Mr. Lacina, I sympathize with your interpretation of what record an abstract ought to show, as to effect release of a judgment lien.
But am not convinced that a clerk's memorandum **by itself suffices** to release.
Code section 624.37 appears to mandate the filing of a satisfaction/release document *by the judgment creditor*.
So our Supreme Court reads section 624.37.  
Section 624.20 merely creates a ministerial duty for the clerk, following an act by someone else that produces satisfaction of judgment.
IMHO the clerk's memorandum does not itself satisfy the judgment, but merely recognizes action taken to "set aside or satisfy".

602.8108 General duties.
The clerk shall:
...
98. Carry out duties relating to trials and judgments as provided in sections 624.8 through 624.20 and 624.37.

624.20 Satisfaction of judgment.
Where a judgment is set aside or satisfied by execution or otherwise, the clerk shall at once enter a memorandum thereof on the column left for that purpose in the judgment docket. ...

624.37 Satisfaction of judgment -- penalty.
1.  When the amount due upon the judgment is paid off, or satisfied in full, the party entitled to the proceeds thereof, or those acting for that party, must acknowledge satisfaction of the judgment by the execution of an instrument, duly acknowledged or notarized in the manner prescribed in chapter 9B, and filed in the office of the clerk of court in every county wherein the judgment is a lien. ...

The Supreme Court, construing together these two sections of Chapter 624, lays upon the judgment creditor a "clear duty" to file satisfaction.

Dwyer v. Clerk of District Court for Scott County, 404 N.W.2d 167 (Iowa 1987):
I. Background facts and proceedings. In August 1983 a decree was entered dissolving the marriage of Eugene Dwyer and his former wife. The dissolution decree required Dwyer to pay child support in the amount of $212.50 per month for each of the couple's two children and to pay certain medical and tuition expenses for the children. As required by Iowa Code section 598.22 (1983), the decree directed Dwyer to make these payments through the office of the clerk of the district court. Dwyer and his former wife agreed, however, that he would make the payments directly to his ex-wife, bypassing the clerk of court.
...
"From 1983 to 1985 Dwyer made the payments, as agreed, directly to his ex-wife. In July 1984 and October 1985 Dwyer filed with the clerk of court sworn affidavits of his ex-wife who acknowledged receipt of the child support payments. The clerk accepted these documents for filing and noted them on the judgment docket. In December 1985 Dwyer sought to file another similar affidavit of satisfaction; however, on this occasion the clerk of court accepted the affidavit for filing but refused to enter the satisfaction affidavit on the dissolution judgment docket. The clerk of court based this refusal on Iowa Code section 598.22, which requires child support payments to be made to the clerk of court, and on a 1985 amendment to that section which specifies that payments to any other person do not satisfy the underlying support obligation. 1985 Iowa Acts ch. 178, § 8 (codified as amended at Iowa Code § 598.22 (Supp.1985)).
Dwyer filed a petition seeking a writ of mandamus to compel the clerk of court to enter the satisfaction affidavit on the judgment docket. See Iowa Code ch. 661 (1985). The district court denied mandamus relief, and Dwyer has appealed.
...
"II. Duty of clerk of district court to record the satisfaction of judgment. The general duties the clerk of the district court shall perform are specified in Iowa Code section 602.8102 (Supp.1985). Subsection 602.8102(98) imposes a duty on the clerk of court to carry out duties specified in Iowa Code sections 624.8 through 624.21 and section 624.37. Iowa Code section 624.20 (1985) states, “Where a judgment is set aside or satisfied by execution or otherwise, the clerk shall at once enter a memorandum thereof on the column left for that purpose in the judgment docket.”
"The clear duty of Dwyer's former wife to execute a satisfaction of judgment is imposed on her by statute at Iowa Code section 624.37. That section provides:
      When the amount due upon judgment is paid off, or satisfied in full, ****the party entitled to the proceeds thereof****, or those acting for that party, ****must acknowledge satisfaction thereof upon the record of such judgment, or by the execution of an instrument referring to it, duly acknowledged and filed in the office of the clerk in every county wherein the judgment is a lien.**** A failure to do so for thirty days after having been requested in writing shall subject the delinquent party to a penalty of fifty dollars, to be recovered in an action therefor by the party aggrieved.
Iowa Code § 624.37 (emphasis added).   [i.e., by the Court]
"The clerk of court, even though aware of these provisions, refused to note on the dissolution judgment docket the December 1985 satisfaction of judgment affidavit executed by Dwyer's ex-wife and presented for filing by Dwyer. Relying on an Iowa attorney general's letter opinion, the clerk asserted that the 1985 amendment of Iowa Code section 598.22 prohibited the noting of the satisfaction affidavit on the judgment docket. ...
...
"Dwyer does not challenge the provision of section 598.22 that prohibits the clerk from entering moneys paid outside the clerk's office in the clerk's record book concerning child support. The clerk maintains two sets of books relating to dissolutions and child support payments in the clerk's office. The alimony and child support payment book, referred to in section 598.22, is a ledger of the cash and checks received by the clerk and the disbursement made of those moneys. This is the record book mandated by title 42, subsection 654(10) of the United States Code (1982). Dwyer concedes his payments should not be recorded in this book because the payments were not channeled through the clerk's office.
The clerk also maintains a dissolution judgment docket that recites the date events occur in the file. See Iowa Code § 602.8104(2)(b) (Supp.1985). The docket notes when a decree ordering the payment of child support has been entered. It also leaves spaces for the notation of executions and satisfactions of judgment. Section 598.22 does not refer to this judgment docket, on which Dwyer seeks to compel the clerk to note his ex-wife's satisfaction affidavit and to which Iowa Code section 624.20 (1985) specifically refers.
...
"Section 624.37 imposes a clear and specific duty upon a judgment creditor, such as Dwyer's ex-wife, to satisfy the judgment when paid..."
...
"We only hold that the clerk of the district court had a duty to file the affidavit of satisfaction and enter a memorandum thereof on the judgment docket as required by Iowa Code sections 624.20 and 624.37."

