1st Engrossment - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am
1.1 A bill for an act 1.2 relating to creditors' remedies; regulating 1.3 garnishments, executions, and levies; revising forms; 1.4 regulating service; defining terms; providing 1.5 notification; increasing the dollar amount of 1.6 attorneys' execution levies; making various 1.7 housekeeping and technical changes; amending Minnesota 1.8 Statutes 1998, sections 550.051, subdivision 1; 1.9 550.136, subdivisions 2 and 9; 550.143, subdivisions 7 1.10 and 8; 551.01; 551.04, subdivisions 4, 6, and 9; 1.11 551.05, subdivision 5; 551.06, subdivision 9; 571.72, 1.12 subdivision 2; 571.74; 571.79; 571.82, subdivision 1; 1.13 571.914, subdivision 2; and 571.921; Minnesota 1.14 Statutes 1999 Supplement, sections 550.136, 1.15 subdivisions 6 and 10; 550.143, subdivision 3; 551.05, 1.16 subdivision 1a; 551.06, subdivision 10; 571.75, 1.17 subdivision 2; 571.912; and 571.925; proposing coding 1.18 for new law in Minnesota Statutes, chapters 551; and 1.19 571; repealing Minnesota Statutes 1998, section 571.80. 1.20 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.21 Section 1. Minnesota Statutes 1998, section 550.051, 1.22 subdivision 1, is amended to read: 1.23 Subdivision 1. [TIME PERIODS.] The writ of execution 1.24 expires 180 days after its issuance by the court administrator. 1.25 A levy that is served with a writ of execution that has expired 1.26 is void. If the officer or creditor's attorney having the writ 1.27 levies upon property or earnings before the expiration of 180 1.28 days, the officer or creditor's attorney may retain the writ 1.29 until the officer sells the property or completes the levy upon 1.30 earnings in the manner prescribed by law. Any levy properly 1.31 served in accordance with this chapter or chapter 551 prior to 1.32 the expiration of the writ shall be processed in accordance with 2.1 the appropriate statutory section until completion, without 2.2 regard for the date of expiration of the writ. Upon a demand of 2.3 the judgment creditor or the creditor's attorney within 180 2.4 days, the officer shall pay to the judgment creditor or the 2.5 judgment creditor's attorney all money collected upon execution 2.6 after deducting the officer's fees. Upon expiration of the writ 2.7 or full satisfaction of the judgment, if earlier, the officer 2.8 shall make a full inventory of the property levied on and return 2.9 it with the execution. 2.10 Sec. 2. Minnesota Statutes 1998, section 550.136, 2.11 subdivision 2, is amended to read: 2.12 Subd. 2. [DEFINITIONS.] For purposes of this section, the 2.13 following terms have the meanings given them: 2.14 (a) "earnings" means: 2.15 (1) compensation paid or payable to an employee for 2.16 personal service whether denominated as wages, salary, 2.17 commissions, bonus, or otherwise, and includes periodic payments 2.18 pursuant to a pension or retirement program; 2.19 (2) compensation paid or payable to the producer for the 2.20 sale of agricultural products; livestock or livestock products; 2.21 milk or milk products; or fruit or other horticultural products 2.22 produced when the producer is operating a family farm, a family 2.23 farm corporation, or an authorized farm corporation, as defined 2.24 in section 500.24, subdivision 2; or 2.25 (3) maintenance as defined in section 518.54, subdivision 3. 2.26 (b) "disposable earnings" means that part of the earnings 2.27 of an individual remaining after the deduction from those 2.28 earnings of amounts required by law to be withheld, including 2.29 amounts required by court order to be withheld for child support 2.30 obligations; 2.31 (c) "employee" means an individual who performs services 2.32 subject to the right of the employer to control both what is 2.33 done and how it is done; and 2.34 (d) "employer" means a person for whom an individual 2.35 performs services as an employee. 2.36 Sec. 3. Minnesota Statutes 1999 Supplement, section 3.1 550.136, subdivision 6, is amended to read: 3.2 Subd. 6. [EARNINGS EXEMPTION NOTICE.] Before the first 3.3 levy on earnings under this chapter, the judgment creditor shall 3.4 serve upon the judgment debtor no less than ten days before the 3.5 service of the writ of execution, a notice that the writ of 3.6 execution may be served on the judgment debtor's employer. The 3.7 notice must: (1) be substantially in the form set forth below; 3.8 (2) be served personally, in the manner of a summons and 3.9 complaint, or by first class mail to the last known address of 3.10 the judgment debtor; (3) inform the judgment debtor that an 3.11 execution levy may be served on the judgment debtor's employer 3.12 in ten days, and that the judgment debtor may, within that time, 3.13 cause to be served on the judgment creditor a signed statement 3.14 under penalties of perjury asserting an entitlement to an 3.15 exemption from execution; (4) inform the judgment debtor of the 3.16 earnings exemptions contained in section 550.37, subdivision 14; 3.17 and (5) advise the judgment debtor of the relief set forth in 3.18 this chapter to which the debtor may be entitled if a judgment 3.19 creditor in bad faith disregards a valid claim and the fee, 3.20 costs, and penalty that may be assessed against a judgment 3.21 debtor who in bad faith falsely claims an exemption or in bad 3.22 faith takes action to frustrate the execution process. The 3.23 notice requirement of this subdivision does not apply to a levy 3.24 on earnings being retained by an employer pursuant to a 3.25 garnishment previously served in compliance with chapter 571. 3.26 The ten-day notice informing a judgment debtor that a writ 3.27 of execution may be used to levy the earnings of an individual 3.28 must be substantially in the following form: 3.29 STATE OF MINNESOTA DISTRICT COURT 3.30 COUNTY OF ............. ........... JUDICIAL DISTRICT 3.31 .............(Judgment Creditor) 3.32 against 3.33 EXECUTION EXEMPTION 3.34 .............(Judgment Debtor) NOTICE AND NOTICE OF 3.35 and INTENT TO LEVY ON EARNINGS 3.36WITHIN TEN DAYS4.1 .............(Third Party) 4.2 PLEASE TAKE NOTICE that a levy may be served upon your 4.3 employer or other third parties, without any further court 4.4 proceedings or notice to you, ten days or more from the date 4.5 hereof. Your earnings are completely exempt from execution levy 4.6 if you are now a recipient of relief based on need, if you have 4.7 been a recipient of relief within the last six months, or if you 4.8 have been an inmate of a correctional institution in the last 4.9 six months. 4.10 Relief based on need includes Minnesota Family Investment 4.11 Program (MFIP), Emergency Assistance (EA), Work First, Medical 4.12 Assistance (MA), General Assistance (GA), General Assistance 4.13 Medical Care (GAMC), Emergency General Assistance (EGA), 4.14 Minnesota Supplemental Aid (MSA), MSA Emergency Assistance 4.15 (MSA-EA), Supplemental Security Income (SSI), and Energy 4.16 Assistance. 4.17 If you wish to claim an exemption, you should fill out the 4.18 appropriate form below, sign it, and send it to the judgment 4.19 creditor's attorney. 4.20 You may wish to contact the attorney for the judgment 4.21 creditor in order to arrange for a settlement of the debt or 4.22 contact an attorney to advise you about exemptions or other 4.23 rights. 4.24 PENALTIES 4.25 (1) Be advised that even if you claim an exemption, an 4.26 execution levy may still be served on your employer. If 4.27 your earnings are levied on after you claim an exemption, 4.28 you may petition the court for a determination of your 4.29 exemption. If the court finds that the judgment creditor 4.30 disregarded your claim of exemption in bad faith, you will 4.31 be entitled to costs, reasonable attorney fees, actual 4.32 damages, and an amount not to exceed $100. 4.33 (2) HOWEVER, BE WARNED if you claim an exemption, the 4.34 judgment creditor can also petition the court for a 4.35 determination of your exemption, and if the court finds 4.36 that you claimed an exemption in bad faith, you will be 5.1 assessed costs and reasonable attorney's fees plus an 5.2 amount not to exceed $100. 5.3 (3) If after receipt of this notice, you in bad faith take 5.4 action to frustrate the execution levy, thus requiring the 5.5 judgment creditor to petition the court to resolve the 5.6 problem, you will be liable to the judgment creditor for 5.7 costs and reasonable attorney's fees plus an amount not to 5.8 exceed $100. 5.9 DATED: ............ ........................ 5.10 (Attorney for Judgment Creditor) 5.11 ........................ 5.12 Address 5.13 ........................ 5.14 Telephone 5.15 JUDGMENT DEBTOR'S EXEMPTION CLAIM NOTICE 5.16 I hereby claim that my earnings are exempt from execution 5.17 because: 5.18 (1) I am presently a recipient of relief based on need. 5.19 (Specify the program, case number, and the county from 5.20 which relief is being received.) 5.21 ................ ...................... ............... 5.22 Program Case Number (if known) County 5.23 (2) I am not now receiving relief based on need, but I have 5.24 received relief based on need within the last six months. 5.25 (Specify the program, case number, and the county from 5.26 which relief has been received.) 5.27 ................ ...................... ............... 5.28 Program Case Number (if known) County 5.29 (3) I have been an inmate of a correctional institution 5.30 within the last six months. (Specify the correctional 5.31 institution and location.) 5.32 ........................... .......................... 5.33 Correctional Institution Location 5.34 I hereby authorize any agency that has distributed relief 5.35 to me or any correctional institution in which I was an inmate 5.36 to disclose to the above-named judgment creditor or the judgment 6.1 creditor's attorney only whether or not I am or have been a 6.2 recipient of relief based on need or an inmate of a correctional 6.3 institution within the last six months. I have mailed or 6.4 delivered a copy of this form to the judgment creditor or 6.5 judgment creditor's attorney. 6.6 ........................... ......................... 6.7 Debtor 6.8 ......................... 6.9 Address 6.10 ......................... 6.11 Debtor Telephone Number 6.12 Sec. 4. Minnesota Statutes 1998, section 550.136, 6.13 subdivision 9, is amended to read: 6.14 Subd. 9. [EXECUTION EARNINGS DISCLOSURE FORM AND 6.15 WORKSHEET.] The judgment creditor shall provide to the sheriff 6.16 for service upon the judgment debtor's employer an execution 6.17 earnings disclosure form and an earnings disclosure worksheet 6.18 with the writ of execution, that must be substantially in the 6.19 form set forth below. 6.20 STATE OF MINNESOTA DISTRICT COURT 6.21 COUNTY OF ............. ........... JUDICIAL DISTRICT 6.22 FILE NO. ..... 6.23 ................ (Judgment Creditor) 6.24 against EARNINGS 6.25 ................ (Judgment Debtor) EXECUTION 6.26 and DISCLOSURE 6.27 ................ (Third Party) 6.28 DEFINITIONS 6.29 "EARNINGS": For the purpose of execution, "earnings" means 6.30 compensation paid or payable to an employee for personal 6.31 services or compensation paid or payable to the producer for the 6.32 sale of agricultural products; milk or milk products; or fruit 6.33 or other horticultural products produced when the producer is 6.34 operating a family farm, a family farm corporation, or an 6.35 authorized farm corporation, as defined in section 500.24, 6.36 subdivision 2, whether denominated as wages, salary, commission, 7.1 bonus, or otherwise, and includes periodic payments pursuant to 7.2 a pension or retirement. 7.3 "DISPOSABLE EARNINGS": Means that part of the earnings of 7.4 an individual remaining after the deduction from those earnings 7.5 of amounts required by law to be withheld, including amounts 7.6 required by court order to be withheld for child support 7.7 obligations. (Amounts required by law to be withheld do not 7.8 include items such as health insurance, charitable 7.9 contributions, or other voluntary wage deductions.) 7.10 "PAYDAY": For the purpose of execution, "payday(s)" means 7.11 the date(s) upon which the employer pays earnings to the debtor 7.12 in the ordinary course of business. If the judgment debtor has 7.13 no regular payday, payday(s) means the 15th and the last day of 7.14 each month. 7.15 THE THIRD PARTY/EMPLOYER MUST ANSWER THE FOLLOWING 7.16 QUESTIONS: 7.17 (1) Do you now owe, or within 70 days from the date the 7.18 execution levy was served on you, will you or may you owe money 7.19 to the judgment debtor for earnings? 7.20 ....... ....... 7.21 Yes No 7.22 (2) Does the judgment debtor earn more than $... per week? 7.23 (this amount is the federal minimum wage per week) 7.24 ....... ....... 7.25 Yes No 7.26 INSTRUCTIONS FOR COMPLETING THE 7.27 EARNINGS DISCLOSURE 7.28 A. If your answer to either question 1 or 2 is "No," then 7.29 you must sign the affirmation below and return this disclosure 7.30 to the sheriff within 20 days after it was served on you, and 7.31 you do not need to answer the remaining questions. 7.32 B. If your answers to both questions 1 and 2 are "Yes," 7.33 you must complete this form and the Earnings Disclosure 7.34 Worksheet as follows: 7.35 For each payday that falls within 70 days from the date the 7.36 execution levy was served on you, YOU MUST calculate the 8.1 amount of earnings to be retained by completing steps 3 8.2 through 11 on page 2, and enter the amounts on the Earnings 8.3 Disclosure Worksheet. UPON REQUEST, THE EMPLOYER MUST 8.4 PROVIDE THE DEBTOR WITH INFORMATION AS TO HOW THE 8.5 CALCULATIONS REQUIRED BY THIS DISCLOSURE WERE MADE. 8.6 Each payday, you must retain the amount of earnings listed 8.7 in column I on the Earnings Disclosure Worksheet. 8.8 You must pay the attached earnings and return this earnings 8.9 disclosure form and the Earnings Disclosure Worksheet to 8.10 the sheriff and deliver a copy of the disclosure and 8.11 worksheet to the judgment debtor within ten days after the 8.12 last payday that falls within the 70-day period. If the 8.13 judgment is wholly satisfied or if the judgment debtor's 8.14 employment ends before the expiration of the 70-day period, 8.15 your disclosure and remittance should be made within ten 8.16 days after the last payday for which earnings were attached. 8.17 For steps 3 through 11, "columns" refers to columns on the 8.18 Earnings Disclosure Worksheet. 8.19 (3) COLUMN A. Enter the date of judgment debtor's payday. 8.20 (4) COLUMN B. Enter judgment debtor's gross earnings for 8.21 each payday. 8.22 (5) COLUMN C. Enter judgment debtor's disposable earnings 8.23 for each payday. 8.24 (6) COLUMN D. Enter 25 percent of disposable earnings. 8.25 (Multiply column C by .25.) 8.26 (7) COLUMN E. Enter here 40 times the hourly federal 8.27 minimum wage ($...) times the number of work weeks included in 8.28 each payday. (Note: if a payday includes days in excess of 8.29 whole work weeks, the additional days should be counted as a 8.30 fraction of a work week equal to the number of work days in 8.31 excess of a whole work week divided by the number of work days 8.32 in a normal work week.) 8.33 (8) COLUMN F. Subtract the amount in column E from the 8.34 amount in column C, and enter here. 8.35 (9) COLUMN G. Enter here the lesser of the amount in 8.36 column D and the amount in column F. 9.1 (10) COLUMN H. Enter here any amount claimed by you as a 9.2 setoff, defense, lien, or claim, or any amount claimed by any 9.3 other person as an exemption or adverse interest which would 9.4 reduce the amount of earnings owing to the judgment debtor. 9.5 (Note: Any indebtedness to you incurred within ten days prior 9.6 to your receipt of the first execution levy on a debt may not be 9.7 set off against the earnings otherwise subject to this levy. 9.8 Any wage assignment made by the judgment debtor within ten days 9.9 prior to your receipt of the first execution levy on a debt is 9.10 void.) 9.11 You must also describe your claim(s) and the claims of 9.12 others, if known, in the space provided below the worksheet and 9.13 state the name(s) and address(es) of these persons. 9.14 Enter zero in column H if there are no claims by you or 9.15 others which would reduce the amount of earnings owing to the 9.16 judgment debtor. 9.17 (11) COLUMN I. Subtract the amount in column H from the 9.18 amount in column G and enter here. This is the amount of 9.19 earnings that you must remit for the payday for which the 9.20 calculations were made. 9.21 AFFIRMATION 9.22 I, ................... (person signing Affirmation), am the 9.23 third party/employer or I am authorized by the third 9.24 party/employer to complete this earnings disclosure, and have 9.25 done so truthfully and to the best of my knowledge. 9.26 Dated: ............ ............................ 9.27 Signature 9.28 ............................ 9.29 Title 9.30 ............................ 9.31 Telephone Number 9.32 EARNINGS DISCLOSURE WORKSHEET ................... 9.33 Debtor's Name 9.34 A B C 9.35 Payday Gross Disposable 9.36 Date Earnings Earnings 10.1 1. ........ $....... $......... 10.2 2. ........ ........ .......... 10.3 3. ........ ........ .......... 10.4 4. ........ ........ .......... 10.5 5. ........ ........ .......... 10.6 6. ........ ........ .......... 10.7 7. ........ ........ .......... 10.8 8. ........ ........ .......... 10.9 9. ........ ........ .......... 10.10 10. ........ ........ .......... 10.11 D E F 10.12 25% of 40 X Min. Column C 10.13 Column C Wage minus 10.14 Column E 10.15 1. ........ ........ .......... 10.16 2. ........ ........ .......... 10.17 3. ........ ........ .......... 10.18 4. ........ ........ .......... 10.19 5. ........ ........ .......... 10.20 6. ........ ........ .......... 10.21 7. ........ ........ .......... 10.22 8. ........ ........ .......... 10.23 9. ........ ........ .......... 10.24 10. ........ ........ .......... 10.25 G H I 10.26 Lesser of Setoff, Lien, Column G 10.27 Column D Adverse minus 10.28 and Interest, or Column H 10.29 Column F Other Claims 10.30 1. ........ ........ .......... 10.31 2. ........ ........ .......... 10.32 3. ........ ........ .......... 10.33 4. ........ ........ .......... 10.34 5. ........ ........ .......... 10.35 6. ........ ........ .......... 10.36 7. ........ ........ .......... 11.1 8. ........ ........ .......... 11.2 9. ........ ........ .......... 11.3 10. ........ ........ .......... 11.4 TOTAL OF COLUMN I $............ 11.5 *If you entered any amount in column H for any payday(s), 11.6 you must describe below either your claims, or the claims of 11.7 others. For amounts claimed by others, you must both state the 11.8 names and addresses of such persons, and the nature of their 11.9 claim, if known. 11.10 11.11 ................................................................. 11.12 ................................................................. 11.13 ................................................................. 11.14 AFFIRMATION 11.15 I, ................. (person signing Affirmation), am the 11.16 third party or I am authorized by the third party to complete 11.17 this earnings disclosure worksheet, and have done so truthfully 11.18 and to the best of my knowledge. 11.19 ................. 11.20 Signature 11.21 Dated: ............... (...)............ 11.22 Title Phone Number 11.23 Sec. 5. Minnesota Statutes 1999 Supplement, section 11.24 550.136, subdivision 10, is amended to read: 11.25 Subd. 10. [EXECUTION EARNINGS DISCLOSURE FORM AND 11.26 WORKSHEET FOR CHILD SUPPORT JUDGMENTS.] The judgment creditor 11.27 shall provide to the sheriff for service upon a child support 11.28 judgment debtor's employer an execution earnings disclosure form 11.29 and an earnings disclosure worksheet with the writ of execution, 11.30 that must be substantially in the form set forth below. 11.31 STATE OF MINNESOTA DISTRICT COURT 11.32 COUNTY OF ............. ........... JUDICIAL DISTRICT 11.33 FILE NO. ..... 11.34 ................ (Judgment Creditor) 11.35 against EARNINGS 11.36 ................ (Judgment Debtor) EXECUTION 12.1 and DISCLOSURE 12.2 ................ (Third Party) 12.3 DEFINITIONS 12.4 "EARNINGS": For the purpose of execution, "earnings" means 12.5 compensation paid or payable to an employee for personal 12.6 services or compensation paid or payable to the producer for the 12.7 sale of agricultural products; milk or milk products; or fruit 12.8 or other horticultural products produced when the producer is 12.9 operating a family farm, a family farm corporation, or an 12.10 authorized farm corporation, as defined in section 500.24, 12.11 subdivision 2, whether denominated as wages, salary, commission, 12.12 bonus, or otherwise, and includes periodic payments pursuant to 12.13 a pension or retirement, workers' compensation, or reemployment 12.14 compensation. 12.15 "DISPOSABLE EARNINGS": Means that part of the earnings of 12.16 an individual remaining after the deduction from those earnings 12.17 of amounts required by law to be withheld, including amounts 12.18 required by court order to be withheld for child support 12.19 obligations. (Amounts required by law to be withheld do not 12.20 include items such as health insurance, charitable 12.21 contributions, or other voluntary wage deductions.) 12.22 "PAYDAY": For the purpose of execution, "payday(s)" means 12.23 the date(s) upon which the employer pays earnings to the debtor 12.24 in the ordinary course of business. If the judgment debtor has 12.25 no regular payday, payday(s) means the 15th and the last day of 12.26 each month. 12.27 THE THIRD PARTY/EMPLOYER MUST ANSWER THE FOLLOWING QUESTION: 12.28 (1) Do you now owe, or within 70 days from the date the 12.29 execution levy was served on you, will you or may you owe money 12.30 to the judgment debtor for earnings? 12.31 ....... ....... 12.32 Yes No 12.33 INSTRUCTIONS FOR COMPLETING THE 12.34 EARNINGS DISCLOSURE 12.35 A. If your answer to question 1 is "No," then you must 12.36 sign the affirmation below and return this disclosure to the 13.1 sheriff within 20 days after it was served on you, and you do 13.2 not need to answer the remaining questions. 13.3 B. If your answer to question 1 is "Yes," you must 13.4 complete this form and the Earnings Disclosure Worksheet as 13.5 follows: 13.6 For each payday that falls within 70 days from the date the 13.7 execution levy was served on you, YOU MUST calculate the 13.8 amount of earnings to be retained by completing steps 2 13.9 through 8 on page 2, and enter the amounts on the Earnings 13.10 Disclosure Worksheet. UPON REQUEST, THE EMPLOYER MUST 13.11 PROVIDE THE DEBTOR WITH INFORMATION AS TO HOW THE 13.12 CALCULATIONS REQUIRED BY THIS DISCLOSURE WERE MADE. 13.13 Each payday, you must retain the amount of earnings listed 13.14 in column G on the Earnings Disclosure Worksheet. 13.15 You must pay the attached earnings and return this earnings 13.16 disclosure form and the Earnings Disclosure Worksheet to 13.17 the sheriff and deliver a copy of the disclosure and 13.18 worksheet to the judgment debtor within ten days after the 13.19 last payday that falls within the 70-day period. If the 13.20 judgment is wholly satisfied or if the judgment debtor's 13.21 employment ends before the expiration of the 70-day period, 13.22 your disclosure and remittance should be made within ten 13.23 days after the last payday for which earnings were attached. 13.24 For steps 2 through 8, "columns" refers to columns on the 13.25 Earnings Disclosure Worksheet. 13.26 (2) COLUMN A. Enter the date of judgment debtor's payday. 13.27 (3) COLUMN B. Enter judgment debtor's gross earnings for 13.28 each payday. 13.29 (4) COLUMN C. Enter judgment debtor's disposable earnings 13.30 for each payday. 13.31 (5) COLUMN D. Enter either 50, 55, 60, or 65 percent of 13.32 disposable earnings, based on which of the following 13.33 descriptions fits the child support judgment debtor: 13.34 (a) 50 percent of the judgment debtor's disposable income, 13.35 if the judgment debtor is supporting a spouse or dependent child 13.36 and the judgment is 12 weeks old or less (12 weeks to be 14.1 calculated to the beginning of the work week in which the 14.2 execution levy is received); 14.3 (b) 55 percent of the judgment debtor's disposable income, 14.4 if the judgment debtor is supporting a spouse or dependent 14.5 child, and the judgment is over 12 weeks old (12 weeks to be 14.6 calculated to the beginning of the work week in which the 14.7 execution levy is received); 14.8 (c) 60 percent of the judgment debtor's disposable income, 14.9 if the judgment debtor is not supporting a spouse or dependent 14.10 child and the judgment is 12 weeks old or less (12 weeks to be 14.11 calculated to the beginning of the work week in which the 14.12 execution levy is received); or 14.13 (d) 65 percent of the judgment debtor's disposable income, 14.14 if the judgment debtor is not supporting a spouse or dependent 14.15 child, and the judgment is over 12 weeks old (12 weeks to be 14.16 calculated to the beginning of the work week in which the 14.17 execution levy is received). (Multiply column C by .50, .55, 14.18 .60, or .65, as appropriate.) 14.19 (6) COLUMN E. Enter here any amount claimed by you as a 14.20 setoff, defense, lien, or claim, or any amount claimed by any 14.21 other person as an exemption or adverse interest that would 14.22 reduce the amount of earnings owing to the judgment debtor. 14.23 (Note: Any indebtedness to you incurred within ten days prior 14.24 to your receipt of the first execution levy may not be set off 14.25 against the earnings otherwise subject to this levy. Any wage 14.26 assignment made by the judgment debtor within ten days prior to 14.27 your receipt of the first execution levy is void.) 14.28 You must also describe your claim(s) and the claims of 14.29 others, if known, in the space provided below the worksheet and 14.30 state the name(s) and address(es) of these persons. 14.31 Enter zero in column E if there are no claims by you or 14.32 others that would reduce the amount of earnings owing to the 14.33 judgment debtor. 14.34 (7) COLUMN F. Subtract the amount in column E from the 14.35 amount in column D and enter here. This is the amount of 14.36 earnings that you must remit for the payday for which the 15.1 calculations were made. 15.2 AFFIRMATION 15.3 I, ................... (person signing Affirmation), am the 15.4 third party/employer or I am authorized by the third 15.5 party/employer to complete this earnings disclosure, and have 15.6 done so truthfully and to the best of my knowledge. 15.7 Dated: ............ ............................ 15.8 Signature 15.9 ............................ 15.10 Title 15.11 ............................ 15.12 Telephone Number 15.13 EARNINGS DISCLOSURE WORKSHEET ................... 15.14 Debtor's Name 15.15 A B C 15.16 Payday Gross Disposable 15.17 Date Earnings Earnings 15.18 1. ........ $....... $......... 15.19 2. ........ ........ .......... 15.20 3. ........ ........ .......... 15.21 4. ........ ........ .......... 15.22 5. ........ ........ .......... 15.23 6. ........ ........ .......... 15.24 7. ........ ........ .......... 15.25 8. ........ ........ .......... 15.26 9. ........ ........ .......... 15.27 10. ........ ........ .......... 15.28 D E F 15.29 Either 50, 55, Setoff, Lien, Column D 15.30 60, or 65% of Adverse minus 15.31 Column C Interest, or Column E 15.32 Other Claims 15.33 1. ........ .......... .......... 15.34 2. ........ .......... .......... 15.35 3. ........ .......... .......... 15.36 4. ........ .......... .......... 16.1 5. ........ .......... .......... 16.2 6. ........ .......... .......... 16.3 7. ........ .......... .......... 16.4 8. ........ .......... .......... 16.5 9. ........ .......... .......... 16.6 10. ........ .......... .......... 16.7 TOTAL OF COLUMN F $............ 16.8 *If you entered any amount in column E for any payday(s), 16.9 you must describe below either your claims, or the claims of 16.10 others. For amounts claimed by others, you must both state the 16.11 names and addresses of such persons, and the nature of their 16.12 claim, if known. 16.13 16.14 ................................................................. 16.15 ................................................................. 16.16 ................................................................. 16.17 AFFIRMATION 16.18 I, ................. (person signing Affirmation), am the 16.19 third party or I am authorized by the third party to complete 16.20 this earnings disclosure worksheet, and have done so truthfully 16.21 and to the best of my knowledge. 16.22 ................. 16.23 Signature 16.24 Dated: ............... (...)............ 16.25 Title Phone Number 16.26 Sec. 6. Minnesota Statutes 1999 Supplement, section 16.27 550.143, subdivision 3, is amended to read: 16.28 Subd. 3. [EXEMPTION NOTICE.] If the levy is on funds of a 16.29 judgment debtor who is a natural person and if the funds to be 16.30 levied are held on deposit at any financial institution, the 16.31 judgment creditor or its attorney shall provide the sheriff with 16.32 two copies of an exemption notice, which must be substantially 16.33 in the form set forth below. The sheriff shall serve both 16.34 copies of the exemption notice on the financial institution, 16.35 along with the writ of execution. Failure of the sheriff to 16.36 serve the exemption notices renders the levy void, and the 17.1 financial institution shall take no action. However, if this 17.2 subdivision is being used to execute on funds that have 17.3 previously been garnished in compliance with section 571.71, the 17.4 judgment creditor is not required to serve additional exemption 17.5 notices. In that event, the execution levy shall only be 17.6 effective as to the funds that were subject to the prior 17.7 garnishment. Upon receipt of the writ of execution and 17.8 exemption notices, the financial institution shall retain as 17.9 much of the amount due under section 550.04 as the financial 17.10 institution has on deposit owing to the judgment debtor, but not 17.11 more than 110 percent of the amount remaining due on the 17.12 judgment. 17.13 STATE OF MINNESOTA DISTRICT COURT 17.14 COUNTY OF ................ .......... JUDICIAL DISTRICT 17.15 .............(Judgment Creditor) 17.16 .............(Judgment Debtor) 17.17 TO: Debtor EXEMPTION NOTICE 17.18 An order for attachment, garnishment summons, or levy of 17.19 execution (strike inapplicable language) has been served on 17.20 ............. (Bank or other financial institution where you 17.21 have an account.) 17.22 Your account balance is $........ 17.23 The amount being held is $........ 17.24 However, all or a portion of the funds in your account will 17.25 normally be exempt from creditors' claims if they are in one of 17.26 the following categories: 17.27 (1) relief based on need. This includes the Minnesota 17.28 Family Investment Program (MFIP), Emergency Assistance (EA), 17.29 Work First Program, Medical Assistance (MA), General Assistance 17.30 (GA), General Assistance Medical Care (GAMC), Emergency General 17.31 Assistance (EGA), Minnesota Supplemental Aid (MSA), MSA 17.32 Emergency Assistance (MSA-EA), Supplemental Security Income 17.33 (SSI), and Energy Assistance; 17.34 (2) Social Security benefits (Old Age, Survivors, or 17.35 Disability Insurance); 17.36 (3) reemployment compensation, workers' compensation, or 18.1 veterans' benefits; 18.2 (4) an accident, disability, or retirement pension or 18.3 annuity; 18.4 (5) life insurance proceeds; 18.5 (6) the earnings of your minor child and any child support 18.6 paid to you; or 18.7 (7) money from a claim for damage or destruction of exempt 18.8 property (such as household goods, farm tools, business 18.9 equipment, a mobile home, or a car). 18.10 The following funds are also exempt: 18.11 (8) all earnings of a person in category (1); 18.12 (9) all earnings of a person who has received relief based 18.13 on need, or who has been an inmate of a correctional 18.14 institution, within the last six months; 18.15 (10) 75 percent of every debtor's after tax earnings; and 18.16 (11) all of a judgment debtor's after tax earnings below 40 18.17 times the federal minimum wage. 18.18 TIME LIMIT ON EXEMPTIONS AFTER DEPOSIT IN BANK: 18.19 Categories (10) and (11): 20 days 18.20 Categories (8) and (9): 60 days 18.21 All others: no time limit, as long as funds are traceable 18.22 to the exempt source. (In tracing funds, the first-in, 18.23 first-out method is used. This means money deposited first is 18.24 spent first.) The money being sought by the judgment creditor 18.25 is being held in your account to give you a chance to claim an 18.26 exemption. 18.27 TO CLAIM AN EXEMPTION: 18.28 Fill out, sign, and mail or deliver one copy of the 18.29 attached exemption claim form to the institution which sent you 18.30 this notice and mail or deliver one copy to the judgment 18.31 creditor's attorney. In the event that there is no attorney for 18.32 the judgment creditor, then the notice shall be sent directly to 18.33 the judgment creditor. The address for the judgment creditor's 18.34 attorney or the judgment creditor is set forth below. Both 18.35 copies must be mailed or delivered on the same day. 18.36 NOTE: You may help resolve your claim faster if you send 19.1 to the creditor's attorney written proof or documents that 19.2 show why your money is exempt. If you have questions 19.3 regarding the documents to send as proof of an exemption, 19.4 call the creditor's attorney. If you do not send written 19.5 proof and the creditor's attorney has questions about your 19.6 exemption claim, the creditor's attorney may object to your 19.7 claim which may result in a further delay in releasing your 19.8 exempt funds. 19.9 If the financial institution does not get the exemption 19.10 claim back from you within 14 days of the date they mailed or 19.11 gave it to you, they will be free to turn the money over to the 19.12 sheriff or the judgment creditor. If you are going to claim an 19.13 exemption, do so as soon as possible, because your money may be 19.14 held until it is decided. 19.15 IF YOU CLAIM AN EXEMPTION: 19.16 (1) nonexempt money can be turned over to the judgment 19.17 creditor or sheriff; 19.18 (2) the financial institution will keep holding the money 19.19 claimed to be exempt; and 19.20 (3) seven days after receiving your exemption claim, the 19.21 financial institution will release the money to you unless 19.22 before then it receives an objection to your exemption claim. 19.23 IF THE JUDGMENT CREDITOR OBJECTS TO YOUR EXEMPTION CLAIM: 19.24 the institution will hold the money until a court decides 19.25 if your exemption claim is valid, BUT ONLY IF the institution 19.26 gets a copy of your court motion papers asserting the exemption 19.27 WITHIN TEN DAYS after the objection is personally served on you, 19.28 or within 13 days from the date the objection is mailedor given19.29 to you. You may wish to consult an attorney at once if the 19.30 creditor objects to your exemption claim. 19.31 MOTION TO DETERMINE EXEMPTION: 19.32 At any time after your funds have been held, you may ask 19.33 for a court decision on the validity of your exemption claim by 19.34 filing a request for hearing which may be obtained at the office 19.35 of the court administrator of the above court. 19.36 PENALTIES: 20.1 If you claim an exemption in bad faith, or if the judgment 20.2 creditor wrongly objects to an exemption in bad faith, the court 20.3 may order the person who acted in bad faith to pay costs, actual 20.4 damages, attorney fees, and an additional amount of up to $100. 20.5 ............................. 20.6 ............................. 20.7 ............................. 20.8 ............................. 20.9 Name and address of (Attorney 20.10 for) Judgment Creditor 20.11 EXEMPTION: 20.12 (a) Amount of exemption claim. 20.13 / / I claim ALL the funds being held are exempt. 20.14 / / I claim SOME of the funds being held are exempt. 