sale and transfer on the books of the corporation as if they had been made by the judgment debtor.