See also:
Schewennen v. Abel, 471 N.W.2d 880 (Iowa 1991):
"Iowa Code section 624.37 provides:
     When the amount due upon judgment is paid off, or satisfied in full, the party entitled to the proceeds thereof, or those acting for that party, must acknowledge satisfaction thereof upon the record of such judgment, or by the execution of an instrument referring to it, duly acknowledged and filed in the office of the clerk in every county wherein the judgment is a lien."
[Earlier version of statute]

In re Marriage of Farr, 542 N.W.2d 828 (Iowa 1996):
"The payment of the amount of a judgment by the judgment debtor and filing of a satisfaction by the judgment creditor will release the debtor from liability upon the judgment. See Iowa Code § 624.37..."


Per Code section 4.1(30)(b): The word "must" states a requirement.   
Given that section 624.37 says the judgment creditor or his agents "must acknowledge satisfaction" of his judgment when paid--
I think the Dwyer opinion correctly holds action by the judgment creditor to be mandatory in order to clear the record. 
Absent a creditor's formal release, the section 624.20 clerk's memorandum alone amounts to only *evidence of* a non-record satisfaction by the judgment debtor.
Evidence, probably not rising to level of lien release absent section 624.37 action by the judgment debtor to obtain a court ruling saying so.
Clearly a clerk's memorandum on the docket indicates that satisfaction money passed through the Clerk's hands. And the payment satisfies the judgment.


3 Patton & Palomar on Land Titles 3d section 578, p. 160 (2003):
§ 578. Discharge of judgment liens
  An existing judgment lien renders the title of a vendor imperfect and justifies a purchaser who is entitled to a good title in refusing to accept a conveyance unless the lien is removed.  Depending upon the statutes of the particular state, the discharge may be shown by (a) a receipt for the amount of the judgment endorsed on the face of the docket by the county clerk, or (b) a receipt, release or satisfaction made by the judgment creditor by endorsement on the docket, or (c) a duly acknowledged instrument filed with the clerk or recorded in the deed records. ...

Looks to me as though Iowa Code section 624.37 mandates what Patton & Palomar identify for title examiners as option (c).

Lindahl, 12 Ia. Prac., Civil & Appellate Procedure § 41:36 (2018 ed.)
§ 41:36. Discharge; offsetting judgments—Satisfaction
[citing C.J.S., Judgments §§ 656, 671, 681 to 690]

Most unfortunately the author of this Iowa Practice blurb, while quoting both sections 624.20 and .37, does nothing to further explain nor construe them together. 
Doesn't even cite Dwyer. Disappointing.


David Hanson
Hofmeyer & Hanson PC
Fayette, Iowa


----- Original Message -----
From: "Tom Lacina" <realestate@iabar.org>
To: realestate@iabar.org
Sent: Tuesday, May 29, 2018 12:42:37 PM
Subject: RE: [ISBA RealEstate]  judgment lien question

Section 624.20 says that when a judgment has been "satisfied by execution or otherwise, the clerk shall at once enter a memorandum thereof on the column left for that purpose in the judgment docket." 

Section 624.37 provides a mechanism for forcing the holder of a judgment to acknowledge satisfaction of that judgment in writing. 

My view has been that if a judgment is paid in full, then within the county where the judgment originated and where the clerk enters a "memorandum thereof," there is nothing further needed to be shown in the abstract. In other words, no satisfaction of judgment signed by the judgment holder is necessary. The primary purpose of section 624.37 is to clear up judgments that have been filed in other counties. 

Is that how others handle judgment liens?

Tom Lacina
Attorney at Law
 
Charnetski, Lacina & Clower, LLP
1022 Broad Street, P.O. Box 655, Grinnell, IA 50112-0655
Telephone: 641/236-4545, Telecopier: 641/236-8770 lacina@GrinnellLaw.com
 
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