Satisfaction of Judgment in BC — How to Close Your Small Claims Case

The debtor finally paid. Maybe it came in one lump sum, maybe it trickled in over months through garnishment and instalment payments. Either way, the judgment balance is at zero — principal, interest, and enforcement costs all recovered. Now what?

The case does not close itself. If you skip the formal closure steps, the judgment stays on the court record as an active, unsatisfied debt. That can cause real problems for the debtor (and potentially for you if they come back claiming the debt was paid but never cleared).

Filing the Acknowledgement of Payment

In BC Provincial Court Small Claims, the creditor closes the file by filing an Acknowledgement of Payment at the court registry. This is a written confirmation — signed by you, the judgment creditor — stating that the judgment has been paid in full, including all post-judgment interest and recoverable enforcement costs.

The form is straightforward: it identifies the court file number, the parties, the original judgment amount, and confirms that the total owing has been received. File it at the same registry where the judgment is registered. The registry stamps it and updates the case status to reflect that the debt is satisfied.

There is no fee for filing the Acknowledgement of Payment.

Why You Should Not Skip This Step

The court record reflects what is filed. Without an Acknowledgement of Payment:

• The judgment remains active on the court system, and the debtor's credit reporting may continue to reflect an outstanding court judgment.
• If you registered the judgment against land at the Land Title and Survey Authority (LTSA), the charge stays on the title until you discharge it — potentially blocking a sale or refinance the debtor needs.
• The debtor could apply to the court for an order compelling you to file the acknowledgement, adding unnecessary cost and conflict for both sides.

Filing the acknowledgement is the clean finish. It protects the debtor's record and closes your own administrative obligations.

Discharging a Land Title Registration

If you registered the judgment against the debtor's real property through the LTSA under section 88 of the Court Order Enforcement Act, you need to take a separate step to remove it. Filing the Acknowledgement of Payment at the court registry does not automatically clear the land title.

To discharge the registration, file a formal discharge document with the LTSA to cancel the encumbrance. Check the LTSA's current filing requirements and fee for the discharge.

Until you file the discharge, the charge sits on the debtor's title and shows up in any title search. If the debtor is selling property or refinancing a mortgage, this can delay their transaction — and they may take legal steps to compel you to clear it, which could include recovering their legal costs from you.

Partial Payments and Ongoing Tracking

If the debtor has been making partial payments — through garnishment, instalments, or voluntary transfers — you need an accurate accounting before you can file the Acknowledgement of Payment. That means tracking every payment received, calculating post-judgment interest on the declining balance, and confirming that all enforcement costs you advanced (filing fees, process server charges, bailiff deposits) have been reimbursed.

The Court Order Interest Act governs how post-judgment interest accrues in BC. Interest runs on the unpaid judgment balance from the date of judgment until paid. A partial payment first pays accrued interest, then reduces the principal balance used to calculate future interest.

Keeping a running ledger from the start of enforcement makes this final accounting much simpler. Trying to reconstruct the payment history months later from bank statements and registry receipts is where mistakes happen.

The Full Enforcement-to-Closure Walkthrough

Closing the case is the last step in a longer sequence — from filing the judgment, through asset discovery, garnishment or seizure, to final payment. The BC Order Enforcement Guide covers every phase, including a judgment accounting ledger and a case closure checklist that walks you through the discharge steps for each enforcement tool you used.

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