Paralegal Advanced Competency Exam (PACE) Practice Exam

Who is referred to as a judgment debtor?

1. A person who is rewarded in a litigation

2. A person who has paid the court's fees

3. A person who owes money based on a court's judgment

4. A person who appeals a court's decision

The correct answer is: A person who owes money based on a court's judgment

A judgment debtor is defined as an individual or entity that owes money as a result of a judicial decision. In legal proceedings, when a court issues a judgment requiring a party to pay a specified amount to another party, the party required to make the payment is designated as the judgment debtor. This terminology is critical in the context of collections and enforcement actions following a judgment, as it highlights the obligation of the debtor to fulfill the financial aspects stipulated in the court's ruling. The other options do not align with the definition of a judgment debtor. An individual rewarded in litigation typically receives compensation rather than owing money. Fulfilling court fees relates to access to the legal system rather than financial responsibilities stemming from a court's decision. Similarly, appealing a court's decision does not involve an existing debt but is rather an effort to challenge and potentially overturn the judgment. Thus, the correct answer reflects the fundamental concept of legal obligations stemming from a court ruling.