Title 9. Enforcement of Judgments · Division 2 · Chapter 3. Execution · Article 7. Distribution of Proceeds of Sale or Collection · Last amended 2011 · Last verified July 28, 2026
In one sentenceSection 701.820 requires the levying officer to distribute sale or collection proceeds within thirty days of receipt, or deposit them with the court under § 701.830, and sets an escalating process -- written demand, then an ex parte order to show cause -- if the officer fails to pay.
(a)Promptly after a sale or collection under this title, the levying officer shall distribute the proceeds to the persons entitled thereto or, in cases covered by Section 701.830, deposit the proceeds with the court.
(b)Except as otherwise provided by statute, the proceeds shall be paid to the persons entitled thereto within 30 days after the proceeds are received by the levying officer.
(c)If the proceeds are not received by the levying officer in one payment, the levying officer may accumulate proceeds received during a 30-day period and the accumulated proceeds shall be paid to the persons entitled thereto not later than 10 days after the expiration of the 30-day period.
(d)When proceeds are received by the levying officer in the form of a check or other form of noncash payment that is to be honored upon presentation by the levying officer for payment, the proceeds are not received for the purposes of this section until the check or other form of noncash payment has actually been honored upon presentation for payment.
(e)The provisions of Section 26680 of the Government Code apply to the levying officer only if all of the following conditions are satisfied:
(1)The levying officer has failed to pay the proceeds or deposit them with the court as provided in this article within the time provided in this section.
(2)Upon such failure, a person entitled to any of the proceeds has filed, in person or by certified mail, with the levying officer a written demand for the payment of the proceeds to the persons entitled thereto.
(3)The levying officer has failed within 10 days after the demand is filed to pay to the person filing the demand the proceeds to which that person is entitled.
(f)If all proceeds have not been received within 10 days after the filing of the demand specified by paragraph (3) of subdivision (e), a judgment creditor may file an ex parte application for an order directing the levying officer to show cause why relief should not be granted pursuant to Section 26680 of the Government Code. The order shall name a date and time for the levying officer to appear not less than 20 and not more than 30 days after filing of the application. If the levying officer pays all proceeds as provided in subdivision (e) of Section 701.810 to the judgment creditor no later than 10 days prior to the hearing, the judgment creditor shall notify the court of full payment no later than three days prior to the hearing and the court shall withdraw the order and vacate the hearing.
(g)An ex parte application filed pursuant to subdivision (f) shall state the date and manner of all of the following:
(1)Delivery of the writ of execution to the levying officer.
(2)Remittance of the proceeds to the levying officer.
(3)Filing of the 10-day demand pursuant to subdivision (e).
(h)If the court finds that the facts alleged in the ex parte application filed pursuant to subdivision (f) to be knowingly false, or made in bad faith, the court may award costs and reasonable attorney fees to the levying officer.
Plain-English Summary
Collecting the money is only half the job; getting it to the right people is the other half, and § 701.820 puts a clock on that. Promptly after a sale or collection, the officer either distributes the proceeds to the people entitled to them or, when § 701.830 applies because of conflicting claims, deposits the proceeds with the court instead. Ordinarily, payment has to happen within thirty days after the officer receives the proceeds; if proceeds trickle in over time, the officer can accumulate them across a thirty-day window and pay out within ten days after that window closes. A check or other noncash payment doesn't count as received until it has been honored.
If the officer misses that deadline, a person owed money can file a written demand, in person or by certified mail. If the officer still doesn't pay within ten days of that demand, Government Code § 26680 — the statute allowing relief against a public officer who withholds money owed — comes into play. A judgment creditor can then file an ex parte application for an order to show cause, with a hearing set twenty to thirty days out; if the officer pays everything due at least ten days before that hearing, the creditor notifies the court and the hearing gets vacated.
The ex parte application itself has to lay out the dates and manner of the writ's delivery to the officer, the proceeds' remittance to the officer, and the earlier ten-day demand. And if the court finds the application's factual claims knowingly false or made in bad faith, it can award the officer costs and reasonable attorney's fees.
Frequently Asked Questions
How quickly must the levying officer distribute proceeds after a sale or collection?
Within thirty days after the proceeds are received, unless another statute provides otherwise.
What if the officer receives the proceeds in installments over time?
The officer may accumulate proceeds received during a thirty-day period and pay them out within ten days after that period ends.
What can a person owed proceeds do if the officer doesn't pay on time?
File a written demand, in person or by certified mail; if the officer still doesn't pay within ten days, a judgment creditor can seek an ex parte order to show cause under Government Code § 26680.
What happens if the officer pays everything owed before the show-cause hearing?
The creditor notifies the court and the hearing is vacated, as long as payment happens at least ten days before the hearing date.
Is there a penalty for a bad-faith application against the levying officer?
Yes, the court can award the officer costs and reasonable attorney's fees if it finds the application's factual allegations knowingly false or made in bad faith.
Amendment History
Amended by Stats 2010 ch 4 (AB 680),s 3, eff. 1/1/2011.
Source & verification. Section text is reproduced verbatim from
the Deering's California Codes Annotated / vLex. Enacted by the California Legislature.
Last verified July 28, 2026.
· Official source
Also known as:levying officer duty distribute proceeds california