HF 3426

as introduced - 90th Legislature (2017 - 2018) Posted on 03/08/2018 02:21pm

A bill for an act
relating to consumer protection; regulating used motor vehicle dealers; regulating
home solicitation sales; modifying buyer liability limits with respect to certain
consumer credit transactions; requiring notice of automatic renewal cancellation;
providing for additional rights of occupants of self-storage facilities; providing a
remedy for violation of statute of limitations for actions based on consumer debt;
requiring additional substantiation of allegations in actions based on collection of
assigned debt; establishing a minimum exemption from levy and garnishment of
funds on deposit in financial institutions; regulating consumer fraud; modifying
remedies; amending Minnesota Statutes 2016, sections 325F.662, subdivision 9,
by adding subdivisions; 325F.69, by adding a subdivision; 325G.06, by adding
subdivisions; 325G.07; 325G.08, subdivision 1, by adding a subdivision; 325G.11;
325G.22, subdivision 1; 514.972, subdivision 5; 514.973, subdivisions 2, 9, by
adding a subdivision; 541.053; 548.101; 550.143, subdivision 1; 550.37, by adding
a subdivision; 551.05, subdivision 1; 571.91; 571.922; proposing coding for new
law in Minnesota Statutes, chapters 325F; 325G.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2016, section 325F.662, is amended by adding a subdivision
to read:

new text begin Subd. 1a. new text end

new text begin Disclosures. new text end

new text begin (a) A dealer who offers financing for a sale of a used motor
vehicle must disclose orally and in writing that the consumer may be eligible for a lower
interest rate from another lender if the dealer offers the consumer an interest rate higher
than the rate a lender has approved for the consumer and provided to the dealer.
new text end

new text begin (b) A dealer must make the following disclosure, orally and in writing, to a consumer
who voluntary surrenders a used motor vehicle for which the dealer has provided or arranged
financing:
new text end

new text begin " new text end new text begin NOTICE
new text end

new text begin Even if you give us back (surrender) this car, you will still owe some or all of the rest
of the money on the loan if what we sell it for is less than you owe.”
new text end

new text begin (c) The disclosure required under paragraph (b) must be given, in a separate document,
in 28-point type, on readable colored paper that is of a color different from any other
document. The disclosure must be given at least one day prior to the time the dealer enters
into a retail installment contract, as that term is defined under section 53C.01, subdivision
8, with the consumer and at the time a consumer offers to voluntarily surrender a used motor
vehicle.
new text end

new text begin (d) The disclosures required under this subdivision must be provided in, as applicable:
new text end

new text begin (1) Hmong, Somali, and Spanish;
new text end

new text begin (2) any other language in which the dealer advertises; or
new text end

new text begin (3) any other language in which the retail installment sale, as that term is defined under
section 53C.01, subdivision 9, was discussed, described, negotiated, or transacted.
new text end

Sec. 2.

Minnesota Statutes 2016, section 325F.662, is amended by adding a subdivision
to read:

new text begin Subd. 8b. new text end

new text begin Delivery of financed vehicle; sale or disposal of trade-in. new text end

new text begin A dealer may not
deliver a used motor vehicle conditionally sold subject to the approval of financing and may
not accept a trade-in for a used motor vehicle conditionally sold subject to the approval of
financing until the dealer has delivered to the consumer written notice that the financing
applied for by the consumer has been granted final approval. For the purposes of this
subdivision, “final approval” means that the financing applied for has been approved, offered
unconditionally to the consumer, and the rate or terms may not be changed or rescinded by
the creditor or dealer.
new text end

Sec. 3.

Minnesota Statutes 2016, section 325F.662, subdivision 9, is amended to read:

Subd. 9.

Civil remedies.

deleted text begin Any dealer who is found to have violated this section is subject
to the penalties and remedies, including deleted text end new text begin A consumer has new text end a private right of action deleted text begin , as provided
in section 8.31. deleted text end new text begin against any dealer for any violation of this section and is entitled to recover
damages, together with costs and disbursements, including costs of investigation and
reasonable attorney fees, and receive other equitable relief as determined by the court. The
remedies provided in this subdivision are not exclusive and are in addition to any other
remedies available at law or in equity. new text end In addition, a violation of subdivision 7 is also a
violation of section 325F.69.