20.15 The exempt amount is $............ 20.16 (b) Basis for exemption. 20.17 Of the 11 categories listed above, I am in category number 20.18 ............ (If more than one category applies, you may fill 20.19 in as many as apply.) The source of the exempt funds is the 20.20 following: 20.21 ............................................................. 20.22 ............................................................. 20.23 ............................................................. 20.24 (If the source is a type of relief based on need, list the 20.25 case number and county: 20.26 case number: ...............; 20.27 county: ....................) 20.28 I hereby authorize any agency that has distributed relief 20.29 to me or any correctional institution in which I was an inmate 20.30 to disclose to the above named creditor or its attorney only 20.31 whether or not I am or have been a recipient of relief based on 20.32 need or an inmate of a correctional institute within the last 20.33 six months. 20.34 I have mailed or delivered a copy of the exemption notice 20.35 to the judgment creditor or judgment creditor's attorney if 20.36 represented at the address indicated above. 21.1 ............................. 21.2 DEBTOR 21.3 DATED: ............. ............................. 21.4 ............................. 21.5 ............................. 21.6 DEBTOR ADDRESS 21.7 ............................. 21.8 DEBTOR TELEPHONE NUMBER 21.9 Sec. 7. Minnesota Statutes 1998, section 550.143, 21.10 subdivision 7, is amended to read: 21.11 Subd. 7. [NOTICE OF OBJECTION.] (a) The written objection 21.12 to the judgment debtor's claim of exemption must be in 21.13 substantially the following form: 21.14 STATE OF MINNESOTA DISTRICT COURT 21.15 COUNTY OF ............... ..........JUDICIAL DISTRICT 21.16 ...................(Judgment Creditor) OBJECTION TO 21.17 ...................(Judgment Debtor) EXEMPTION CLAIM 21.18 ...................(Garnishee) (Third Party) 21.19 The judgment creditor objects to your claim for exemption 21.20 from garnishment, levy of execution, order for attachment 21.21 (strike inapplicable language) for the following reason(s): 21.22 ................................................................. 21.23 ................................................................. 21.24 ................................................................. 21.25 Because of this objection, your financial institution will 21.26 retain the funds you claimed to be exempt for an additional ten 21.27 days. If you wish to request a hearing on your exemption claim, 21.28 youshouldneed to do so within ten daysof your receipt of this21.29objectionfrom the date the objection was personally served on 21.30 you, or within 13 days of the date the objection was mailed to 21.31 you. You may request a hearing by completing the attached form 21.32 and filing it with the court administrator. 21.33 1. The court administrator's office shall provide clerical 21.34 assistance to help with the writing and filing of a Request for 21.35 Hearing by any person not represented by counsel. The court 21.36 administrator may charge a fee of $1 for the filing of a Request 22.1 for Hearing. 22.2 2. Upon the filing of a Request for Hearing, the court 22.3 administrator shall schedule the matter for a hearing no later 22.4 than five business days from the date of filing. The court 22.5 administrator shall forthwith send a completed copy of the 22.6 request, including the hearing date, time, and place to the 22.7 adverse party and to the financial institution by first class 22.8 mail. 22.9 3. If it is possible that the financial institution might 22.10 not receive the request mailed from the court administrator 22.11 within ten days, then you may want to personally deliver a copy 22.12 of the request to the financial institution after you have filed 22.13 your request with the court. 22.14 4. An order stating whether your funds are exempt shall be 22.15 issued by the court within three days of the date of the hearing. 22.16 If you do not file a Request for Hearing within ten days of 22.17 the dateyou receive this objectionthe objection was personally 22.18 served on you, or within 13 days from the date the objection was 22.19 mailed to you, your financial institution may turn your funds 22.20 over to your creditor. 22.21 If you file a Request for Hearing and your financial 22.22 institution receives it within ten days of the date it received 22.23 this objection, your financial institution will retain your 22.24 funds claimed to be exempt until otherwise ordered by the court. 22.25 ............................ 22.26 Judgment Creditor or Attorney 22.27 Sec. 8. Minnesota Statutes 1998, section 550.143, 22.28 subdivision 8, is amended to read: 22.29 Subd. 8. [REQUEST FOR HEARING AND NOTICE FOR HEARING.] The 22.30 request for hearing accompanying the objection notice must be in 22.31 substantially the following form: 22.32 STATE OF MINNESOTA DISTRICT COURT 22.33 COUNTY OF ........ ........JUDICIAL DISTRICT 22.34 ..................(Judgment Creditor) REQUEST FOR HEARING 22.35 ..................(Judgment Debtor) AND 22.36 ..................(Third Party) NOTICE FOR HEARING 23.1 I hereby request a hearing to resolve the exemption claim 23.2 which has been made in this case regarding funds in the account 23.3 of ............. (Judgment Debtor) at the ......... (Financial 23.4 Institution). 23.5 I believe the property being held is exempt because 23.6 ................................................................. 23.7 ................................................................. 23.8 Dated:........................................................... 23.9 (JUDGMENT DEBTOR) 23.10 ................... 23.11 (ADDRESS) 23.12 ................... 23.13 (DEBTOR PHONE NUMBER) 23.14 ................... 23.15 HEARING DATE: ................ TIME: ................... 23.16 HEARING PLACE: ............... 23.17 (Note to both parties: Bring with you to the hearing all 23.18 documents and materials relevant to the exemption claim and 23.19 objection. Failure to do so could delay the court's decision.) 23.20 Sec. 9. Minnesota Statutes 1998, section 551.01, is 23.21 amended to read: 23.22 551.01 [ATTORNEY'S SUMMARY EXECUTION OF JUDGMENT DEBTS; 23.23 WHEN AUTHORIZED.] 23.24 An attorney for a judgment creditor may execute on a money 23.25 judgment by levying on indebtedness owed to the judgment debtor 23.26 by a third party, pursuant to this chapter. The attorney for 23.27 the judgment creditor must obtain a writ of execution issued 23.28 under section 550.04 before the attorney can execute pursuant to 23.29 this chapter. No more than$5,000$10,000 may be recovered by a 23.30 single notice of execution levy pursuant to this section. No 23.31 more than one execution may be served on a single third party by 23.32 a judgment creditor each calendar day under this chapter. 23.33 Sec. 10. Minnesota Statutes 1998, section 551.04, 23.34 subdivision 4, is amended to read: 23.35 Subd. 4. [SERVICE OF THIRD PARTY LEVY; NOTICE AND 23.36 DISCLOSURE FORMS.] When levying upon money or earnings owed to 24.1 the judgment debtor by a third party, the attorney for the 24.2 judgment creditor shall serve a copy of the writ of execution 24.3 upon the third party either by registered or certified mail, or 24.4 by personal service. A third party levy served by registered or 24.5 certified mail is effective if served at the third party's 24.6 regular place of business. Along with a copy of the writ of 24.7 execution, the attorney shall serve upon the third party a 24.8 notice of third party levy and disclosure form that must be 24.9 substantially in the form set forth below. If the levy is upon 24.10 earnings, the attorney shall serve upon the third party the 24.11 notice of third party levy and disclosure form as set forth in 24.12 section 551.06, subdivision 9. 24.13 STATE OF MINNESOTA DISTRICT COURT 24.14 County of ............. ..........JUDICIAL DISTRICT 24.15 File No. .................. 24.16 ..............(Judgment Creditor) 24.17 against NOTICE OF THIRD PARTY 24.18 ..............(Judgment Debtor) LEVY AND DISCLOSURE 24.19 and (OTHER THAN EARNINGS) 24.20 ..............(Third Party) 24.21 PLEASE TAKE NOTICE that pursuant to Minnesota Statutes, 24.22 chapter 551, the undersigned, as attorney for the judgment 24.23 creditor, hereby makes demand and levies execution upon all 24.24 money due and owing by you (up to$5,000$10,000) to the 24.25 judgment debtor for the amount of the judgment specified below. 24.26 A copy of the writ of execution issued by the court is 24.27 enclosed. The unpaid judgment balance is $....... 24.28 In responding to this levy, you are to complete the 24.29 attached disclosure form and mail it to the undersigned attorney 24.30 for the judgment creditor, together with your check payable to 24.31 the above-named judgment creditor, for the nonexempt amount owed 24.32 by you to the judgment debtor or for which you are obligated to 24.33 the judgment debtor, within the time limits set forth in chapter 24.34 551. 24.35 If you are a financial institution and the judgment debtor 24.36 is a natural person, two exemption notices are also enclosed 25.1 pursuant to Minnesota Statutes, section 551.02. Only natural 25.2 persons are entitled to exemptions under this statute. 25.3 Attorney for the Judgment Creditor 25.4 Address 25.7 (...........) 25.8 Phone number 25.10 DISCLOSURE 25.11 On the ..... day of ............., ......., the time of 25.12 service of the execution levy herein, there was due and owing 25.13 the judgment debtor from the third party the following: 25.14 (1) Money. Enter on the line below any amounts due and 25.15 owing the judgment debtor, except earnings, from the third party. 25.16 ....................................................... 25.17 (2) Setoff. Enter on the line below the amount of any 25.18 setoff, defense, lien, or claim which the third party claims 25.19 against the amount set forth on line (1). State the facts by 25.20 which such setoff, defense, lien, or claim is claimed. (Any 25.21 indebtedness to you incurred by the judgment debtor within ten 25.22 days prior to the receipt of the first execution levy on a debt 25.23 may not be claimed as a setoff, defense, lien, or claim against 25.24 the amount set forth on line (1).) 25.25 .............................................. 25.26 (3) Exemption. Enter on the line below any amounts or 25.27 property claimed by the judgment debtor to be exempt from 25.28 execution. 25.29 .............................................. 25.30 (4) Adverse Interest. Enter on the line below any amounts 25.31 claimed by other persons by reason of ownership or interest in 25.32 the judgment debtor's property. 25.33 .............................................. 25.34 (5) Enter on the line below the total of lines (2), (3), 25.35 and (4). 25.36 ................................................... 26.1 (6) Enter on the line below the difference obtained (never 26.2 less than zero when line (5) is subtracted from the amount on 26.3 line (1)). 26.4 ..................................................... 26.5 (7) Enter on the line below 100 percent of the amount of 26.6 the judgment creditor's claim which remains unpaid. 26.7 ..................................................... 26.8 (8) Enter on the line below the lesser of line (6) and line 26.9 (7). You are hereby instructed to remit this amount only if it 26.10 is $10 or more. 26.11 ..................................................... 26.12 AFFIRMATION 26.13 I, ....................... (person signing Affirmation), am 26.14 the third party or I am authorized by the third party to 26.15 complete this nonearnings disclosure, and have done so 26.16 truthfully and to the best of my knowledge. 26.17 Dated: ................ .................. 26.18 Signature 26.19 .................. 26.20 Title 26.21 .................. 26.22 Telephone Number 26.23 Sec. 11. Minnesota Statutes 1998, section 551.04, 26.24 subdivision 6, is amended to read: 26.25 Subd. 6. [THIRD PARTY DISCLOSURE AND REMITTANCE.] Within 26.26 15 days after receipt of the writ of execution, unless governed 26.27 by section 551.05 or 551.06, the third party shall disclose and 26.28 remit to the judgment creditor's attorney as much of the amount 26.29 due under section 550.04, but not more than$5,000$10,000, as 26.30 the third party's own debt equals to the judgment debtor. The 26.31 attorney for the judgment creditor shall proceed in all other 26.32 respects like the sheriff making a similar execution levy. No 26.33 more than$5,000$10,000 may be recovered by a single execution 26.34 levy pursuant to this section. 26.35 Sec. 12. Minnesota Statutes 1998, section 551.04, 26.36 subdivision 9, is amended to read: 27.1 Subd. 9. [JUDGMENT AGAINST THIRD PARTY UPON FAILURE TO 27.2 DISCLOSE OR REMIT.] Judgment may be entered against a third 27.3 party who has been served with a writ of execution and fails to 27.4 disclose or remit the levied funds as required in this chapter. 27.5 Upon order to show cause served on the third party and notice of 27.6 motion supported by affidavit of facts and affidavit of service 27.7 upon both the judgment debtor and third party, the court may 27.8 render judgment against the third party for an amount not 27.9 exceeding 100 percent of the amount claimed in the execution or 27.10$5,000$10,000, whichever is less. Judgment against the third 27.11 party pursuant to this section shall not bar the judgment 27.12 creditor from further remedies under this chapter as a result of 27.13 any subsequent defaults by the third party. The court upon good 27.14 cause shown may remove the default and permit the third party to 27.15 disclose or remit on just terms. 27.16 Sec. 13. [551.041] [ATTORNEY'S SUMMARY EXECUTION OF FUNDS 27.17 BEING HELD PURSUANT TO GARNISHMENT SUMMONS.] 27.18 Pursuant to this section, an attorney for a judgment 27.19 creditor may execute on funds retained by a garnishee under a 27.20 garnishment summons served pursuant to chapter 571. No more 27.21 than $10,000 may be recovered by a single execution levy 27.22 pursuant to this section. When levying upon money or earnings 27.23 being retained by a garnishee pursuant to a garnishment summons, 27.24 the attorney shall serve a copy of the writ of execution upon 27.25 the garnishee by registered or certified mail, or by personal 27.26 service. Along with a copy of the writ of execution, the 27.27 attorney shall serve upon the garnishee a notice of levy on 27.28 garnishee that must be substantially in the form set forth 27.29 below. If the judgment creditor paid the garnishee the fee 27.30 required by chapter 571, no additional fee must be paid to the 27.31 garnishee for the levy. The notice of levy on garnishee may not 27.32 be served until the judgment debtor's right to claim an 27.33 exemption has expired under chapter 571. 27.34 STATE OF MINNESOTA DISTRICT COURT 27.35 County of ............. ..........JUDICIAL DISTRICT 27.36 File No. .................. 28.1 ............(Judgment Creditor) 28.2 against 28.3 ..............(Judgment Debtor) NOTICE OF LEVY 28.4 and ON GARNISHEE 28.5 ....................(Garnishee) 28.6 PLEASE TAKE NOTICE that pursuant to Minnesota Statutes, 28.7 chapter 551, the undersigned as attorney for the judgment 28.8 creditor, hereby makes demand and levies execution upon all 28.9 money or earnings being retained by you (up to $10,000) pursuant 28.10 to the judgment creditor's garnishment summons dated 28.11 ................ A copy of the writ of execution issued by the 28.12 court is enclosed. Upon receipt of this levy, you shall remit 28.13 to the judgment creditor's attorney all funds being held by you 28.14 pursuant to the garnishment summons. The funds shall be 28.15 remitted within 15 days after receipt of this levy. 28.16 Date: ............... Attorney for the Judgment Creditor 28.17 Address: ........................ 28.18 .................................. 28.19 Phone Number: ................... 28.20 Attorney I.D. No.: .............. 28.21 Sec. 14. [551.042] [MONEY DUE FROM STATE DEPARTMENTS.] 28.22 Money due or owing to any entity or person by the state on 28.23 account of any employment, work, contract with, or services 28.24 provided to any state department or agency is subject to 28.25 attachment. The notice of third party levy and disclosure may 28.26 be served upon the head of the department or agency in the same 28.27 manner as other summons in that court of record, except that 28.28 service may not be made by publication. Service of the notice 28.29 may also be made by certified mail, return receipt requested. 28.30 The disclosure shall be made by the head of the department or 28.31 agency, or by some person designated by the head of the 28.32 department or agency having knowledge of the facts. If payment 28.33 is made pursuant to judgment against the state as a third party, 28.34 a certificate of satisfaction to the extent of the payment 28.35 endorsed on it shall be delivered to the head of the department 28.36 or agency as a voucher for the payment. 29.1 Sec. 15. [551.043] [SALARY OF PUBLIC SERVANTS.] 29.2 The salary or wages of an official or employee of a county, 29.3 town, city, or school district, or any department of these 29.4 bodies, is subject to attachment. The notice of third party 29.5 levy and disclosure shall be served upon the auditor, treasurer, 29.6 or clerk of the body, or head of the department of the body of 29.7 which that person is an official or employee. The disclosure 29.8 shall be made by the officer or person so served, or by some 29.9 person designated by that person having knowledge of the facts. 29.10 If payment is made by the county, town, city, or school 29.11 district, or any department of these bodies pursuant to a 29.12 judgment against it as a third party, a certified copy of the 29.13 judgment with a certificate of satisfaction to the extent of the 29.14 payment endorsed on it shall be delivered to the treasurer as a 29.15 voucher for the payment. 