How to File a Satisfaction of Judgment in Alabama
The debtor finally paid — through garnishment, a lump sum, or a settlement. Collection is done, but your obligations aren't. Alabama law requires judgment creditors to formally close the public record once a judgment is satisfied. Skip this step and the debtor may be left with a clouded title or a docket that still shows an unpaid judgment.
File a Satisfaction of Judgment with the District Court
Once the judgment is fully paid, file a formal Satisfaction of Judgment (also called a Certificate of Satisfaction or Affidavit of Satisfaction) with the District Court Clerk where the case was decided. This updates the civil docket to show the judgment has been satisfied.
Alabama doesn't have a single statewide AOC form for satisfaction of judgment — the format varies by county. Some counties have a local form available at the clerk's window; others accept a written statement on letterhead or a sworn affidavit. Ask the District Court Clerk what they require.
The satisfaction document should include:
- The case number and court
- Full names of all parties
- The original judgment amount
- Confirmation that the judgment (including interest and costs) has been satisfied in full
- Your signature and date
- Notarization (if the county requires it)
Release Any Recorded Judgment Liens
If you recorded a Certificate of Judgment in the Probate Court to create a real property lien, you must record a formal release or cancellation in every Probate office where you recorded. The lien won't disappear on its own just because the District Court docket shows satisfaction.
Take a Cancellation of Lien or Release of Judgment Lien to the Probate Court, along with the recording fee. The Probate clerk will index the release against the original Certificate of Judgment, clearing the debtor's title.
This step matters because the lien affects the debtor's ability to transfer clear title or refinance property. Leaving a paid lien on record keeps the public land record inaccurate.
Terminate Active Garnishments
If you had an active wage or bank account garnishment running when the judgment was satisfied, file a Garnishee Release (Form C-23) with the District Court Clerk. Serve a copy on the employer or bank that was withholding funds.
Failing to release an active garnishment after the debt is paid is a serious problem. Continued withholding from wages or a frozen bank account after satisfaction exposes you to civil liability for conversion — taking money that doesn't belong to you.
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Partial Satisfaction
If you accept a settlement for less than the full judgment, make the terms clear about whether the settlement releases the entire judgment. An ordinary partial payment does not by itself change the judgment or waive your right to collect the remaining balance.
Timing
Don't delay filing the satisfaction. The debtor has a right to a clear record once they've paid, and courts take a dim view of creditors who sit on satisfied judgments. File the satisfaction and any lien releases promptly after receiving final payment.
Close the Loop Right
The Alabama Judgment Collection Guide includes a multi-office closeout checklist that walks through every filing needed to clear the judgment from both the District Court and Probate Court records — so nothing gets missed.
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