Sec. 4.

Minnesota Statutes 2016, section 325F.69, is amended by adding a subdivision to
read:

new text begin Subd. 7. new text end

new text begin Private action. new text end

new text begin Any private action alleging a violation of this section is in the
public interest and benefits the public.
new text end

Sec. 5.

new text begin [325F.6931] TELEPHONE SERVICES; AUTOMATIC RENEWAL.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) The definitions contained in chapter 237 apply to this
section, and the terms used in this section have the meanings given them in this subdivision.
new text end

new text begin (b) "Service subscriber" means a person or entity that contracts with a telephone company
for telephone services or a telecommunications carrier for telecommunications services,
whether for commercial or consumer use.
new text end

new text begin Subd. 2. new text end

new text begin Automatic renewals. new text end

new text begin A contract for telephone or telecommunications services
must not contain an automatic renewal clause unless the contract also requires that the
telephone company or telecommunications carrier provide the service subscriber with written
notice of the automatic renewal clause. The written notice must be in bold ten-point font
and contain the last day the service subscriber may provide notice of nonrenewal. The
written notice must be provided to the service subscriber:
new text end

new text begin (1) in the initial bill; and
new text end

new text begin (2) in any other document that is provided no less than 30 days and no more than 90
days prior to the last day the service subscriber may provide notice of nonrenewal.
new text end

new text begin Subd. 3. new text end

new text begin Remedy. new text end

new text begin An automatic renewal clause for which written notice is required
under subdivision 2 is void and unenforceable if:
new text end

new text begin (1) the contract does not contain the requirement that the written notice be given; or
new text end

new text begin (2) written notice is not provided to the service subscriber in compliance with subdivision
2.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2018, and applies to contracts
entered into or renewed on or after that date.
new text end

Sec. 6.

Minnesota Statutes 2016, section 325G.06, is amended by adding a subdivision to
read:

new text begin Subd. 7. new text end

new text begin Senior citizen. new text end

new text begin “Senior citizen” means a person who is 62 years of age or older.
new text end

Sec. 7.

Minnesota Statutes 2016, section 325G.06, is amended by adding a subdivision to
read:

new text begin Subd. 8. new text end

new text begin Person with a disability. new text end

new text begin “Person with a disability” has the meaning given in
section 326B.103, subdivision 10.
new text end

Sec. 8.

Minnesota Statutes 2016, section 325G.06, is amended by adding a subdivision to
read:

new text begin Subd. 9. new text end

new text begin Vulnerable adult. new text end

new text begin “Vulnerable adult” has the meaning given in section
626.5572, subdivision 21.
new text end

Sec. 9.

Minnesota Statutes 2016, section 325G.07, is amended to read:

325G.07 BUYER'S RIGHT TO CANCEL.

In addition to any other rights the buyer may have, the buyer has the right to cancel a
home solicitation sale until midnight of the deleted text begin third deleted text end new text begin 30th new text end business day after the day on which
the home solicitation sale occurs. Cancellation is evidenced by the buyer giving written
notice of cancellation to the seller at the address stated in the agreement or offer to purchase.
Notice of cancellation, if given by mail, is effective upon deposit in a mailbox, properly
addressed to the seller and postage prepaid. Notice of cancellation need not take a particular
form and is sufficient if it indicates, by any form of written expression, the intention of the
buyer not to be bound by the home solicitation sale. new text begin No services may be provided until the
expiration of the cancellation period provided under this section. If services are provided
in violation of this section, and the buyer elects to cancel the sale within the cancellation
period, the buyer shall not be liable for the cost of any services provided, and is not obligated
to return the goods installed with those services.
new text end

Sec. 10.

Minnesota Statutes 2016, section 325G.08, subdivision 1, is amended to read:

Subdivision 1.