29.16 Sec. 16. Minnesota Statutes 1999 Supplement, section 29.17 551.05, subdivision 1a, is amended to read: 29.18 Subd. 1a. [EXEMPTION NOTICE.] If the writ of execution is 29.19 being used by the attorney to levy funds of a judgment debtor 29.20 who is a natural person and if the funds to be levied are held 29.21 on deposit at any financial institution, the attorney for the 29.22 judgment creditor shall serve with the writ of execution two 29.23 copies of an exemption notice. The notice must be substantially 29.24 in the form set forth below. Failure of the attorney for the 29.25 judgment creditor to send the exemption notice renders the 29.26 execution levy void, and the financial institution shall take no 29.27 action. However, if this subdivision is being used to execute 29.28 on funds that have previously been garnished in compliance with 29.29 section 571.71, the attorney for judgment creditor is not 29.30 required to serve an additional exemption notice. In that 29.31 event, the execution levy shall only be effective as to the 29.32 funds that were subject to the prior garnishment. Upon receipt 29.33 of the writ of execution and exemption notices, the financial 29.34 institution shall retain as much of the amount due under section 29.35 550.04 as the financial institution has on deposit owing to the 29.36 judgment debtor, but not more than 100 percent of the amount 30.1 remaining due on the judgment, or$5,000$10,000, whichever is 30.2 less. 30.3 The notice informing a judgment debtor that an execution 30.4 levy has been used to attach funds of the judgment debtor to 30.5 satisfy a claim must be substantially in the following form: 30.6 30.7 STATE OF MINNESOTA DISTRICT COURT 30.8 County of ................ .........JUDICIAL DISTRICT 30.9 ................(Judgment Creditor) 30.10 ................(Judgment Debtor) 30.11 TO: Judgment Debtor EXEMPTION NOTICE 30.12 An order for attachment, garnishment summons, or levy of 30.13 execution (strike inapplicable language) has been served on 30.14 ............. (bank or other financial institution where you 30.15 have an account). 30.16 Your account balance is $........ 30.17 The amount being held is $........ 30.18 However, all or a portion of the funds in your account will 30.19 normally be exempt from creditors' claims if they are in one of 30.20 the following categories: 30.21 (1) relief based on need. This includes the Minnesota 30.22 Family Investment Program (MFIP), Work First Program, Medical 30.23 Assistance (MA), General Assistance (GA), General Assistance 30.24 Medical Care (GAMC), Emergency General Assistance (EGA), 30.25 Minnesota Supplemental Aid (MSA), MSA Emergency Assistance 30.26 (MSA-EA), Supplemental Security Income (SSI), and Energy 30.27 Assistance; 30.28 (2) Social Security benefits (Old Age, Survivors, or 30.29 Disability Insurance); 30.30 (3) reemployment compensation, workers' compensation, or 30.31 veterans' benefits; 30.32 (4) an accident, disability, or retirement pension or 30.33 annuity; 30.34 (5) life insurance proceeds; 30.35 (6) the earnings of your minor child and any child support 30.36 paid to you; or 31.1 (7) money from a claim for damage or destruction of exempt 31.2 property (such as household goods, farm tools, business 31.3 equipment, a mobile home, or a car). 31.4 The following funds are also exempt: 31.5 (8) all earnings of a person in category (1); 31.6 (9) all earnings of a person who has received relief based 31.7 on need, or who has been an inmate of a correctional 31.8 institution, within the last six months; 31.9 (10) 75 percent of every judgment debtor's after tax 31.10 earnings; or 31.11 (11) all of a judgment debtor's after tax earnings below 40 31.12 times the federal minimum wage. 31.13 TIME LIMIT ON EXEMPTIONS AFTER DEPOSIT IN BANK: 31.14 Categories (10) and (11): 20 days 31.15 Categories (8) and (9): 60 days 31.16 All others: no time limit, as long as funds are traceable 31.17 to the exempt source. (In tracing funds, the first-in, 31.18 first-out method is used. This means money deposited first is 31.19 spent first.) The money being sought by the judgment creditor 31.20 is being held in your account to give you a chance to claim an 31.21 exemption. 31.22 TO CLAIM AN EXEMPTION: 31.23 Fill out, sign, and mail or deliver one copy of the 31.24 attached exemption claim form to the institution which sent you 31.25 this notice and mail or deliver one copy to the judgment 31.26 creditor's attorney. The address for the judgment creditor's 31.27 attorney is set forth below. Both copies must be mailed or 31.28 delivered on the same day. 31.29 NOTE: You may help resolve your claim faster if you send 31.30 to the creditor's attorney written proof or documents that 31.31 show why your money is exempt. If you have questions 31.32 regarding the documents to send as proof of an exemption, 31.33 call the creditor's attorney. If you do not send written 31.34 proof and the creditor's attorney has questions about your 31.35 exemption claim, the creditor's attorney may object to your 31.36 claim which may result in a further delay in releasing your 32.1 exempt funds. 32.2 If they do not get the exemption claim back from you within 32.3 14 days of the date they mailed or gave it to you, they will be 32.4 free to turn the money over to the attorney for the judgment 32.5 creditor. If you are going to claim an exemption, do so as soon 32.6 as possible, because your money may be held until it is decided. 32.7 IF YOU CLAIM AN EXEMPTION: 32.8 (1) nonexempt money can be turned over to the judgment 32.9 creditor or sheriff; 32.10 (2) the financial institution will keep holding the money 32.11 claimed to be exempt; and 32.12 (3) seven days after receiving your exemption claim, the 32.13 financial institution will release the money to you unless 32.14 before then it receives an objection to your exemption claim. 32.15 IF THE JUDGMENT CREDITOR OBJECTS TO YOUR EXEMPTION CLAIM: 32.16 the institution will hold the money until a court decides 32.17 if your exemption claim is valid, BUT ONLY IF the institution 32.18 gets a copy of your court motion papers asserting the exemption 32.19 WITHIN TEN DAYS after the objection is personally served on you, 32.20 or within 13 days from the date the objection is mailedor given32.21 to you. You may wish to consult an attorney at once if the 32.22 judgment creditor objects to your exemption claim. 32.23 MOTION TO DETERMINE EXEMPTION: 32.24 At any time after your funds have been held, you may ask 32.25 for a court decision on the validity of your exemption claim by 32.26 filing a request for hearing which may be obtained at the office 32.27 of the court administrator of the above court. 32.28 PENALTIES: 32.29 If you claim an exemption in bad faith, or if the judgment 32.30 creditor wrongly objects to an exemption in bad faith, the court 32.31 may order the person who acted in bad faith to pay costs, actual 32.32 damages, attorney fees, and an additional amount of up to $100. 32.33 ............................. 32.34 ............................. 32.35 ............................. 32.36 ............................. 33.1 Name and address of (Attorney 33.2 for) Judgment Creditor 33.3 EXEMPTION: 33.4 (a) Amount of exemption claim. 33.5 / / I claim ALL the funds being held are exempt. 33.6 / / I claim SOME of the funds being held are exempt. 33.7 The exempt amount is $............ 33.8 (b) Basis for exemption. 33.9 Of the 11 categories listed above, I am in category number 33.10 ............ (If more than one category applies, you may fill 33.11 in as many as apply.) The source of the exempt funds is the 33.12 following: 33.13 ............................................................. 33.14 ............................................................. 33.15 ............................................................. 33.16 (If the source is a type of relief based on need, list the 33.17 case number and county: 33.18 case number: ...............; 33.19 county: ....................) 33.20 I hereby authorize any agency that has distributed relief 33.21 to me or any correctional institution in which I was an inmate 33.22 to disclose to the above named judgment creditor's attorney only 33.23 whether or not I am or have been a recipient of relief based on 33.24 need or an inmate of a correctional institute within the last 33.25 six months. 33.26 I have mailed or delivered a copy of the exemption notice 33.27 to the judgment creditor's attorney at the address indicated 33.28 above. 33.29 ............................. 33.30 DEBTOR 33.31 DATED: ............. ............................. 33.32 ............................. 33.33 ............................. 33.34 DEBTOR ADDRESS 33.35 ............................. 33.36 DEBTOR TELEPHONE NUMBER 34.1 Sec. 17. Minnesota Statutes 1998, section 551.05, 34.2 subdivision 5, is amended to read: 34.3 Subd. 5. [NOTICE OF OBJECTION.] (a) The written objection 34.4 to the judgment debtor's claim of exemption must be in 34.5 substantially the following form: 34.6 STATE OF MINNESOTA DISTRICT COURT 34.7 County of ............... ..........JUDICIAL DISTRICT 34.8 .................(Judgment Creditor) OBJECTION TO 34.9 .................(Judgment Debtor) EXEMPTION CLAIM 34.10 .................(Garnishee) (Third Party) 34.11 The judgment creditor objects to your claim for exemption 34.12 from garnishment, levy of execution, order for attachment 34.13 (strike inapplicable language) for the following reason(s): 34.14 ................................................................. 34.15 ................................................................. 34.16 ................................................................. 34.17 Because of this objection, your financial institution will 34.18 retain the funds you claimed to be exempt for an additional ten 34.19 days. If you wish to request a hearing on your exemption claim, 34.20 youshouldneed to do so within ten daysof your receipt of this34.21objectionfrom the date the objection was personally served on 34.22 you, or within 13 days from the date the objection was mailed to 34.23 you. You may request a hearing by completing the attached form 34.24 and filing it with the court administrator. 34.25 1. The court administrator's office shall provide clerical 34.26 assistance to help with the writing and filing of a Request for 34.27 Hearing by any person not represented by counsel. The court 34.28 administrator may charge a fee of $1 for the filing of a Request 34.29 for Hearing. 34.30 2. Upon the filing of a Request for Hearing, the court 34.31 administrator shall schedule the matter for a hearing no later 34.32 than five business days from the date of filing. The court 34.33 administrator shall forthwith send a completed copy of the 34.34 request, including the hearing date, time, and place to the 34.35 adverse party and to the financial institution by first class 34.36 mail. 35.1 3. If it is possible that the financial institution might 35.2 not receive the request mailed from the court administrator 35.3 within ten days, then you may want to personally deliver a copy 35.4 of the request to the financial institution after you have filed 35.5 your request with the court. 35.6 4. An order stating whether your funds are exempt shall be 35.7 issued by the court within three days of the date of the hearing. 35.8 If you do not file a Request for Hearing within ten days of 35.9 the dateyou receive thisthe objection was personally served on 35.10 you, or within 13 days from the date the objection was mailed to 35.11 you, your financial institution may turn your funds over to your 35.12 judgment creditor. 35.13 If you file a Request for Hearing and your financial 35.14 institution receives it within ten days of the date it received 35.15 this objection, your financial institution will retain your 35.16 funds claimed to be exempt until otherwise ordered by the court. 35.17 .............................. 35.18 Attorney for Judgment Creditor 35.19 Sec. 18. Minnesota Statutes 1998, section 551.06, 35.20 subdivision 9, is amended to read: 35.21 Subd. 9. [NOTICE OF LEVY ON EARNINGS, DISCLOSURE, AND 35.22 WORKSHEET.] The attorney for the judgment creditor shall serve 35.23 upon the judgment debtor's employer a notice of levy on earnings 35.24 and an execution earnings disclosure form and an earnings 35.25 disclosure worksheet with the writ of execution, that must be 35.26 substantially in the form set forth below. 35.27 STATE OF MINNESOTA DISTRICT COURT 35.28 COUNTY OF ................ ......... JUDICIAL DISTRICT 35.29 FILE NO. ..... 35.30 ............(Judgment Creditor) 35.31 against NOTICE OF LEVY ON 35.32 EARNINGS AND DISCLOSURE 35.33 ............(Judgment Debtor) 35.34 and 35.35 ............(Third Party) 35.36 PLEASE TAKE NOTICE that pursuant to Minnesota Statutes, 36.1 sections 551.04 and 551.06, the undersigned, as attorney for the 36.2 judgment creditor, hereby makes demand and levies execution upon 36.3 all earnings due and owing by you (up to$5,000$10,000) to the 36.4 judgment debtor for the amount of the judgment specified below. 36.5 A copy of the writ of execution issued by the court is 36.6 enclosed. The unpaid judgment balance is $..... 36.7 This levy attaches all unpaid nonexempt disposable earnings 36.8 owing or to be owed by you and earned or to be earned by the 36.9 judgment debtor before and within the pay period in which the 36.10 writ of execution is served and within all subsequent pay 36.11 periods whose paydays occur within the 70 days after the service 36.12 of this levy. 36.13 In responding to this levy, you are to complete the 36.14 attached disclosure form and worksheet and mail it to the 36.15 undersigned attorney for the judgment creditor, together with 36.16 your check payable to the above-named judgment creditor, for the 36.17 nonexempt amount owed by you to the judgment debtor or for which 36.18 you are obligated to the judgment debtor, within the time limits 36.19 set forth in the aforementioned statutes. 36.20 .................................. 36.21 Attorney for the Judgment Creditor 36.22 .................................. 36.23 .................................. 36.24 .................................. 36.25 Address 36.26 (...).......................... 36.27 Phone Number 36.30 DISCLOSURE 36.31 DEFINITIONS 36.32 "EARNINGS": For the purpose of execution, "earnings" means 36.33 compensation paid or payable to an employee for personal 36.34 services or compensation paid or payable to the producer for the 36.35 sale of agricultural products; milk or milk products; or fruit 36.36 or other horticultural products produced when the producer is 37.1 operating a family farm, a family farm corporation, or an 37.2 authorized farm corporation, as defined in section 500.24, 37.3 subdivision 2, whether denominated as wages, salary, commission, 37.4 bonus, or otherwise, and includes periodic payments pursuant to 37.5 a pension or retirement. 37.6 "DISPOSABLE EARNINGS": Means that part of the earnings of 37.7 an individual remaining after the deduction from those earnings 37.8 of amounts required by law to be withheld, including amounts 37.9 required by court order to be withheld for child support 37.10 obligations. (Amounts required by law to be withheld do not 37.11 include items such as health insurance, charitable 37.12 contributions, or other voluntary wage deductions.) 37.13 "PAYDAY": For the purpose of execution, "payday(s)" means 37.14 the date(s) upon which the employer pays earnings to the 37.15 judgment debtor in the ordinary course of business. If the 37.16 judgment debtor has no regular payday, payday(s) means the 15th 37.17 and the last day of each month. 37.18 THE THIRD PARTY/EMPLOYER MUST ANSWER THE FOLLOWING 37.19 QUESTIONS: 37.20 1. Do you now owe, or within 70 days from the date the 37.21 execution levy was served on you, will you or may you owe money 37.22 to the judgment debtor for earnings? 37.23 Yes ....... No ....... 37.24 2. Does the judgment debtor earn more than $... per week? 37.25 (This amount is the federal minimum wage per week.) 37.26 Yes ....... No ....... 37.27 INSTRUCTIONS FOR COMPLETING THE 37.28 EARNINGS DISCLOSURE 37.29 A. If your answer to either question 1 or 2 is "No," then 37.30 you must sign the affirmation on page 2 and return this 37.31 disclosure to the judgment creditor's attorney within 20 days 37.32 after it was served on you, and you do not need to answer the 37.33 remaining questions. 37.34 B. If your answers to both questions 1 and 2 are "Yes," 37.35 you must complete this form and the Earnings Disclosure 37.36 Worksheet as follows: 38.1 For each payday that falls within 70 days from the date the 38.2 execution levy was served on you, YOU MUST calculate the 38.3 amount of earnings to be retained by completing steps 3 38.4 through 11 on page 2, and enter the amounts on the Earnings 38.5 Disclosure Worksheet. UPON REQUEST, THE EMPLOYER MUST 38.6 PROVIDE THE DEBTOR WITH INFORMATION AS TO HOW THE 38.7 CALCULATIONS REQUIRED BY THIS DISCLOSURE WERE MADE. 38.8 Each payday, you must retain the amount of earnings listed 38.9 in column I on the Earnings Disclosure Worksheet. 38.10 You must pay the attached earnings and return this Earnings 38.11 Disclosure Form and the Earnings Disclosure Worksheet to 38.12 the judgment creditor's attorney and deliver a copy to the 38.13 judgment debtor within ten days after the last payday that 38.14 falls within the 70-day period. 38.15 If the judgment is wholly satisfied or if the judgment 38.16 debtor's employment ends before the expiration of the 38.17 70-day period, your disclosure and remittance should be 38.18 made within ten days after the last payday for which 38.19 earnings were attached. 38.20 For steps 3 through 11, "columns" refers to columns on the 38.21 Earnings Disclosure Worksheet. 38.22 3. COLUMN A. Enter the date of judgment debtor's 38.23 payday. 38.24 4. COLUMN B. Enter judgment debtor's gross earnings 38.25 for each payday. 