A confession of judgment is a legal term you may not be familiar with. This may be because here in Florida, confessions of judgment are prohibited.
What is a Confession of Judgment?
A confession of judgment is a legal agreement in which a debtor pre-authorizes the creditor to obtain a judgment against them without notice or a court hearing in the event of default. Essentially, the debtor “confesses” to owing the debt in advance and waives their right to contest it in court.
This process, recognized in states like New York, allows creditors to enter judgments based solely on an affidavit, which means they can bypass due process protections. Not so in Florida.
Legal Background in Florida
Florida courts have repeatedly ruled that any agreement allowing a creditor to obtain a judgment without notice or a hearing is void and unenforceable because such clauses violate due process rights and public policy.
Florida Statutes and case law make it clear that judgments must be based on due process, which includes notice and the opportunity to be heard. The Florida Supreme Court has also emphasized the importance of due process and has stated that all parties must have a chance to be heard before a court can enter judgment.
What If the Confession of Judgment Is from Another State?
As mentioned, some states like New York allow confessions of judgment, and despite Florida’s ban, out-of-state creditors have tried to use confessions of judgment against Florida business owners in an attempt to exploit laws from other states where the practice is legal.
If this happens to you, consult an attorney right away. A confession of judgment is not valid or enforceable in our state, whether it’s part of a contract governed by Florida law or an out-of-state judgment that violates due process principles. Florida courts will scrutinize the out-of-state judgment to determine if it violates Florida’s public policy, and if the judgment was entered without proper notice and opportunity to be heard, a Florida court may refuse to enforce it.