Seller's obligations.

In a home solicitation sale, at the time the sale
occurs, the seller shall:

(a) inform the buyer orally of the right to cancel;

(b) furnish the buyer with a fully completed receipt or copy of a contract pertaining to
the sale which shows the date of the transaction, contains the name new text begin , telephone number that
an authorized representative of the company will answer, e-mail address, new text end and address of
the seller, new text begin which must be a physical location where the seller maintains a business office
new text end and in immediate proximity to the space reserved in the contract for the signature of the
buyer or on the front page of the receipt if a contract is not used and in boldface type of a
minimum size of ten points, a statement in substantially the following form:

"You, the buyer, may cancel this purchase at any time prior to midnight of the deleted text begin third deleted text end new text begin 30th new text end
business day after the date of this purchase. See attached notice of cancellation form for an
explanation of this right."; and

(c) furnish each buyer a fully completed form in duplicate, captioned, "NOTICE OF
CANCELLATION," which shall be attached to the contract or receipt and easily detachable,
and which shall contain in boldface type of a minimum size of ten points the following
information and statements:

	"NOTICE OF CANCELLATION
	(enter type of goods or services purchased)
	.
		(goods or services)
		(enter date of transaction)
		.
		(date)

If you do not want the goods or services described above, you may cancel your purchase
by mailing or delivering a signed and dated copy of this cancellation notice or any other
written notice, or send deleted text begin a telegram deleted text end new text begin an e-mail new text end to (Name of seller), at (Address of Seller's
new text begin E-mail Address or Mailing Address of the Seller’s new text end Place of Business) not later than midnight
of (Date). If you cancel, any payments made by you under the contract or sale, any property
traded in, and any instrument executed by you will be returned within ten business days
following receipt by the seller of your cancellation notice, and any security interest arising
out of the transaction will be canceled.

If you cancel, you must make available to the seller at your residence, in substantially
as good condition as when received, any goods delivered to you under this contract or sale;
or you may, if you wish, comply with the written instructions of the seller regarding the
return shipment of the goods at the seller's expense and risk.

If the seller does not pick up the goods within 20 days of the date of your notice of
cancellation, you may retain or dispose of them without any further obligation.

I HEREBY CANCEL THIS TRANSACTION.
.
(Date)
	. "
	(Buyer's signature)

Sec. 11.

Minnesota Statutes 2016, section 325G.08, is amended by adding a subdivision
to read:

new text begin Subd. 3. new text end

new text begin Other languages. new text end

new text begin The contract or receipt and notices required under this section
must be provided in the language in which the seller described, explained, discussed, or
negotiated the home solicitation sale or contract.
new text end

Sec. 12.

new text begin [325G.081] STANDARD OF CONDUCT.
new text end

new text begin The act, use, or employment by a seller in connection with a home solicitation sale of
fraud, false pretense, false promise, misrepresentation, misleading statement, or deceptive
practice, whether or not any person has in fact been misled, deceived, or damaged thereby,
is prohibited.
new text end

Sec. 13.

Minnesota Statutes 2016, section 325G.11, is amended to read:

325G.11 deleted text begin DAMAGES deleted text end new text begin REMEDIES new text end .

new text begin (a) Except as provided in paragraph (b), new text end any person injured by a violation of sections
325G.06 to 325G.09 may recover new text begin the greater of actual new text end damages new text begin or $2,000 new text end , together with
costs and disbursements, including reasonable attorney's fees, and receive other equitable
relief as determined by the court.

new text begin (b) A person injured by a violation of sections 325G.06 to 325G.09 who is a senior
citizen, a person with a disability, or a vulnerable adult is entitled to treble damages if the
court finds that the defendant reasonably knew, should have known, or should have made
an inquiry whether the injured person was a senior citizen, person with a disability, or
vulnerable adult.
new text end

Sec. 14.

Minnesota Statutes 2016, section 325G.22, subdivision 1, is amended to read:

Subdivision 1.

Personal liability of buyer limited.