38.26 5. COLUMN C. Enter judgment debtor's disposable earnings 38.27 for each payday. 38.28 6. COLUMN D. Enter 25 percent of disposable earnings. 38.29 (Multiply Column C by .25.) 38.30 7. COLUMN E. Enter here 40 times the hourly federal 38.31 minimum wage ($...) times the number 38.32 of work weeks included in each payday. 38.33 (Note: If a pay period includes days 38.34 in excess of whole work weeks, the additional 38.35 days should be counted as a fraction of a 38.36 work week equal to the number of work days in 39.1 excess of a whole work week divided by the 39.2 number of work days in a normal work week.) 39.3 8. COLUMN F. Subtract the amount in Column E from the 39.4 amount in Column C, and enter here. 39.5 9. COLUMN G. Enter here the lesser of the amount in 39.6 Column D and the amount in Column F. 39.7 10. COLUMN H. Enter here any amount claimed by you as a 39.8 setoff, defense, lien, or claim, or any 39.9 amount claimed by any other person as an 39.10 exemption or adverse interest which would 39.11 reduce the amount of earnings owing to the 39.12 judgment debtor. (Note: Any indebtedness 39.13 to you incurred within ten days prior to your 39.14 receipt of the first execution levy on a debt 39.15 may not be set off against the earnings 39.16 otherwise subject to this levy. Any wage 39.17 assignment made by the judgment debtor 39.18 within ten days prior to your receipt of 39.19 the first execution levy on a debt is void.) 39.21 You must also describe your claim(s) and the 39.22 claims of others, if known, in the space 39.23 provided below the worksheet and state the 39.24 name(s) and address(es) of these persons. 39.26 Enter zero in Column H if there are no 39.27 claims by you or others which would reduce 39.28 the amount of earnings owing to the judgment 39.29 debtor. 39.31 11. COLUMN I. Subtract the amount in Column H from the 39.32 amount in Column G and enter here. This is 39.33 the amount of earnings that you must retain 39.34 for the payday for which the calculations 39.35 were made. The total of all amounts entered 39.36 in Column I is the amount to be remitted 40.1 to the attorney for the judgment creditor. 40.2 AFFIRMATION 40.3 I, ................... (person signing Affirmation), am the 40.4 third party/employer or I am authorized by the third 40.5 party/employer to complete this earnings disclosure, and have 40.6 done so truthfully and to the best of my knowledge. 40.7 Dated: ............ ........................ 40.8 Signature 40.9 ........................ 40.10 Title 40.11 ........................ 40.12 Telephone Number 40.13 EARNINGS DISCLOSURE WORKSHEET 40.14 ................... 40.15 Judgment Debtor's Name 40.16 A B C 40.17 Payday Gross Disposable 40.18 Date Earnings Earnings 40.19 1. ................. $................. $................. 40.20 2. ................. .................. .................. 40.21 3. ................. .................. .................. 40.22 4. ................. .................. .................. 40.23 5. ................. .................. .................. 40.24 6. ................. .................. .................. 40.25 7. ................. .................. .................. 40.26 8. ................. .................. .................. 40.27 9. ................. .................. .................. 40.28 10. ................. .................. .................. 40.31 D E F 40.32 25% of 40 X Min. Column C 40.33 Column C Wage minus 40.34 Column E 40.36 1. ................. .................. ................. 41.1 2. ................. .................. ................. 41.2 3. ................. .................. ................. 41.3 4. ................. .................. ................. 41.4 5. ................. .................. ................. 41.5 6. ................. .................. ................. 41.6 7. ................. .................. ................. 41.7 8. ................. .................. ................. 41.8 9. ................. .................. ................. 41.9 10. ................. .................. ................. 41.10 G H I 41.11 Lesser of Setoff, Lien, Column G 41.12 Column D Adverse minus 41.13 and Interest, or Column H 41.14 Column F Other Claims 41.15 1. ................. .................. ................. 41.16 2. ................. .................. ................. 41.17 3. ................. .................. ................. 41.18 4. ................. .................. ................. 41.19 5. ................. .................. ................. 41.20 6. ................. .................. ................. 41.21 7. ................. .................. ................. 41.22 8. ................. .................. ................. 41.23 9. ................. .................. ................. 41.24 10. ................. .................. ................. 41.25 TOTAL OF COLUMN I $................ 41.26 *If you entered any amount in Column H for any payday(s), 41.27 you must describe below either your claims, or the claims of 41.28 others. For amounts claimed by others, you must both state the 41.29 names and addresses of these persons, and the nature of their 41.30 claim, if known. 41.31 ................................................................. 41.32 ................................................................. 41.33 ..... ........................................................... 41.34 AFFIRMATION 41.35 I, ................. (person signing Affirmation), am the 41.36 third party or I am authorized by the third party to complete 42.1 this earnings disclosure worksheet, and have done so truthfully 42.2 and to the best of my knowledge. 42.3 ................. 42.4 Title 42.5 Dated: ........ ............... (...)............ 42.6 Signature Phone Number 42.7 Sec. 19. Minnesota Statutes 1999 Supplement, section 42.8 551.06, subdivision 10, is amended to read: 42.9 Subd. 10. [NOTICE OF LEVY ON EARNINGS, DISCLOSURE, AND 42.10 WORKSHEET FOR CHILD SUPPORT JUDGMENT.] The attorney for the 42.11 judgment creditor shall serve upon the judgment debtor's 42.12 employer a notice of levy on earnings and an execution earnings 42.13 disclosure form and an earnings disclosure worksheet with the 42.14 writ of execution, that must be substantially in the form set 42.15 forth below. 42.16 STATE OF MINNESOTA DISTRICT COURT 42.17 COUNTY OF ................ ......... JUDICIAL DISTRICT 42.18 FILE NO. ..... 42.19 ............(Judgment Creditor) 42.20 against NOTICE OF LEVY ON 42.21 EARNINGS AND DISCLOSURE 42.22 ............(Judgment Debtor) 42.23 and 42.24 ............(Third Party) 42.25 PLEASE TAKE NOTICE that pursuant to Minnesota Statutes, 42.26 sections 551.04 and 551.06, the undersigned, as attorney for the 42.27 judgment creditor, hereby makes demand and levies execution upon 42.28 all earnings due and owing by you (up to$5,000$10,000) to the 42.29 judgment debtor for the amount of the judgment specified below. 42.30 A copy of the writ of execution issued by the court is 42.31 enclosed. The unpaid judgment balance is $..... 42.32 This levy attaches all unpaid nonexempt disposable earnings 42.33 owing or to be owed by you and earned or to be earned by the 42.34 judgment debtor before and within the pay period in which the 42.35 writ of execution is served and within all subsequent pay 42.36 periods whose paydays occur within the 70 days after the service 43.1 of this levy. 43.2 In responding to this levy, you are to complete the 43.3 attached disclosure form and worksheet and mail it to the 43.4 undersigned attorney for the judgment creditor, together with 43.5 your check payable to the above-named judgment creditor, for the 43.6 nonexempt amount owed by you to the judgment debtor or for which 43.7 you are obligated to the judgment debtor, within the time limits 43.8 set forth in the aforementioned statutes. 43.9 .................................. 43.10 Attorney for the Judgment Creditor 43.11 .................................. 43.12 .................................. 43.13 .................................. 43.14 Address 43.15 (...).......................... 43.16 Phone Number 43.19 DISCLOSURE 43.20 DEFINITIONS 43.21 "EARNINGS": For the purpose of execution, "earnings" means 43.22 compensation paid or payable to an employee for personal 43.23 services or compensation paid or payable to the producer for the 43.24 sale of agricultural products; milk or milk products; or fruit 43.25 or other horticultural products produced when the producer is 43.26 operating a family farm, a family farm corporation, or an 43.27 authorized farm corporation, as defined in section 500.24, 43.28 subdivision 2, whether denominated as wages, salary, commission, 43.29 bonus, or otherwise, and includes periodic payments pursuant to 43.30 a pension or retirement, workers' compensation, or reemployment 43.31 compensation. 43.32 "DISPOSABLE EARNINGS": Means that part of the earnings of 43.33 an individual remaining after the deduction from those earnings 43.34 of amounts required by law to be withheld, including amounts 43.35 required by court order to be withheld for child support 43.36 obligations. (Amounts required by law to be withheld do not 44.1 include items such as health insurance, charitable 44.2 contributions, or other voluntary wage deductions.) 44.3 "PAYDAY": For the purpose of execution, "payday(s)" means 44.4 the date(s) upon which the employer pays earnings to the debtor 44.5 in the ordinary course of business. If the judgment debtor has 44.6 no regular payday, payday(s) means the 15th and the last day of 44.7 each month. 44.8 THE THIRD PARTY/EMPLOYER MUST ANSWER THE FOLLOWING QUESTION: 44.9 (1) Do you now owe, or within 70 days from the date the 44.10 execution levy was served on you, will you or may you owe money 44.11 to the judgment debtor for earnings? 44.12 ....... ....... 44.13 Yes No 44.14 INSTRUCTIONS FOR COMPLETING THE 44.15 EARNINGS DISCLOSURE 44.16 A. If your answer to question 1 is "No," then you must 44.17 sign the affirmation below and return this disclosure to the 44.18 judgment creditor's attorney within 20 days after it was served 44.19 on you, and you do not need to answer the remaining questions. 44.20 B. If your answer to question 1 is "Yes," you must 44.21 complete this form and the Earnings Disclosure Worksheet as 44.22 follows: 44.23 For each payday that falls within 70 days from the date the 44.24 execution levy was served on you, YOU MUST calculate the 44.25 amount of earnings to be retained by completing steps 2 44.26 through 8 on page 2, and enter the amounts on the Earnings 44.27 Disclosure Worksheet. UPON REQUEST, THE EMPLOYER MUST 44.28 PROVIDE THE DEBTOR WITH INFORMATION AS TO HOW THE 44.29 CALCULATIONS REQUIRED BY THIS DISCLOSURE WERE MADE. 44.30 Each payday, you must retain the amount of earnings listed 44.31 in column G on the Earnings Disclosure Worksheet. 44.32 You must pay the attached earnings and return this earnings 44.33 disclosure form and the Earnings Disclosure Worksheet to 44.34 the judgment creditor's attorney and deliver a copy of the 44.35 disclosure and worksheet to the judgment debtor within ten 44.36 days after the last payday that falls within the 70-day 45.1 period. If the judgment is wholly satisfied or if the 45.2 judgment debtor's employment ends before the expiration of 45.3 the 70-day period, your disclosure and remittance should be 45.4 made within ten days after the last payday for which 45.5 earnings were attached. 45.6 For steps 2 through 8, "columns" refers to columns on the 45.7 Earnings Disclosure Worksheet. 45.8 (2) COLUMN A. Enter the date of judgment debtor's payday. 45.9 (3) COLUMN B. Enter judgment debtor's gross earnings for 45.10 each payday. 45.11 (4) COLUMN C. Enter judgment debtor's disposable earnings 45.12 for each payday. 45.13 (5) COLUMN D. Enter either 50, 55, 60, or 65 percent of 45.14 disposable earnings, based on which of the following 45.15 descriptions fits the child support judgment debtor: 45.16 (a) 50 percent of the judgment debtor's disposable income, 45.17 if the judgment debtor is supporting a spouse or dependent child 45.18 and the judgment is 12 weeks old or less (12 weeks to be 45.19 calculated to the beginning of the work week in which the 45.20 execution levy is received); 45.21 (b) 55 percent of the judgment debtor's disposable income, 45.22 if the judgment debtor is supporting a spouse or dependent 45.23 child, and the judgment is over 12 weeks old (12 weeks to be 45.24 calculated to the beginning of the work week in which the 45.25 execution levy is received); 45.26 (c) 60 percent of the judgment debtor's disposable income, 45.27 if the judgment debtor is not supporting a spouse or dependent 45.28 child and the judgment is 12 weeks old or less (12 weeks to be 45.29 calculated to the beginning of the work week in which the 45.30 execution levy is received); or 45.31 (d) 65 percent of the judgment debtor's disposable income, 45.32 if the judgment debtor is not supporting a spouse or dependent 45.33 child, and the judgment is over 12 weeks old (12 weeks to be 45.34 calculated to the beginning of the work week in which the 45.35 execution levy is received). (Multiply column C by .50, .55, 45.36 .60, or .65, as appropriate.) 46.1 (6) COLUMN E. Enter here any amount claimed by you as a 46.2 setoff, defense, lien, or claim, or any amount claimed by any 46.3 other person as an exemption or adverse interest that would 46.4 reduce the amount of earnings owing to the judgment debtor. 46.5 (Note: Any indebtedness to you incurred within ten days prior 46.6 to your receipt of the first execution levy on a debt may not be 46.7 set off against the earnings otherwise subject to this levy. 46.8 Any wage assignment made by the judgment debtor within ten days 46.9 prior to your receipt of the first execution levy on a debt is 46.10 void.) 46.11 You must also describe your claim(s) and the claims of 46.12 others, if known, in the space provided below the worksheet and 46.13 state the name(s) and address(es) of these persons. 46.14 Enter zero in column E if there are no claims by you or 46.15 others that would reduce the amount of earnings owing to the 46.16 judgment debtor. 46.17 (7) COLUMN F. Subtract the amount in column E from the 46.18 amount in column D and enter here. This is the amount of 46.19 earnings that you must remit for the payday for which the 46.20 calculations were made. 46.21 AFFIRMATION 46.22 I, ................... (person signing Affirmation), am the 46.23 third party/employer or I am authorized by the third 46.24 party/employer to complete this earnings disclosure, and have 46.25 done so truthfully and to the best of my knowledge. 46.26 Dated: ............ ............................ 46.27 Signature 46.28 ............................ 46.29 Title 46.30 ............................ 46.31 Telephone Number 46.32 EARNINGS DISCLOSURE WORKSHEET ................... 46.33 Debtor's Name 46.34 A B C 46.35 Payday Gross Disposable 46.36 Date Earnings Earnings 47.1 1. ........ $....... $......... 47.2 2. ........ ........ .......... 47.3 3. ........ ........ .......... 47.4 4. ........ ........ .......... 47.5 5. ........ ........ .......... 47.6 6. ........ ........ .......... 47.7 7. ........ ........ .......... 47.8 8. ........ ........ .......... 47.9 9. ........ ........ .......... 47.10 10. ........ ........ .......... 47.11 D E F 47.12 Either 50, 55, Setoff, Lien, Column D 47.13 60, or 65% of Adverse minus 47.14 Column C Interest, or Column E 47.15 Other Claims 47.16 1. ........ .......... .......... 47.17 2. ........ .......... .......... 47.18 3. ........ .......... .......... 47.19 4. ........ .......... .......... 47.20 5. ........ .......... .......... 47.21 6. ........ .......... .......... 47.22 7. ........ .......... .......... 47.23 8. ........ .......... .......... 47.24 9. ........ .......... .......... 47.25 10. ........ .......... .......... 47.26 TOTAL OF COLUMN F $............ 47.27 *If you entered any amount in column E for any payday(s), 47.28 you must describe below either your claims, or the claims of 47.29 others. For amounts claimed by others, you must both state the 47.30 names and addresses of such persons, and the nature of their 47.31 claim, if known. 47.32 47.33 ................................................................. 47.34 ................................................................. 47.35 ................................................................. 47.36 AFFIRMATION 48.1 I, ................. (person signing Affirmation), am the 48.2 third party or I am authorized by the third party to complete 48.3 this earnings disclosure worksheet, and have done so truthfully 48.4 and to the best of my knowledge. 48.5 ................. 48.6 Signature 48.7 Dated: ........ ............... (...)............ 48.8 Title Phone Number 48.9 Sec. 20. Minnesota Statutes 1998, section 571.72, 48.10 subdivision 2, is amended to read: 48.11 Subd. 2. [SERVICE OF A GARNISHMENT SUMMONS.] To enforce a 48.12 claim asserted in a civil action venued in a court of record, a 48.13 garnishment summons may be issued by a creditor and served upon 48.14 the garnishee in the same manner as other summons in that court 48.15 of record, except that service may not be made by publication. 48.16 Service of a garnishment summons on the garnishee may also be 48.17 made by certified mail, return receipt requested. A garnishment 48.18 summons served by certified mail is effective if served at the 48.19 garnishee's regular place of business. The effective date of 48.20 service by certified mail is the time of receipt by the 48.21 garnishee. A single garnishment summons may be addressed to two 48.22 or more garnishees but must state whether each is summoned 48.23 separately or jointly. 48.24 The garnishment summons must state: 48.25 (1) the full name of the debtor, the debtor's last known 48.26 mailing address, and the amount of the claim that remains 48.27 unpaid; 48.28 (2) the date of the entry of judgment against the debtor or 48.29 that the debtor is in default pursuant to Rule 55.01 of the 48.30 Minnesota Rules of Civil Procedure for the District Courts. 