New York State Private Investigator Practice Exam

What does the legal term "levy" refer to?

1. Taking possession of property by an official

2. Seizing a bank account

3. Issue an arrest warrant

4. Issuing a fine

The correct answer is: Taking possession of property by an official

The legal term "levy" refers to the act of taking possession of property by an official, typically in order to satisfy a judgment or debt. This process usually occurs after a court has granted a creditor the right to collect what is owed by taking control of the debtor's assets. In the context of civil procedures, this often involves seizing physical property or assets, which can include real estate, vehicles, or personal belongings, in order to fulfill a financial obligation. The law provides specific procedures and protections for debtors, ensuring that the levy process is conducted lawfully and fairly. For further context, while seizing a bank account, issuing an arrest warrant, and issuing a fine might all involve legal authorities, they do not define the term "levy." Seizing a bank account is a specific type of levy known as a "bank levy," but the broader term itself encompasses more than just that action. Similarly, issuing an arrest warrant and issuing a fine refer to different legal actions not associated with the concept of levying property for debt recovery.