If the seller or lender repossesses
or voluntarily accepts surrender of personal property in which the seller or lender has a
security interest arising out of a consumer credit transaction and the deleted text begin aggregate deleted text end amount of
the credit extended in the transaction was deleted text begin $6,900 deleted text end new text begin $10,000 new text end or less, the buyer is not personally
liable to the seller or lender for the unpaid balance of the debt arising from the consumer
credit transaction, and the seller or lender is not obligated to resell the collateral. new text begin For the
purposes of this subdivision, the “amount of the credit extended” means the purchase price
of the personal property only and does not include any additional products financed including,
but not limited to, any insurance products or warranties.
new text end

Sec. 15.

Minnesota Statutes 2016, section 514.972, subdivision 5, is amended to read:

Subd. 5.

Access to certain items.

new text begin (a) Upon demand to any of the persons listed in section
514.976, subdivision 1, new text end the occupant may remove from the self-service storage facility new text begin :
new text end

new text begin (1) new text end personal papers, new text begin letters, documents, financial records, and family photographs;
new text end

new text begin (2) new text end health aids deleted text begin , deleted text end new text begin and durable medical equipment;
new text end

new text begin (3) new text end personal clothing of the occupant and the occupant's dependents deleted text begin , deleted text end new text begin that has a market
value of not more than $200 per item; new text end and

new text begin (4) new text end personal property that is new text begin reasonably new text end necessary for the livelihood new text begin , trade, business, or
profession new text end of the occupant, that has a market value of deleted text begin less than $50 deleted text end new text begin not more than $500 new text end per
item deleted text begin , if demand is made to any of the persons listed in section 514.976, subdivision 1 deleted text end . The
occupant shall present a list of the items, and may remove them during the facility's ordinary
business hours prior to the sale authorized by section 514.973. If the owner unjustifiably
denies the occupant access for the purpose of removing the items specified in this subdivision,
the occupant is entitled to an order allowing access to the storage unit for removal of the
specified items. The self-service storage facility is liable to the occupant for the costs,
disbursements new text begin , new text end and attorney fees deleted text begin expended by the occupant deleted text end to obtain this order.

new text begin (b) The provisions of this subdivision may not be waived or modified.
new text end

Sec. 16.

Minnesota Statutes 2016, section 514.973, subdivision 2, is amended to read:

Subd. 2.

Notice; to whom and how sent.

(a) The owner must notify the occupant and
any person who has delivered to the owner a written notice of a claim of an interest in the
contents in the storage space when rent and other charges are in default. The notice to the
owner of a claim of an interest must comply with any requirements included in the rental
agreement. If the property is a registered motor vehicle or watercraft, the notice also must
be given to any lienholder or secured party appearing on the document of title or to any
lienholder or secured party known to claim an interest in the motor vehicle or watercraft.

(b) Except as provided in paragraph (c), the notice must be delivered in person or sent
by verified mail as provided under section 514.974. Notice sent by verified mail is presumed
delivered when it is deposited with the United States Postal Service or private delivery
service and properly addressed with postage prepaid.

(c) The owner may send notices exclusively via electronic mail with the informed, written
consent of the occupant. An occupant may withdraw consent at any time. The owner may
not notify the occupant of the default by electronic mail unless the rental agreement, or a
written change to the rental agreement, contains a written notice in at least 12-point bold
type, if printed, which states: "By choosing the option to receive e-mail communication in
this agreement, the owner will provide you notices new text begin of default on payments on your storage
unit and of the sale of your property, new text end and other information regarding your account through
the e-mail reflected in our records, or in a subsequent written change of e-mail address that
has been given according to the facility's procedures. To indicate that you understand and
accept the contents of this notice and agree to the option to receive electronic communication,
you must check the box that appears next to this paragraph."

(d) The owner must verify that a notice sent by electronic mail has been delivered by
obtaining an electronic receipt that establishes delivery of the notice to the occupant's e-mail
address. If delivery of the electronic mail notice cannot be verified, the storage facility must
deliver the notice in person or send the notice by verified mail. If the notice must be delivered
in person or sent by verified mail after delivery by electronic mail has failed, the period
specified in subdivision 3 does not begin until the date the notice is delivered in person or
by verified mail.