48.31 Where there is a prejudgment garnishment pursuant to section 48.32 571.93, the garnishment summons must include a copy of the court 48.33 order; 48.34 (3) if the garnishment is on any indebtedness, money, or 48.35 property other than earnings, the garnishee shall serve upon the 48.36 creditor and upon the debtor within 20 days after service of the 49.1 garnishment summons, a written disclosure, of the garnishee's 49.2 indebtedness, money, or other property owing to the debtor and 49.3 answers to all written interrogatories that are served with the 49.4 garnishment summons. The garnishment summons shall also state 49.5 that if the garnishment is on earnings and the debtor has 49.6 garnishable earnings, the garnishee shall serve the disclosure 49.7 within ten days of the last payday to occur within the 70 days 49.8 after the date of service of the garnishment summons; 49.9 (4) that the creditor shall not require disclosure of the 49.10 disposable earnings, indebtedness, money, or property of debtor 49.11 in the garnishee's possession or under the garnishee's control 49.12 in excess of 110 percent of the amount of the claim that remains 49.13 unpaid; 49.14 (5) that the garnishee shall retain disposable earnings, 49.15 indebtedness, money, or property of the debtor in the 49.16 garnishee's possession or under the garnishee's control not in 49.17 excess of 110 percent of the amount of the claim that remains 49.18 unpaid, until the creditor causes a writ of execution to be 49.19 served upon the garnishee, until the debtor authorizes release 49.20 to the creditor, until the creditor authorizes release to the 49.21 debtor, upon court order, or by operation of law; 49.22 (6) that after the expiration of the period of time 49.23 specified in section 571.79 from the date of service of the 49.24 garnishment summons, the garnishee's retention obligation 49.25 automatically expires; 49.26 (7) that an assignment of wages made by the debtor within 49.27 ten days before the service of the first garnishment summons on 49.28 a debt is void and that any indebtedness to the garnishee 49.29 incurred with ten days before the service of the first 49.30 garnishment summons on a debt may not be set off against amounts 49.31 otherwise subject to the garnishment. 49.32 Sec. 21. Minnesota Statutes 1998, section 571.74, is 49.33 amended to read: 49.34 571.74 [GARNISHMENT SUMMONS AND NOTICE TO DEBTOR.] 49.35 The garnishment summons and notice to debtor must be 49.36 substantially in the following form. The notice to debtor must 50.1 be in no smaller than 14-point type. 50.2 GARNISHMENT SUMMONS 50.3 STATE OF MINNESOTA DISTRICT COURT 50.4 COUNTY OF ................. ..........JUDICIAL DISTRICT 50.5 .......................(Creditor) 50.6 .......................(Debtor) UNPAID BALANCE........ 50.7 .......................(Debtor's Address) Date of Entry 50.8 .......................(Garnishee) of Judgment (or) Subject 50.9 to Minnesota Statutes, 50.10 section 571.71, subd. 2 50.11 GARNISHMENT SUMMONS 50.12 The State of Minnesota 50.13 To the Garnishee named above: 50.14 You are hereby summoned and required to serve upon the 50.15 creditor's attorney (or the creditor if not represented by an 50.16 attorney) and on the debtor within 20 days after service of this 50.17 garnishment summons upon you, a written disclosure, ofthe50.18indebtedness, money, or other property that you owe to the50.19debtorthe nonexempt indebtedness, money, or other property due 50.20 or belonging to the debtor and owing by you or in your 50.21 possession or under your control and answers to all written 50.22 interrogatories that are served with the garnishment summons. 50.23 However, if the garnishment is on earnings and the debtor has 50.24 garnishable earnings, you shall serve the completed disclosure 50.25 form on the creditor's attorney, or the creditor if not 50.26 represented by an attorney, within ten days of the last payday 50.27 to occur within the 70 days after the date of the service of 50.28 this garnishment summons. "Payday" means the day which you pay 50.29 earnings in the ordinary course of business. If the debtor has 50.30 no regular paydays, "payday" means the 15th day and the last day 50.31 of each month. 50.32 Your disclosure need not exceed 110 percent of the amount 50.33 of the creditor's claim that remains unpaid. 50.34 You shall retain garnishable earnings, other indebtedness, 50.35 money, or other property in your possession in an amount not to 50.36 exceed 110 percent of the creditor's claim until such time as 51.1 the creditor causes a writ of execution to be served upon you, 51.2 until the debtor authorizes you in writing to release the 51.3 property to the creditor, or until the expiration of ...... days 51.4 from the date of service of this garnishment summons upon you, 51.5 at which time you shall return the disposable earnings, other 51.6 indebtedness, money, or other property to the debtor. 51.7 EARNINGS 51.8 In the event you are summoned as a garnishee because you 51.9 owe "earnings" (as defined on the Earnings Garnishment 51.10 Disclosure form attached to this Garnishment Summons, if 51.11 applicable) to the debtor, then you are required to serve upon 51.12 the creditor's attorney, or the creditor if not represented by 51.13 an attorney, a written earnings disclosure form within the time 51.14 limit set forth above. 51.15 In the case of earnings you are further required to retain 51.16 in your possession all unpaid nonexempt disposable earnings owed 51.17 or to be owed by you and earned or to be earned to the debtor 51.18 within the pay period in which this garnishment summons is 51.19 served and within all subsequent pay periods whose paydays 51.20 (defined above) occur within the 70 days after the date of 51.21 service of this garnishment summons. 51.22 Any assignment of earnings made by the debtor to any party 51.23 within ten days before the receipt of the first garnishment on a 51.24 debt is void. Any indebtedness to you incurred by the debtor 51.25 within the ten days before the receipt of the first garnishment 51.26 on a debt may not be set off against amounts otherwise subject 51.27 to the garnishment. 51.28 You are prohibited by law from discharging or disciplining 51.29 the debtor because the debtor's earnings have been subject to 51.30 garnishment. 51.31 This Garnishment Summons includes: 51.32 (check applicable box) 51.33 ..... Earnings garnishment 51.34 (see attached Earnings Disclosure Form) 51.35 ..... Nonearnings garnishment 51.36 (see attached Nonearnings Disclosure Form) 52.1 ..... Both Earnings and Nonearnings garnishment 52.2 (see both attached Earnings and Nonearnings 52.3 Disclosure Form) 52.4 NOTICE TO DEBTOR 52.5 A Garnishment Summons, Earnings Garnishment Disclosure 52.6 form, Nonwage Garnishment Disclosure form, Garnishment Exemption 52.7 Notices and/or written Interrogatories (strike out if not 52.8 applicable), copies of which are hereby served on you, were 52.9 served upon the Garnishee by delivering copies to the 52.10 Garnishee. The Garnishee was paid $15. 52.11 Dated: ............... ............................... 52.12 Attorney for Creditor 52.13 (or creditor) 52.14 ............................... 52.15 ............................... 52.16 ............................... 52.17 Address 52.18 ............................... 52.19 Telephone 52.20 ............................... 52.21 Attorney I.D. No. 52.22 Sec. 22. Minnesota Statutes 1999 Supplement, section 52.23 571.75, subdivision 2, is amended to read: 52.24 Subd. 2. [CONTENTS OF DISCLOSURE.] The disclosure must 52.25 state: 52.26 (a) If an earnings garnishment disclosure, the amount of 52.27 disposable earnings earned by the debtor within the debtor's pay 52.28 periods as specified in section 571.921. 52.29 (b) If a nonearnings garnishment disclosure, a description 52.30 of any personal property or any instrument or papers relating to 52.31 this property belonging to the judgment debtor or in which the 52.32 debtor is interested or other indebtedness of the garnishee to 52.33 the debtor. 52.34 (c) If the garnishee asserts any setoff, defense, claim, or 52.35 lien on disposable earnings, other indebtedness, money, or 52.36 property, the garnishee shall disclose the amount and the facts 53.1 concerning the same. 53.2 (d) Whether the debtor asserts any exemption, or any other 53.3 objection, known to the garnishee against the right of the 53.4 creditor to garnish the disposable earnings, other indebtedness, 53.5 money, or property disclosed. 53.6 (e) If other persons assert claims to any disposable 53.7 earnings, other indebtedness, money, or property disclosed, the 53.8 garnishee shall disclose the names and addresses of these 53.9 claimants and, so far as known by the garnishee, the nature of 53.10 their claims. 53.11 (f) The garnishment disclosure forms and earnings 53.12 disclosure worksheet must be the same or substantially similar 53.13 to the following forms. If the garnishment affects earnings of 53.14 the debtor, the creditor shall use the earnings garnishment 53.15 disclosure form. If the garnishment affects any indebtedness, 53.16 money, or property of the debtor, other than earnings, the 53.17 creditor shall use the nonearnings garnishment disclosure form. 53.18 Nothing contained in this paragraph limits the simultaneous use 53.19 of the earnings and nonearnings garnishment disclosure forms. 53.20 EARNINGS DISCLOSURE FORM AND WORKSHEET 53.21 STATE OF MINNESOTA DISTRICT COURT 53.22 COUNTY OF .................. ...... JUDICIAL DISTRICT 53.23 .................(Creditor) 53.24 .................(Debtor) GARNISHMENT 53.25 .................(Garnishee) EARNINGS DISCLOSURE 53.26 DEFINITIONS 53.27 "EARNINGS": For the purpose of garnishment, "earnings" 53.28 means compensation paid or payable to an employee for personal 53.29 services or compensation paid or payable to the producer for the 53.30 sale of agricultural products; milk or milk products; or fruit 53.31 or other horticultural products produced when the producer is 53.32 operating a family farm, a family farm corporation, or an 53.33 authorized farm corporation, as defined in section 500.24, 53.34 subdivision 2, whether denominated as wages, salary, commission, 53.35 bonus, or otherwise, and includes periodic payments pursuant to 53.36 a pension or retirement. 54.1 "DISPOSABLE EARNINGS": Means that part of the earnings of 54.2 an individual remaining after the deduction from those earnings 54.3 of amounts required by law to be withheld, including amounts 54.4 required by court order to be withheld for child support 54.5 obligations. (Amounts required by law to be withheld do not 54.6 include items such as health insurance, charitable 54.7 contributions, or other voluntary wage deductions.) 54.8 "PAYDAY": For the purpose of garnishment, "payday(s)" 54.9 means the date(s) upon which the employer pays earnings to the 54.10 debtor in the ordinary course of business. If the debtor has no 54.11 regular payday, payday(s) means the fifteenth and the last day 54.12 of each month. 54.13 THE GARNISHEE MUST ANSWER THE FOLLOWING QUESTIONS: 54.14 1. Do you now owe, or within 70 days from the date the 54.15 garnishment summons was served on you, will you or do you expect 54.16 to owe money to the debtor for earnings? 54.17 Yes ....... No ........ 54.18 2. Does the debtor earn more than $........ per week? 54.19 (This amount is the federal minimum wage per week.) 54.20 Yes ....... No ........ 54.21 INSTRUCTIONS FOR COMPLETING THE 54.22 EARNINGS DISCLOSURE 54.23 A. If your answer to either question 1 or 2 is "No," then 54.24 you must sign the affirmation on Page 2 and return this 54.25 disclosure to the creditor's attorney (or the creditor if not 54.26 represented by an attorney) within 20 days after it was served 54.27 on you, and you do not need to answer the remaining questions. 54.28 B. If your answers to both questions 1 and 2 are "Yes," 54.29 you must complete this form and the Earnings Disclosure 54.30 Worksheet as follows: 54.31 For each payday that falls within 70 days from the date the 54.32 garnishment summons was served on you, YOU MUST calculate 54.33 the amount of earnings to be retained by completing Steps 3 54.34 through 11, and enter the amounts on the Earnings 54.35 Disclosure Worksheet. UPON REQUEST, THE EMPLOYER MUST 54.36 PROVIDE THE DEBTOR WITH INFORMATION AS TO HOW THE 55.1 CALCULATIONS REQUIRED BY THIS DISCLOSURE WERE MADE. 55.2 Each payday, you must retain the amount of earnings listed 55.3 in Column I on the Earnings Disclosure Worksheet. 55.4 You must return this Earnings Disclosure Form and the 55.5 Earnings Disclosure Worksheet to the creditor's attorney 55.6 (or the creditor if not represented by an attorney) and 55.7 deliver a copy to the debtor within ten days after the last 55.8 payday that falls within the 70-day period. 55.9 If the claim is wholly satisfied or if the debtor's 55.10 employment ends before the expiration of the 70-day period, 55.11 your disclosure should be made within ten days after the 55.12 last payday for which earnings were attached. 55.13 For Steps 3 through 11, "Columns" refers to columns on the 55.14 Earnings Disclosure Worksheet. 55.15 3. COLUMN A. Enter the date of debtor's 55.16 payday. 55.17 4. COLUMN B. Enter debtor's gross earnings for 55.18 each payday. 55.19 5. COLUMN C. Enter debtor's disposable earnings 55.20 for each payday. 55.21 6. COLUMN D. Enter 25 percent of disposable earnings. 55.22 (Multiply Column C by .25.) 55.23 7. COLUMN E. Enter here 40 times the hourly federal 55.24 minimum wage ($....) times the number 55.25 of work weeks included in each payday. (Note: 55.26 If a pay period includes days in excess of 55.27 whole work weeks, the additional days should 55.28 be counted as a fraction of a work week equal 55.29 to the number of work days in excess of a 55.30 whole work week divided by the number of work 55.31 days in a normal work week.) 55.32 8. COLUMN F. Subtract the amount in Column E from the 55.33 amount in Column C, and enter here. 55.34 9. COLUMN G. Enter here the lesser of the amount in 55.35 Column D and the amount in Column F. 55.36 10. COLUMN H. Enter here any amount claimed by you as a 56.1 setoff, defense, lien, or claim, or any 56.2 amount claimed by any other person as an 56.3 exemption or adverse interest which would 56.4 reduce the amount of earnings owing to the 56.5 debtor. (Note: Any indebtedness to you 56.6 incurred by the debtor within the ten 56.7 days before the receipt of the first 56.8 garnishment on a debt may not be set 56.9 off against amounts otherwise subject to 56.10 the garnishment. Any assignment of earnings 56.11 made by the debtor to any party within ten 56.12 days before the receipt of the first 56.13 garnishment on a debt is void.) 56.15 You must also describe your claim(s) and the 56.16 claims of others, if known, in the space 56.17 provided below the worksheet and state the 56.18 name(s) and address(es) of these persons. 56.20 Enter zero in Column H if there are no 56.21 claims by you or others which would reduce 56.22 the amount of earnings owing to the debtor. 56.23 11. COLUMN I. Subtract the amount in Column H from the 56.24 amount in Column G and enter here. This is 56.25 the amount of earnings that you must retain 56.26 for the payday for which the calculations 56.27 were made. 56.28 AFFIRMATION 56.29 I, ...................... (person signing Affirmation), am 56.30 the garnishee or I am authorized by the garnishee to complete 56.31 this earnings disclosure, and have done so truthfully and to the 56.32 best of my knowledge. 56.33 Dated: .................. ................................ 56.34 Signature 56.35 ................................ 56.36 Title 57.1 ................................ 57.2 Telephone Number 57.3 EARNINGS DISCLOSURE WORKSHEET 57.4 ............................. 57.5 Debtor's Name 57.6 A B C 57.7 Payday Gross Disposable 57.8 Date Earnings Earnings 57.10 1. ................. ................. ................. 57.11 2. ................. ................. ................. 57.12 3. ................. ................. ................. 57.13 4. ................. ................. ................. 57.14 5. ................. ................. ................. 57.15 6. ................. ................. ................. 57.16 7. ................. ................. ................. 57.17 8. ................. ................. ................. 57.18 9. ................. ................. ................. 57.19 10. ................. ................. ................. 57.22 D E F 57.23 25% of 40 X Min. Column C 57.24 Column C Wage minus 57.25 Column E 57.27 1. ................. ................. ................ 57.28 2. ................. ................. ................ 57.29 3. ................. ................. ................ 57.30 4. ................. ................. ................ 57.31 5. ................. ................. ................ 57.32 6. ................. ................. ................ 57.33 7. ................. ................. ................ 57.34 8. ................. ................. ................ 57.35 9. ................. ................. ................ 57.36 10. ................. ................. ................ 58.3 G H I 58.4 Lesser of Setoff, Lien, Column G 58.5 Column D Adverse minus 58.6 and Interest, or Column H 58.7 Column F Other Claims 58.9 1. ................. ................. ................. 58.10 2. ................. ................. ................. 58.11 3. ................. ................. ................. 58.12 4. ................. ................. ................. 58.13 5. ................. ................. ................. 58.14 6. ................. ................. ................. 58.15 7. ................. ................. ................. 58.16 8. ................. ................. ................. 