6.5 Forfeiture to Judgment, Unpaid Judgments & Motions to Set Aside

6.5 Forfeiture to Judgment, Unpaid Judgments & Motions to Set Aside

Core Pipeline: F.S. 903.26 (forfeiture), F.S. 903.27 (forfeiture to judgment), and F.S. 903.28 (remission). Pearson Domain VIII.B tests the path from unpaid forfeiture to judgment.

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1. Stage One: Forfeiture Under F.S. 903.26

When a defendant fails to appear:

1. Clerk automatically enters forfeiture (903.26(2)(b));
2. Clerk mails/electronically transmits notice to agent and company within 5 days (903.26(2));
3. Surety has 60 days after notice to pay or obtain discharge/stay (903.26(2)(a));
4. Unpaid funds deposit to fine and forfeiture fund 60 days after notice (903.26(3)(a)).

Do not confuse the 72-hour pre-appearance notice (903.26(1)(b)), the 5-day post-forfeiture notice (903.26(2)), and the 60-day payment period (903.26(2)(a)).

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2. Stage Two: Forfeiture to Judgment — F.S. 903.27(1)

If the forfeiture is not paid or discharged within 60 days:

The clerk shall enter a judgment against the surety for the penalty amount and issue execution.

If the court previously discharged the forfeiture conditioned on unpaid costs, judgment is limited to those unpaid fees or costs.

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3. Statutory Bars on Executing Bonds — F.S. 903.27(3)

An unpaid judgment immediately restricts bonding authority:

• Agent judgment unpaid 35 days: surety bail bonds may not be executed by that agent; sheriffs and jail officials may not accept them;
• Company judgment unpaid 50 days: bonds may not be executed for that company.

After 35 days of nonpayment, the clerk furnishes DFS, OIR, and the sheriff two copies of the judgment with a certificate of nonpayment. When paid or vacated, the clerk must notify officials and record satisfaction of judgment.

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4. Payment After Judgment — F.S. 903.27(4)

The surety or agent must submit the full judgment amount to the clerk within 35 days after notice of judgment, unless set aside within that period. Pending motions hold funds in escrow.

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5. Motions to Set Aside — F.S. 903.27(5)

File within 35 days of judgment entry. Relief requires escrow of the full judgment amount paid to the clerk.

Filing with escrow triggers an automatic stay of execution until the court rules.

Grounds include:

• Clerk failed to mail notice within 5 days (903.26(2));
• Same-day appearance; court may set aside (903.26(2)(b));
• Statutory discharge under 903.26(5);
• Surrender within 60 days under 903.22;
• Material bond defect under 903.32/903.33.

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6. Consequences of Unpaid Judgments

• Civil execution on judgment assets (903.27(1));
• Statutory bars on executing further bonds (903.27(3));
• DFS/OIR certification and appointment jeopardy (648.421; 648.384);
• Build-up fund application (648.29);
• Indemnity enforcement (903.14);
• Remission still available if defendant later caught (903.28, within 2 years).

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7. The Clerk's Role

The clerk mails notice, enters judgment automatically, certifies to DFS/OIR, holds escrow, records satisfaction, and deposits forfeited funds.

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8. Tolling — F.S. 903.27(1)

If the defendant is returned and a motion to set aside the judgment is filed, judgment provisions are tolled until the court disposes of the motion.

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9. Exam Traps

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10. Interaction with F.S. 648.421 and Insurer Security

Under F.S. 648.421, unpaid forfeiture judgments certified by the clerk to DFS trigger automatic suspension of the agent's authority to execute bonds. If the surety company fails to satisfy a judgment, DFS may draw on the insurer's mandatory security deposit with the State Treasurer.

Agents who personally guaranteed bonds through build-up funds (F.S. 648.29) may see those funds applied to satisfy judgments before release to the agent.

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11. Scenario: Day 55 Forfeiture Crisis

An Orange County defendant fails to appear on a $20,000 bond. Timeline:

If the hearing does not occur before day 60 and no stay is granted, the clerk may enter judgment on day 61. The agent must either pay the forfeiture, obtain a signed stay order, or complete surrender with court discharge before the 60-day deadline—not merely file the motion.

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12. Remission After Judgment Payment

Even after a forfeiture is paid and judgment satisfied, F.S. 903.28 remission may still recover a percentage if the defendant is later apprehended within 2 years. The graduated schedule (100% within 90 days down to 50% within 2 years) applies to paid forfeitures. Agents who pay judgments on day 60 should immediately initiate fugitive recovery to maximize remission recovery and offset the judgment loss.