Sec. 17.

Minnesota Statutes 2016, section 514.973, is amended by adding a subdivision
to read:

new text begin Subd. 3a. new text end

new text begin Enforcement against vulnerable occupants. new text end

new text begin (a) For purposes of this
subdivision, "vulnerable occupant" means an occupant who is:
new text end

new text begin (1) a victim of domestic abuse, as defined in section 518B.01, subdivision 2;
new text end

new text begin (2) a victim of criminal sexual conduct, within the meaning of sections 609.342 to
609.3451; or
new text end

new text begin (3) a recipient of assistance from a public program.
new text end

new text begin (b) This subdivision applies to enforcement of a lien created under section 514.972,
subdivision 1, against a vulnerable occupant.
new text end

new text begin (c) By operation of law, the sale of personal property of a vulnerable occupant stored
in a self-service storage facility extinguishes the lien, deficiency, claim of deficiency, and
personal liability of the occupant for amounts owed to the self-storage facility.
new text end

new text begin (d) An occupant demonstrates conclusively that the occupant is a vulnerable occupant
if the occupant produces supporting documentation from the following, as applicable:
new text end

new text begin (1) a licensed health care professional operating within the scope of the license;
new text end

new text begin (2) a domestic abuse advocate, as defined in section 595.02, subdivision 1, paragraph
(l);
new text end

new text begin (3) a sexual assault counselor, as defined in section 595.02, subdivision 1, paragraph
(k);
new text end

new text begin (4) a legal services office; or
new text end

new text begin (5) a federal, state, or local government agency.
new text end

Sec. 18.

Minnesota Statutes 2016, section 514.973, subdivision 9, is amended to read:

Subd. 9.

No effect on other rights.

The rights provided under this section are in addition
to all other rights allowed by law to a creditor and a debtor new text begin , except as provided under section
514.973, subdivision 3a new text end .

Sec. 19.

Minnesota Statutes 2016, section 541.053, is amended to read:

541.053 LIMITATION OF ACTIONS BASED ON CONSUMER DEBT new text begin ;
REMEDIES FOR VIOLATION new text end .

new text begin (a) new text end Notwithstanding section 541.31, subdivision 1, actions upon an obligation arising
out of a consumer debt primarily for personal, family, or household purposes shall be
commenced within six years.

new text begin (b) new text end After its expiration, the statute of limitations is not revived by the collection of a
payment on an account, a discharge in a bankruptcy proceeding, or an oral or written
reaffirmation of the debt.

new text begin (c) An action commenced after expiration of the limitations period in paragraph (a):
new text end

new text begin (1) extinguishes the debt and the action is dismissed with prejudice by operation of law;
new text end

new text begin (2) gives rise to a private right of action on behalf of the defendant for damages equal
to three times the amount of the obligation or $5,000, whichever is greater, reasonable
attorney fees, and costs; and
new text end

new text begin (3) subjects the plaintiff to a civil penalty of $2,500.
new text end

Sec. 20.

Minnesota Statutes 2016, section 548.101, is amended to read:

548.101 ASSIGNED CONSUMER DEBT deleted text begin DEFAULT deleted text end JUDGMENTS.

(a) A party deleted text begin entitled to deleted text end new text begin must not be granted new text end a judgment deleted text begin by default deleted text end in a conciliation court
or district court action upon an assigned obligation arising out of any consumer debt that is
primarily for personal, family, or household purposes and in default at the time of assignment
deleted text begin shall apply to the court and submit, in addition to the request, application, or motion for
judgment deleted text end new text begin unless the party bringing the action provides to the court new text end :

(1) a new text begin verified new text end copy of the written contract between the debtor and original creditor or,
if no written contract exists, other admissible evidence establishing the terms of the account
relationship between the debtor and the original creditor, including the moving party's
entitlement to the amounts described in clause (4). If only the balance owed at the time the
debt was charged off or first assigned is claimed to be owed, evidence may include a monthly
or periodic billing statement;

