HF 798

as introduced - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to municipalities; providing a penalty for 
  1.3             unpaid judgments; amending Minnesota Statutes 1996, 
  1.4             section 465.13. 
  1.5   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.6      Section 1.  Minnesota Statutes 1996, section 465.13, is 
  1.7   amended to read: 
  1.8      465.13 [JUDGMENT AGAINST MUNICIPALITY; PAYMENT.] 
  1.9      (a) No execution shall issue on a judgment for the recovery 
  1.10  of money against a city municipality, except as hereinafter 
  1.11  provided.  Upon delivery by certified mail of a certified copy 
  1.12  of the judgment, the treasurer of such municipality shall pay it 
  1.13  the judgment out of any moneys in or coming in not otherwise 
  1.14  appropriated, unless collection thereof be stayed on appeal, 
  1.15  always retaining a sufficient sum to pay necessary current 
  1.16  expenses; and, if the treasurer fails so to do, the 
  1.17  treasurer and bonding agents shall be liable for the amount.  In 
  1.18  case there be no such treasurer, then, upon delivery of such 
  1.19  certified copy and an affidavit of the judgment creditor, the 
  1.20  judgment creditor's agent or attorney, showing the amount due, 
  1.21  and that the judgment has not been stayed on appeal, the county 
  1.22  treasurer shall pay such judgment out of the funds of the 
  1.23  municipality in or coming in, taking receipt therefor.  
  1.24     (b) For judgments originating in conciliation court, if the 
  1.25  treasurer fails to pay the judgment within ten days after the 
  2.1   first regularly scheduled meeting of the governing body of the 
  2.2   municipality after the time expires for filing an appeal and 
  2.3   unless by then the collection is stayed pending an appeal, the 
  2.4   municipality must pay, as a penalty, an additional two percent 
  2.5   of the judgment for each day until the judgment and penalty are 
  2.6   paid in full. 
  2.7      (c) If additional court action is necessary to collect the 
  2.8   judgment or penalty, the court must award attorney's fees to the 
  2.9   judgment creditor.  Court action to collect the judgment or 
  2.10  penalty must not be started until after 50 days after the 
  2.11  municipal or county treasurer is first required to pay the 
  2.12  judgment.