In Illinois, a judgment from an Illinois state court, or a federal court located in Illinois, becomes a lien on real property only after a transcript, certified copy, or memorandum of judgment is recorded at the office of the county recorder in the county where the property is located. 735 ILCS 5/12-101. Recording of the judgment is necessary to perfect the lien even if the property is located in the same county where the judgment was entered.

Foreign Judgments

 A judgment from a state or federal court located in another state (a foreign judgment) may create a lien in Illinois if the requirements of 735 ILCS 5/12-650 et seq., the Uniform Enforcement of Foreign Judgments Act, are met. Effective January 1, 2014, the statute was amended by Public Act 98-557. To make the foreign judgment enforceable in Illinois, a judgment creditor needs to file one of two things with the county recorder: (1) an affidavit setting forth the name and address of a judgment debtor and a copy of the foreign judgment showing the filing in an Illinois court; or (2) a transcript of a final judgment in an Illinois court entered on an action to enforce the foreign judgment. 735 ILCS 5/12-101.

Expiration of Judgments and Revival

 A judgment lien will expire seven years from the time it is recorded. 735 ILCS 5/12-101. However, real estate that has been levied upon within the seven-year period is allowed one additional year to be sold to enforce the judgment. 735 ILCS 5/12-108.

 Also, revival of a judgment is possible at any time within twenty years from the date the final judgment was entered. 735 ILCS 5/13-218. As in the case of the original judgment, the revived judgment becomes a lien on the real property only upon recording of the judgment in the appropriate county. Wolff v. Groshong, 101 Ill App 3d 606, 428 NE 2d 910 (981). Just as the original judgment creates a lien when properly recorded, when a judgment is revived and the judgment lien is again perfected, that lien exists for an additional seven-year period. 735 ILCS 5/12-101.

Allowing a judgment lien to expire before it is revived can be risky; the lien’s priority may be lost if additional liens were recorded against the property since the judgment lien was initially perfected. The priority of an expired and then revived lien will be determined by the recording date of the order to revive, not by the date of the original recording of the judgment. Therefore, even though a judgment lien can be revived at any point within the 20-year statutory period, the judgment creditor is in danger of losing lien priority if the revival is obtained after the seven-year lien period is expired. First National Bank in Toledo, 272 Ill App 3d at 116, 650 NE 2d at 280.

Questions? Contact an Underwriter.