(2) admissible evidence establishing that the defendant owes the debt;

(3) the last four numbers of the debtor's Social Security number, if known;

(4) admissible evidence new text begin from, and based on personal knowledge of, an employee of the
original creditor, new text end establishing that the amount claimed to be owed is accurate, including the
balance owed at the time the debt was charged off or first assigned to another party by the
original creditor and, if included in the request, application, or motion for judgment, a
breakdown of any fees, interest, and charges added to that amount;

(5) new text begin a bill of sale of assignment and data file containing the name of the debtor and the
specific debt for which the party seeks judgment, and new text end admissible evidence new text begin of assignment,
based on personal knowledge of an employee of the assignor, each new text end establishing a valid and
complete chain of assignment of the debt from the original creditor to the party requesting
judgment deleted text begin , including documentation or a bill of sale evidencing the assignment with evidence
that the particular debt at issue was included in the assignment referenced in the
documentation or bill of sale deleted text end ;

(6) in district court cases, proof that a summons and complaint were properly served on
the debtor and that the debtor did not serve a timely answer or, in conciliation court cases,
proof that the party seeking the judgment or the party's attorney used reasonable efforts to
provide the court administrator with the correct address for the debtor; deleted text begin and
deleted text end

(7) new text begin proof that the action has not been commenced beyond the expiration of the period
provided under section 541.05, subdivision 1; and
new text end

new text begin (8) new text end in district court cases, proof that the party requesting the deleted text begin default deleted text end judgment or the
party's attorney mailed a notice of intent to apply for deleted text begin default deleted text end judgment to the debtor. The
notice must be mailed to the debtor at the debtor's last known address at least 14 days before
the deleted text begin request, application, or deleted text end motion deleted text begin for default deleted text end , and must be substantially in the following
form:

Notice of Intent to Apply for deleted text begin Default deleted text end Judgment			Case Type - Consumer Credit Contract
STATE OF MINNESOTA				DISTRICT COURT
COUNTY OF .				. JUDICIAL DISTRICT
.	Plaintiff,			NOTICE OF INTENT TO APPLY FOR deleted text begin DEFAULT deleted text end JUDGMENT
vs.
.	Defendant.			Court File No. .
.............. [Plaintiff] has sued you to collect the following consumer debt that you originally owed to .............. [original creditor]:
.............. [original creditor]
.............. [last four digits of the debtor's account number]
.............. [amount of debt]
.............. [date of charge off or account closing date]
.............. [Plaintiff] served this lawsuit on you on .............. [date]. Under Minnesota law, a lawsuit may be started against you even though it has not yet been filed in court and the court has no record of this lawsuit or this paperwork. You are in default because you did not serve a written Answer on time. .............. [Plaintiff] will deleted text begin ask the Court to enter deleted text end new text begin seek new text end a judgment against you deleted text begin without any further court proceedings deleted text end , unless you mail a written Answer or written response contesting the debt within 14 days from the date below. A judgment is a court order that you must pay a certain amount of money.
Dated: .				LAW FIRM, P.A.
				.
				Attorney Name, ID#
				Address
				Phone

(b) If admissible, the same item of evidence or document may be provided to satisfy
more than one requirement under paragraph (a), clauses (1) to (5). A court may permit the
foundation for documents submitted under paragraph (a) to be established by an affidavit.

(c) Except in conciliation court cases or if a hearing is required under court rules, the
court may either:

(1) hold a hearing before entry of a deleted text begin default deleted text end judgment; or

(2) enter an administrative deleted text begin default deleted text end judgment without a hearing if the court determines
that the evidence submitted satisfies the requirements of paragraph (a).

Sec. 21.

Minnesota Statutes 2016, section 550.143, subdivision 1, is amended to read:

Subdivision 1.

Procedure.

