What is a judgment lien?

A judgment lien is a legal claim against a debtor's property, which is imposed after a court ruling in favor of a creditor. When a creditor obtains a judgment against a debtor, this judgment can be recorded as a lien against the debtor's real estate. Therefore, the correct answer accurately describes how a judgment lien signifies that the creditor has a right to take possession of the debtor's property to satisfy the debt if it is not paid.

This mechanism serves to protect the creditor, as it establishes a priority over other creditors who may also have claims against the debtor. A judgment lien typically remains attached to the property until the debt associated with it has been fully paid or until the lien is otherwise released. It is an essential concept in real estate, as it impacts ownership rights and the ability to sell or refinance the property.