58.17 9. ................. ................. ................. 58.18 10. ................. ................. ................. 58.19 TOTAL OF COLUMN I $................ 58.21 *If you entered any amount in Column H for any payday(s), 58.22 you must describe below either your claims, or the claims of 58.23 others. For amounts claimed by others you must both state the 58.24 names and addresses of these persons, and the nature of their 58.25 claim, if known. 58.26 ........................................................... 58.27 .......................................................... 58.28 .......................................................... 58.29 AFFIRMATION 58.30 I, ........................ (person signing Affirmation), 58.31 am the third party or I am authorized by the third party to 58.32 complete this earnings disclosure worksheet, and have done so 58.33 truthfully and to the best of my knowledge. 58.34 Dated: ............................... 58.35 Signature ............................. 58.36 Title ................................. 59.1 Telephone Number (...)................. 59.2 EARNINGS DISCLOSURE FORM AND WORKSHEET 59.3 FOR CHILD SUPPORT DEBTOR 59.4 STATE OF MINNESOTA DISTRICT COURT 59.5 COUNTY OF .................. ...... JUDICIAL DISTRICT 59.6 .................(Creditor) 59.7 .................(Debtor) GARNISHMENT 59.8 .................(Garnishee) EARNINGS DISCLOSURE 59.9 DEFINITIONS 59.10 "EARNINGS": For the purpose of execution, "earnings" means 59.11 compensation paid or payable to an employee for personal 59.12 services or compensation paid or payable to the producer for the 59.13 sale of agricultural products; milk or milk products; or fruit 59.14 or other horticultural products produced when the producer is 59.15 operating a family farm, a family farm corporation, or an 59.16 authorized farm corporation, as defined in section 500.24, 59.17 subdivision 2, whether denominated as wages, salary, commission, 59.18 bonus, or otherwise, and includes periodic payments pursuant to 59.19 a pension or retirement, workers' compensation, or reemployment 59.20 compensation. 59.21 "DISPOSABLE EARNINGS": Means that part of the earnings of 59.22 an individual remaining after the deduction from those earnings 59.23 of amounts required by law to be withheld, including amounts 59.24 required by court order to be withheld for child support 59.25 obligations. (Amounts required by law to be withheld do not 59.26 include items such as health insurance, charitable 59.27 contributions, or other voluntary wage deductions.) 59.28 "PAYDAY": For the purpose of execution, "payday(s)" means 59.29 the date(s) upon which the employer pays earnings to the debtor 59.30 in the ordinary course of business. If the judgment debtor has 59.31 no regular payday, payday(s) means the 15th and the last day of 59.32 each month. 59.33 THE GARNISHEE MUST ANSWER THE FOLLOWING QUESTION: 59.34 (1) Do you now owe, or within 70 days from the date the 59.35 execution levy was served on you, will you or may you owe money 59.36 to the debtor for earnings? 60.1 ....... ....... 60.2 Yes No 60.3 INSTRUCTIONS FOR COMPLETING THE 60.4 EARNINGS DISCLOSURE 60.5 A. If your answer to question 1 is "No," then you must 60.6 sign the affirmation below and return this disclosure to the 60.7 creditor's attorney (or the creditor if not represented by an 60.8 attorney) within 20 days after it was served on you, and you do 60.9 not need to answer the remaining questions. 60.10 B. If your answer to question 1 is "Yes," you must 60.11 complete this form and the Earnings Disclosure Worksheet as 60.12 follows: 60.13 For each payday that falls within 70 days from the date the 60.14 garnishment summons was served on you, YOU MUST calculate 60.15 the amount of earnings to be retained by completing steps 2 60.16 through 8 on page 2, and enter the amounts on the Earnings 60.17 Disclosure Worksheet. UPON REQUEST, THE EMPLOYER MUST 60.18 PROVIDE THE DEBTOR WITH INFORMATION AS TO HOW THE 60.19 CALCULATIONS REQUIRED BY THIS DISCLOSURE WERE MADE. 60.20 Each payday, you must retain the amount of earnings listed 60.21 in column G on the Earnings Disclosure Worksheet. 60.22 You must pay the attached earnings and return this earnings 60.23 disclosure form and the Earnings Disclosure Worksheet to 60.24 the creditor's attorney (or the creditor if not represented 60.25 by an attorney) and deliver a copy to the debtor within ten 60.26 days after the last payday that falls within the 70-day 60.27 period. If the claim is wholly satisfied or if the 60.28 debtor's employment ends before the expiration of the 60.29 70-day period, your disclosure should be made within ten 60.30 days after the last payday for which earnings were attached. 60.31 For steps 2 through 8, "columns" refers to columns on the 60.32 Earnings Disclosure Worksheet. 60.33 (2) COLUMN A. Enter the date of debtor's payday. 60.34 (3) COLUMN B. Enter debtor's gross earnings for each 60.35 payday. 60.36 (4) COLUMN C. Enter debtor's disposable earnings for each 61.1 payday. 61.2 (5) COLUMN D. Enter either 50, 55, 60, or 65 percent of 61.3 disposable earnings, based on which of the following 61.4 descriptions fits the child support judgment debtor: 61.5 (a) 50 percent of the judgment debtor's disposable income, 61.6 if the judgment debtor is supporting a spouse or dependent child 61.7 and the judgment is 12 weeks old or less (12 weeks to be 61.8 calculated to the beginning of the work week in which the 61.9 execution levy is received); 61.10 (b) 55 percent of the judgment debtor's disposable income, 61.11 if the judgment debtor is supporting a spouse or dependent 61.12 child, and the judgment is over 12 weeks old (12 weeks to be 61.13 calculated to the beginning of the work week in which the 61.14 execution levy is received); 61.15 (c) 60 percent of the judgment debtor's disposable income, 61.16 if the judgment debtor is not supporting a spouse or dependent 61.17 child and the judgment is 12 weeks old or less (12 weeks to be 61.18 calculated to the beginning of the work week in which the 61.19 execution levy is received); or 61.20 (d) 65 percent of the judgment debtor's disposable income, 61.21 if the judgment debtor is not supporting a spouse or dependent 61.22 child, and the judgment is over 12 weeks old (12 weeks to be 61.23 calculated to the beginning of the work week in which the 61.24 execution levy is received). (Multiply column C by .50, .55, 61.25 .60, or .65, as appropriate.) 61.26 (6) COLUMN E. Enter here any amount claimed by you as a 61.27 setoff, defense, lien, or claim, or any amount claimed by any 61.28 other person as an exemption or adverse interest that would 61.29 reduce the amount of earnings owing to the debtor. (Note: Any 61.30 assignment of earnings made by the debtor to any party within 61.31 ten days before the receipt of the first garnishment on a debt 61.32 is void. Any indebtedness to you incurred by the debtor within 61.33 the ten days before the receipt of the first garnishment on a 61.34 debt may not be set off against amounts otherwise subject to the 61.35 garnishment.) 61.36 You must also describe your claim(s) and the claims of 62.1 others, if known, in the space provided below the worksheet and 62.2 state the name(s) and address(es) of these persons. 62.3 Enter zero in column E if there are no claims by you or 62.4 others that would reduce the amount of earnings owing to the 62.5 judgment debtor. 62.6 (7) COLUMN F. Subtract the amount in column E from the 62.7 amount in column D and enter here. This is the amount of 62.8 earnings that you must remit for the payday for which the 62.9 calculations were made. 62.10 AFFIRMATION 62.11 I, ................... (person signing Affirmation), am the 62.12 garnishee or I am authorized by the garnishee to complete this 62.13 earnings disclosure, and have done so truthfully and to the best 62.14 of my knowledge. 62.15 Dated: ............ ............................ 62.16 Signature 62.17 ............................ 62.18 Title 62.19 ............................ 62.20 Telephone Number 62.21 EARNINGS DISCLOSURE WORKSHEET ................... 62.22 Debtor's Name 62.23 A B C 62.24 Payday Gross Disposable 62.25 Date Earnings Earnings 62.26 1. ........ $....... $......... 62.27 2. ........ ........ .......... 62.28 3. ........ ........ .......... 62.29 4. ........ ........ .......... 62.30 5. ........ ........ .......... 62.31 6. ........ ........ .......... 62.32 7. ........ ........ .......... 62.33 8. ........ ........ .......... 62.34 9. ........ ........ .......... 62.35 10. ........ ........ .......... 62.36 D E F 63.1 Either 50, 55, Setoff, Lien, Column D 63.2 60, or 65% of Adverse minus 63.3 Column C Interest, or Column E 63.4 Other Claims 63.5 1. ........ .......... .......... 63.6 2. ........ .......... .......... 63.7 3. ........ .......... .......... 63.8 4. ........ .......... .......... 63.9 5. ........ .......... .......... 63.10 6. ........ .......... .......... 63.11 7. ........ .......... .......... 63.12 8. ........ .......... .......... 63.13 9. ........ .......... .......... 63.14 10. ........ .......... .......... 63.15 TOTAL OF COLUMN F $............ 63.16 *If you entered any amount in column E for any payday(s), 63.17 you must describe below either your claims, or the claims of 63.18 others. For amounts claimed by others, you must both state the 63.19 names and addresses of such persons, and the nature of their 63.20 claim, if known. 63.21 63.22 ................................................................. 63.23 ................................................................. 63.24 ................................................................. 63.25 AFFIRMATION 63.26 I, ................. (person signing Affirmation), am the 63.27 third party or I am authorized by the third party to complete 63.28 this earnings disclosure worksheet, and have done so truthfully 63.29 and to the best of my knowledge. 63.30 ................. 63.31 Signature 63.32 Dated: ........ ............... (...)............ 63.33 Title Phone Number 63.34 NONEARNINGS DISCLOSURE FORM 63.35 63.36 STATE OF MINNESOTA DISTRICT COURT 64.1 COUNTY OF ............ ...... JUDICIAL DISTRICT 64.2 ...................(Creditor) 64.3 against 64.4 ...................(Debtor) NONEARNINGS DISCLOSURE 64.5 and 64.6 ...................(Garnishee) 64.7 On the .... day of ........., ......., the time of service 64.8 of garnishment summons herein, there was due and owing the 64.9 debtor from the garnishee the following: 64.10 (1) Money. Enter on the line below any amounts due and 64.11 owing the debtor, except earnings, from the garnishee. 64.12 ....................................................... 64.13 (2) Property. Describe on the line below any personal 64.14 property, instruments, or papers belonging to the debtor and in 64.15 the possession of the garnishee. 64.16 ....................................................... 64.17 (3) Setoff. Enter on the line below the amount of any 64.18 setoff, defense, lien, or claim which the garnishee claims 64.19 against the amount set forth on lines (1) and (2) above. State 64.20 the facts by which the setoff, defense, lien, or claim is 64.21 claimed. (Any indebtedness to a garnishee incurred by the 64.22 debtor within the ten days before the receipt of the first 64.23 garnishment on a debt may not be set off against amounts 64.24 otherwise subject to the garnishment.) 64.25 ....................................................... 64.26 (4) Exemption. Enter on the line below any amounts or 64.27 property claimed by the debtor to be exempt from execution. 64.28 ........................................................ 64.29 (5) Adverse Interest. Enter on the line below any amounts 64.30 claimed by other persons by reason of ownership or interest in 64.31 the debtor's property. 64.32 ....................................................... 64.33 (6) Enter on the line below the total of lines (3), (4), 64.34 and (5). 64.35 ....................................................... 64.36 (7) Enter on the line below the difference obtained (never 65.1 less than zero) when line (6) is subtracted from the sum of 65.2 lines (1) and (2). 65.3 ........................................................ 65.4 (8) Enter on the line below 110 percent of the amount of 65.5 the creditor's claim which remains unpaid. 65.6 ....................................................... 65.7 (9) Enter on the line below the lesser of line (7) and line 65.8 (8). Retain this amount only if it is $10 or more. 65.9 ....................................................... 65.10 AFFIRMATION 65.11 I, ..................... (person signing Affirmation), am 65.12 the garnishee or I am authorized by the garnishee to complete 65.13 this nonearnings garnishment disclosure, and have done so 65.14 truthfully and to the best of my knowledge. 65.15 Dated: ............ ............................. 65.16 Signature 65.17 ............................. 65.18 Title 65.19 ............................. 65.20 Telephone Number 65.21 Sec. 23. [571.771] [MONEY DUE FROM STATE DEPARTMENTS.] 65.22 Money due or owing to any entity or person by the state on 65.23 account of any employment, work, contract with, or services 65.24 provided to any state department or agency is subject to 65.25 garnishment. The garnishment summons may be served upon the 65.26 head of the department or agency in the same manner as other 65.27 summons in that court of record except that service may not be 65.28 made by publication. Service of the garnishment summons may 65.29 also be made by certified mail, return receipt requested. The 65.30 disclosure must be made by the head of the department or agency, 65.31 or by some person designated by the head having knowledge of the 65.32 facts. If payment is made pursuant to judgment against the 65.33 state as garnishee, a certificate of satisfaction to the extent 65.34 of the payment endorsed on it must be delivered to the head of 65.35 the department or agency as a voucher for the payment. 65.36 Sec. 24. Minnesota Statutes 1998, section 571.79, is 66.1 amended to read: 66.2 571.79 [DISCHARGE OF A GARNISHEE.] 66.3Subject to sections 571.78 and 571.80Except as provided in 66.4 paragraph (h), the garnishee, after disclosure, shall be 66.5 discharged of any further retention obligation to the creditor 66.6 with respect to a specific garnishment summons when one of the 66.7 following conditions are met: 66.8 (a) The garnishee discloses that the garnishee is not 66.9 indebted to the debtor or does not possess any money or other 66.10 property belonging to the debtor that is attachable as defined 66.11 in section 571.73, subdivision 3. The disclosure is conclusive 66.12 against the creditor and discharges the garnishee from any 66.13 further obligation to the creditor other than to retain all 66.14 nonexempt disposable earnings, indebtedness, money, and property 66.15 of the debtor which was disclosed. 66.16 (b) The garnishee discloses that the garnishee is indebted 66.17 to the debtor as indicated on the garnishment disclosure form. 66.18 The disclosure is conclusive against the creditor and discharges 66.19 the garnishee from any further obligation to the creditor other 66.20 than to retain all nonexempt disposable earnings, indebtedness, 66.21 money, and property of the debtor that was disclosed. 66.22 (c) If the garnishee was served with a garnishment summons 66.23 before entry of judgment against the debtor by the creditor in 66.24 the civil action and the garnishee has retained any disposable 66.25 earnings, indebtedness, money, or property of the debtor, 270 66.26 days after the garnishment summons is served the garnishee is 66.27 discharged and the garnishee shall return any disposable 66.28 earnings, indebtedness, money, and property to the debtor. 66.29 (d) If the garnishee was served with a garnishment summons 66.30 after entry of judgment against the debtor by the creditor in 66.31 the civil action and the garnishee has retained any disposable 66.32 earnings, indebtedness, money, or property of the debtor, 180 66.33 days after the garnishment summons is served the garnishee is 66.34 discharged and the garnishee shall return any disposable 66.35 earnings, other indebtedness, money, and property to the debtor. 66.36 (e) If the garnished indebtedness, money, or other property 67.1 is destroyed without any negligence of the garnishee, the 67.2 garnishee is discharged of any liability to the creditor for 67.3 nondelivery of the garnished indebtedness, money, and other 67.4 property. 67.5 (f) The court may, upon motion of an interested person, 67.6 discharge the garnishee as to any disposable earnings, other 67.7 indebtedness, money, and property in excess of the amount that 67.8 may be required to satisfy the creditor's claim. 67.9 (g) The discharge of the garnishee pursuant to paragraph 67.10 (a), (b), (c), or (d) is not determinative of the rights of the 67.11 creditor, debtor, or garnishee with respect to any other 67.12 garnishment summons, even another garnishment summons involving 67.13 the same parties, unless and to the extent adjudicated pursuant 67.14 to the procedures described in paragraph (h). 67.15 (h) The garnishee is not discharged if within 20 days of 67.16 the service of the garnishee's disclosure or the return to the 67.17 debtor of any disposable earnings, indebtedness money, or other 67.18 property of the debtor, whichever is later, an interested person 67.19 (1) serves a motion scheduled to be heard within 30 days of the 67.20 service of the motion relating to the garnishment, or (2) serves 67.21 a motion scheduled to be heard within 30 days of the service of 67.22 the motion for leave to file a supplemental complaint against 67.23 the garnishee, as provided under section 571.75, subdivision 4, 67.24 and the court upon proper showing vacates the discharge of the 67.25 garnishee. 