When the sheriff is levying upon funds at a financial
institution, this section must be complied with, in addition to the general provisions set forth
in section 550.135 new text begin , except that, as provided under section 550.37, the first $3,000 of all
funds on deposit in one or more financial institutions is exempt from levy new text end .

Sec. 22.

Minnesota Statutes 2016, section 550.37, is amended by adding a subdivision to
read:

new text begin Subd. 26. new text end

new text begin Funds at a financial institution. new text end

new text begin The first $3,000 of all funds on deposit in
one or more financial institutions. This monetary exemption does not alter the ability of a
debtor to assert an additional claim of exemption available to the debtor under state or
federal law for funds in excess of the first $3,000 on deposit.
new text end

Sec. 23.

Minnesota Statutes 2016, section 551.05, subdivision 1, is amended to read:

Subdivision 1.

Procedure.

When levying upon funds at a financial institution, this
section must be complied with, in addition to the general provisions specified in section
551.04 new text begin , except that, as provided under section 550.37, the first $3,000 of all funds on deposit
in one or more financial institutions is exempt from an attorney's summary execution new text end .

Sec. 24.

Minnesota Statutes 2016, section 571.91, is amended to read:

571.91 GARNISHMENT OF FUNDS AT A FINANCIAL INSTITUTION.

new text begin (a) new text end Sections 571.911 to 571.915 relate to the garnishment of funds at a financial
institution.

new text begin (b) Notwithstanding any other provision of law, the first $3,000 in a debtor's account is
exempt from garnishment and is not subject to any garnishment order served upon a financial
institution.
new text end

new text begin (c) The monetary exemption specified under paragraph (b) does not alter the ability of
a debtor to assert an additional claim of exemption available to the debtor under other state
or federal law for funds in excess of the first $3,000 on deposit.
new text end

new text begin (d) If the debtor has funds in more than one financial institution, the aggregate amount
that is exempt under this section in any 30-day period is $3,000.
new text end

Sec. 25.

Minnesota Statutes 2016, section 571.922, is amended to read:

571.922 LIMITATION ON WAGE GARNISHMENT.

(a) Unless the judgment is for child support, the maximum part of the aggregate
disposable earnings of an individual for any pay period subjected to garnishment may not
exceed the lesser of:

(1) 25 percent of the debtor's disposable earnings; or

(2) the amount by which the debtor's disposable earnings exceed the following product:
40 times the new text begin greater of the state or new text end federal minimum hourly wages prescribed by new text begin section
177.24 or new text end section 6(a)(1) of the Fair Labor Standards Act of 1938, United States Code, title
29, section 206(a)(1), in effect at the time the earnings are payable, times the number of
work weeks in the pay period. When a pay period consists of other than a whole number of
work weeks, each day of that pay period in excess of the number of completed work weeks
shall be counted as a fraction of a work week equal to the number of excess workdays
divided by the number of days in the normal work week.

(b) If the judgment is for child support, the garnishment may not exceed:

(1) 50 percent of the judgment debtor's disposable income, if the judgment debtor is
supporting a spouse or dependent child and the judgment is 12 weeks old or less (12 weeks
to be calculated to the beginning of the work week in which the execution levy is received);

(2) 55 percent of the judgment debtor's disposable income, if the judgment debtor is
supporting a spouse or dependent child, and the judgment is over 12 weeks old (12 weeks
to be calculated to the beginning of the work week in which the garnishment summons is
received);

(3) 60 percent of the judgment debtor's disposable income, if the judgment debtor is not
supporting a spouse or dependent child and the judgment is 12 weeks old or less (12 weeks
to be calculated to the beginning of the work week in which the execution levy is received);
or

(4) 65 percent of the judgment debtor's disposable income, if the judgment debtor is not
supporting a spouse or dependent child, and the judgment is over 12 weeks old (12 weeks
to be calculated to the beginning of the work week in which the garnishment summons is
received).

Wage garnishments on judgments for child support are effective until the judgments are
satisfied if the judgment creditor is a county and the employer is notified by the county
when the judgment is satisfied.

(c) No court may make, execute, or enforce an order or any process in violation of this
section.