When a defendant is convicted of a federal financial crime, the court often orders the forfeiture of property or assets connected to the offense. These forfeiture orders can be devastating, taking not only cash but also homes, vehicles, or business interests. Fortunately, defendants have the right to challenge improper forfeitures through the appeals process. Understanding how and when to appeal can make the difference between permanent loss and recovery.
A forfeiture order is a court directive requiring a defendant to surrender assets linked to criminal activity. In financial crime cases—such as wire fraud, money laundering, or securities violations—the government argues that the property represents either proceeds of the crime or tools used to commit it.
Forfeiture serves both punitive and restorative purposes. However, courts must ensure that only assets with a direct connection to the offense are taken. Overbroad forfeitures can violate due process and lead to unjust outcomes.
An appeal focuses on legal errors that occurred during sentencing or trial. Common grounds include:
Each of these arguments requires careful review of the trial record and financial evidence.
Appealing a forfeiture order follows the same general process as appealing a conviction. A notice of appeal must be filed within a strict deadline—usually 14 days after judgment. The appellate court then reviews the record to determine whether legal errors occurred.
Importantly, forfeiture appeals often run parallel to conviction appeals. Success on one can affect the other. For instance, if a conviction is reversed, the forfeiture order typically collapses.
Federal law allows “substitute asset” forfeiture, meaning the government can seize untainted property if the original proceeds are unavailable. This can include wages, bank accounts, or retirement funds. Defendants can challenge these substitutions by showing the government failed to trace the proceeds or that the substitute assets are exempt.
In conspiracy cases, courts sometimes impose joint and several liability, holding each participant responsible for the entire forfeiture amount. Recent Supreme Court rulings have limited this approach, offering defendants stronger grounds for appeal.
Because forfeiture orders are often intertwined with sentencing, timing and coordination matter. Appellate counsel must carefully craft arguments that address both the conviction and the financial penalties. In some cases, separate motions for reconsideration or modification may be filed before the appeal to preserve specific issues.
Working with an attorney experienced in financial crime appeals ensures that every potential argument is raised and properly supported.
Challenging a forfeiture order requires a deep understanding of financial tracing, appellate procedure, and constitutional limits. At Glozman Law, our attorneys analyze each forfeiture component to identify errors and pursue recovery. We have successfully represented clients in appeals involving overreaching forfeiture judgments and unlawful substitutions.
If your property has been taken following a conviction for a financial crime, contact Glozman Law today. We can evaluate your case and develop a strategy to protect your assets and restore your rights.
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