67.26 Sec. 25. Minnesota Statutes 1998, section 571.82, 67.27 subdivision 1, is amended to read: 67.28 Subdivision 1. [JUDGMENT UPON FAILURE TO DISCLOSE.] If a 67.29 garnishee fails to serve a disclosure as required in this 67.30 chapter, the court may render judgment against the garnishee, 67.31 upon motion by the creditor, for an amount not exceedingthe67.32creditor's claim against the debtor or110 percent of the amount 67.33 claimed in the garnishment summons, whichever is less. The 67.34 motion shall be supported by an affidavit of the facts and shall 67.35 be served upon both the debtor and the garnishee. The court 67.36 upon good cause shown may remove the default and permit the 68.1 garnishee to disclose on just terms. 68.2 Sec. 26. Minnesota Statutes 1999 Supplement, section 68.3 571.912, is amended to read: 68.4 571.912 [FORM OF EXEMPTION NOTICE.] 68.5 The notice informing a debtor that an order for attachment, 68.6 garnishment summons, or levy by execution has been used to 68.7 attach funds of the debtor to satisfy a claim must be 68.8 substantially in the following form: 68.9 STATE OF MINNESOTA DISTRICT COURT 68.10 COUNTY OF ................ ........JUDICIAL DISTRICT 68.11 ........................(Creditor) 68.12 ........................(Debtor) 68.13 TO: Debtor EXEMPTION NOTICE 68.14 An order for attachment, garnishment summons, or levy of 68.15 execution (strike inapplicable language) has been served on 68.16 ............ (bank or other financial institution) 68.17 ............... where you have an account. 68.18 Your account balance is $............. 68.19 The amount being held is $............ 68.20 However, all or a portion of the funds in your account will 68.21 normally be exempt from creditors' claims if they are in one of 68.22 the following categories: 68.23 (1) relief based on need. This includes the Minnesota 68.24 Family Investment Program (MFIP), Emergency Assistance (EA), 68.25 Work First Program, Medical Assistance (MA), General Assistance 68.26 (GA), General Assistance Medical Care (GAMC), Emergency General 68.27 Assistance (EGA), Minnesota Supplemental Aid (MSA), MSA 68.28 Emergency Assistance (MSA-EA), Supplemental Security Income 68.29 (SSI), and Energy Assistance; 68.30 (2) Social Security benefits (Old Age, Survivors, or 68.31 Disability Insurance); 68.32 (3) reemployment compensation, workers' compensation, or 68.33 veterans' benefits; 68.34 (4) an accident, disability, or retirement pension or 68.35 annuity; 68.36 (5) life insurance proceeds; 69.1 (6) the earnings of your minor child and any child support 69.2 paid to you; or 69.3 (7) money from a claim for damage or destruction of exempt 69.4 property (such as household goods, farm tools, business 69.5 equipment, a mobile home, or a car). 69.6 The following funds are also exempt: 69.7 (8) all earnings of a person in category (1); 69.8 (9) all earnings of a person who has received relief based 69.9 on need, or who has been an inmate of a correctional 69.10 institution, within the last six months; 69.11 (10) 75 percent of every debtor's after tax earnings; and 69.12 (11) all of a debtor's after tax earnings below 40 times 69.13 the federal minimum wage. 69.14 TIME LIMIT ON EXEMPTIONS AFTER DEPOSIT IN BANK: 69.15 Categories (10) and (11): 20 days 69.16 Categories (8) and (9): 60 days 69.17 All others: no time limit, as long as funds are traceable 69.18 to the exempt source. (In tracing funds, the first-in, 69.19 first-out method is used. This means money deposited first is 69.20 spent first.) The money being sought by the creditor is being 69.21 held in your account to give you a chance to claim an exemption. 69.22 TO CLAIM AN EXEMPTION: 69.23 Fill out, sign, and mail or deliver one copy of the 69.24 attached exemption claim form to the institution which sent you 69.25 this notice and mail or deliver one copy to the creditor's 69.26 attorney. In the event that there is no attorney for the 69.27 creditor, then such notice shall be sent directly to the 69.28 creditor. The address for the creditor's attorney or the 69.29 creditor is set forth below. Both copies must be mailed or 69.30 delivered on the same day. 69.31 NOTE: You may help resolve your claim faster if you send 69.32 to the creditor's attorney written proof or documents that 69.33 show why your money is exempt. If you have questions 69.34 regarding the documents to send as proof of an exemption, 69.35 call the creditor's attorney. If you do not send written 69.36 proof and the creditor's attorney has questions about your 70.1 exemption claim, the creditor's attorney may object to your 70.2 claim which may result in a further delay in releasing your 70.3 exempt funds. 70.4 If they do not get the exemption claim back from you within 70.5 14 days of the date they mailed or gave it to you, they will be 70.6 free to turn the money over to the sheriff or the creditor. If 70.7 you are going to claim an exemption, do so as soon as possible, 70.8 because your money may be held until it is decided. 70.9 IF YOU CLAIM AN EXEMPTION: 70.10 (1) nonexempt money can be turned over to the creditor or 70.11 sheriff; 70.12 (2) the financial institution will keep holding the money 70.13 claimed to be exempt; and 70.14 (3) seven days after receiving your exemption claim, the 70.15 financial institution will release the money to you unless 70.16 before then it receives an objection to your exemption claim. 70.17 IF THE CREDITOR OBJECTS TO YOUR EXEMPTION CLAIM: 70.18 The institution will hold the money until a court decides 70.19 if your exemption claim is valid, BUT ONLY IF the institution 70.20 gets a copy of your court motion papers asserting the exemption 70.21 WITHIN TEN DAYS after the objection is personally served on you, 70.22 or within 13 days from the date the objection is mailedor given70.23 to you. You may wish to consult an attorney at once if the 70.24 creditor objects to your exemption claim. 70.25 MOTION TO DETERMINE EXEMPTION: 70.26 At any time after your funds have been held, you may ask 70.27 for a court decision on the validity of your exemption claim by 70.28 filing a request for hearing which may be obtained at the office 70.29 of the court administrator of the above court. 70.30 PENALTIES: 70.31 If you claim an exemption in bad faith, or if the creditor 70.32 wrongly objects to an exemption in bad faith, the court may 70.33 order the person who acted in bad faith to pay costs, actual 70.34 damages, attorney fees, and an additional amount of up to $100. 70.35 ............................. 70.36 ............................. 71.1 ............................. 71.2 ............................. 71.3 Name and address of (Attorney 71.4 for) Judgment Creditor 71.5 EXEMPTION: 71.6 (If you claim an exemption complete the following): 71.7 (a) Amount of exemption claim. 71.8 / / I claim ALL the funds being held are exempt. 71.9 / / I claim SOME of the funds being held are exempt. 71.10 The exempt amount is $............ 71.11 (b) Basis for exemption. 71.12 Of the eleven categories listed above, I am in category 71.13 number ............ (If more than one category applies, you may 71.14 fill in as many as apply.) The source of the exempt funds is 71.15 the following: 71.16 ............................................................. 71.17 ............................................................. 71.18 ............................................................. 71.19 (If the source is a type of relief based on need, list the 71.20 case number and county: 71.21 case number: ...............; 71.22 county: ....................) 71.23 I hereby authorize any agency that has distributed relief 71.24 to me or any correctional institution in which I was an inmate 71.25 to disclose to the above named creditor or its attorney only 71.26 whether or not I am or have been a recipient of relief based on 71.27 need or an inmate of a correctional institute within the last 71.28 six months. 71.29 I have mailed or delivered a copy of the exemption notice 71.30 to the creditor's attorney at the address indicated above. 71.31 DATED: ............. ............................. 71.32 DEBTOR 71.33 ............................. 71.34 DEBTOR ADDRESS 71.35 ............................. 71.36 DEBTOR TELEPHONE NUMBER 72.1 Sec. 27. Minnesota Statutes 1998, section 571.914, 72.2 subdivision 2, is amended to read: 72.3 Subd. 2. [NOTICE OF OBJECTION.] (a) The written objection 72.4 to the debtor must be in substantially the following form: 72.5 STATE OF MINNESOTA DISTRICT COURT 72.6 COUNTY OF .................... ..........JUDICIAL DISTRICT 72.7 ....................(Creditor) 72.8 ....................(Debtor) CREDITOR'S OBJECTION 72.9 ....................(Garnishee) TO EXEMPTION CLAIM 72.10 The creditor objects to your claim for exemption from 72.11 garnishment, levy of execution, order for attachment (strike 72.12 inapplicable language) for the following reason(s): 72.13 ................................................................. 72.14 ................................................................. 72.15 ................................................................. 72.16 Because of this objection, your financial institution will 72.17 retain the funds you claimed to be exempt for an additional ten 72.18 days. If you wish to request a hearing on your exemption claim, 72.19 youshouldneed to do so within ten daysof your receipt of this72.20 from the date the objection was personally served on you, or 72.21 within 13 days of the date the objection was mailed to you. You 72.22 may request a hearing by completing the attached form and filing 72.23 it with the court administrator. 72.24 1. The court shall provide clerical assistance to help 72.25 with the writing and filing of a Request for Hearing by any 72.26 person not represented by counsel. The court administrator may 72.27 charge a fee of $1 for the filing of a Request for Hearing. 72.28 2. Upon the filing of a Request for Hearing, the clerk 72.29 shall schedule the matter for a hearing no later than five 72.30 business days from the date of filing. The court administrator 72.31 shall forthwith send a completed copy of the request, including 72.32 the hearing date, time, and place to the adverse party and to 72.33 the financial institution by first class mail. 72.34 3. If it is possible that the financial institution might 72.35 not receive the request mailed from the court administrator 72.36 within ten days, then you may want to personally deliver a copy 73.1 of the request to the financial institution after you have filed 73.2 your request with the court. 73.3 4. An order stating whether your funds are exempt shall be 73.4 issued by the court within three days of the date of the hearing. 73.5 If you do not file a Request for Hearing within ten days of 73.6 the dateyou receive this objectionthe objection was personally 73.7 served on you, or within 13 days from the date the objection was 73.8 mailed to you, your financial institution may turn your funds 73.9 over to your creditor. 73.10 If you file a Request for Hearing and your financial 73.11 institution receives it within ten days of the date it received 73.12 this objection, your financial institution will retain your 73.13 funds claimed to be exempt until otherwise ordered by the court, 73.14 or until the garnishment lapses pursuant to Minnesota Statutes, 73.15 section 571.79. 73.16 .................................. 73.17 (CREDITOR OR CREDITOR'S ATTORNEY.) 73.18 Sec. 28. Minnesota Statutes 1998, section 571.921, is 73.19 amended to read: 73.20 571.921 [DEFINITIONS.] 73.21 For purposes of sections 571.921 to 571.926, the following 73.22 terms have the meanings given them: 73.23 (a) "Earnings" means: 73.24 (1) compensation paid or payable to an employee for 73.25 personal service whether denominated as wages, salary, 73.26 commissions, bonus, or otherwise, and includes periodic payments 73.27 pursuant to a pension or retirement program; 73.28 (2) compensation paid or payable to the producer for the 73.29 sale of agricultural products; livestock or livestock products; 73.30 milk or milk products; or fruit or other horticultural products 73.31 produced when the producer is operating a family farm, a family 73.32 farm corporation, or an authorized farm corporation, as defined 73.33 in section 500.24, subdivision 2; or 73.34 (3) maintenance as defined in section 518.54, subdivision 73.35 3; 73.36 (b) "Disposable earnings" means that part of the earnings 74.1 of an individual remaining after the deduction from those 74.2 earnings of amounts required by law to be withheld, including 74.3 amounts required by court order to be withheld for child support 74.4 obligations. 74.5 (c) "Employee" means an individual who performs services 74.6 subject to the right of the employer to control both what is 74.7 done and how it is done. 74.8 (d) "Employer" means a person for whom an individual 74.9 performs services as an employee. 74.10 Sec. 29. Minnesota Statutes 1999 Supplement, section 74.11 571.925, is amended to read: 74.12 571.925 [FORM OF NOTICE.] 74.13 The ten-day notice informing a debtor that a garnishment 74.14 summons may be used to garnish the earnings of an individual 74.15 must be substantially in the following form: 74.16 STATE OF MINNESOTA DISTRICT COURT 74.17 COUNTY OF ............. ........... JUDICIAL DISTRICT 74.18 ....................(Creditor) 74.19 against 74.20 GARNISHMENT EXEMPTION 74.21 ....................(Debtor) NOTICE AND NOTICE OF 74.22 and INTENT TO GARNISH EARNINGS 74.23WITHIN TEN DAYS74.24 ....................(Garnishee) 74.25 PLEASE TAKE NOTICE that a garnishment summons or levy may 74.26 be served upon your employer or other third parties, without any 74.27 further court proceedings or notice to you, ten days or more 74.28 from the date hereof. Some or all of your earnings are exempt 74.29 from garnishment. If your earnings are garnished, your employer 74.30 must show you how the amount that is garnished from your 74.31 earnings was calculated. You have the right to request a 74.32 hearing if you claim the garnishment is incorrect. 74.33 Your earnings are completely exempt from garnishment if you 74.34 are now a recipient of relief based on need, if you have been a 74.35 recipient of relief within the last six months, or if you have 74.36 been an inmate of a correctional institution in the last six 75.1 months. 75.2 Relief based on need includes the Minnesota Family 75.3 Investment Program (MFIP), Emergency Assistance (EA), Work First 75.4 Program, Medical Assistance (MA), General Assistance (GA), 75.5 General Assistance Medical Care (GAMC), Emergency General 75.6 Assistance (EGA), Minnesota Supplemental Aid (MSA), MSA 75.7 Emergency Assistance (MSA-EA), Supplemental Security Income 75.8 (SSI), and Energy Assistance. 75.9 If you wish to claim an exemption, you should fill out the 75.10 appropriate form below, sign it, and send it to the creditor's 75.11 attorney and the garnishee. 75.12 You may wish to contact the attorney for the creditor in 75.13 order to arrange for a settlement of the debt or contact an 75.14 attorney to advise you about exemptions or other rights. 75.15 PENALTIES 75.16 (1) Be advised that even if you claim an exemption, a 75.17 garnishment summons may still be served on your employer. 75.18 If your earnings are garnished after you claim an 75.19 exemption, you may petition the court for a determination 75.20 of your exemption. If the court finds that the creditor 75.21 disregarded your claim of exemption in bad faith, you will 75.22 be entitled to costs, reasonable attorney fees, actual 75.23 damages, and an amount not to exceed $100. 75.24 (2) HOWEVER, BE WARNED if you claim an exemption, the 75.25 creditor can also petition the court for a determination of 75.26 your exemption, and if the court finds that you claimed an 75.27 exemption in bad faith, you will be assessed costs and 75.28 reasonable attorney's fees plus an amount not to exceed 75.29 $100. 75.30 (3) If after receipt of this notice, you in bad faith take 75.31 action to frustrate the garnishment, thus requiring the 75.32 creditor to petition the court to resolve the problem, you 75.33 will be liable to the creditor for costs and reasonable 75.34 attorney's fees plus an amount not to exceed $100. 75.35 DATED: ............ ........................ 75.36 (Attorney for) Creditor 76.1 ........................ 76.2 Address 76.3 ........................ 76.4 Telephone 76.5 DEBTOR'S EXEMPTION CLAIM NOTICE 76.6 I hereby claim that my earnings are exempt from garnishment 76.7 because: 76.8 (1) I am presently a recipient of relief based on need. 76.9 (Specify the program, case number, and the county from 76.10 which relief is being received.) 76.11 ................ ...................... ............... 76.12 Program Case Number (if known) County 76.13 (2) I am not now receiving relief based on need, but I have 76.14 received relief based on need within the last six months. 76.15 (Specify the program, case number, and the county from 76.16 which relief has been received.) 76.17 ................ ...................... ............... 76.18 Program Case Number (if known) County 76.19 (3) I have been an inmate of a correctional institution 76.20 within the last six months. (Specify the correctional 76.21 institution and location.) 76.22 ........................... .......................... 76.23 Correctional Institution Location 76.24 I hereby authorize any agency that has distributed relief 76.25 to me or any correctional institution in which I was an inmate 76.26 to disclose to the above-named creditor or the creditor's 76.27 attorney only whether or not I am or have been a recipient of 76.28 relief based on need or an inmate of a correctional institution 76.29 within the last six months. I have mailed or delivered a copy 76.30 of this form to the creditor or creditor's attorney. 76.31 ........................... ......................... 76.32 Date Debtor 76.33 ......................... 76.34 Address 76.35 ......................... 76.36 Debtor Telephone Number 77.1 Sec. 30. [REPEALER.] 77.2 Minnesota Statutes 1998, section 571.80, is repealed.