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SF 3678

as introduced - 91st Legislature (2019 - 2020) Posted on 02/27/2020 03:28pm

KEY: stricken = removed, old language.
underscored = added, new language.
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Current Version - as introduced

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A bill for an act
 relating to agriculture; modifying and updating certain provisions relating to real
property; repealing obsolete provisions; making clarifying and technical changes;
amending Minnesota Statutes 2018, sections 550.365, subdivision 2; 582.039,
subdivision 2; 583.25; 583.26, subdivision 2; repealing Minnesota Statutes 2018,
section 346.02.

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

Section 1.

Minnesota Statutes 2018, section 550.365, subdivision 2, is amended to read:


Subd. 2.

Contents.

A mediation notice must contain the following notice with the blanks
properly filled in.

"TO: ....(Name of Judgment Debtor)....

A JUDGMENT WAS ORDERED AGAINST YOU BY ....(Name of Court).... ON
....(Date of Judgment).

AS A JUDGMENT CREDITOR, ....(Name of Judgment Creditor).... INTENDS TO
TAKE ACTION AGAINST THE AGRICULTURAL PROPERTY DESCRIBED
AS....(Description of Agricultural Property).... TO SATISFY THE JUDGMENT IN THE
AMOUNT OF ....(Amount of Debt)....

YOU HAVE THE RIGHT TO HAVE THE DEBT REVIEWED FOR MEDIATION.
IF YOU REQUEST MEDIATION, A DEBT THAT IS IN DEFAULT WILL BE
MEDIATED ONLY ONCE. IF YOU DO NOT REQUEST MEDIATION, THIS DEBT
WILL NOT BE SUBJECT TO FUTURE MEDIATION IF THE SECURED PARTY
ENFORCES THE DEBT.

IF YOU PARTICIPATE IN MEDIATION, THE DIRECTOR OF THE
AGRICULTURAL EXTENSION SERVICE WILL PROVIDE AN ORIENTATION
MEETING AND A FINANCIAL ANALYST TO HELP YOU PREPARE FINANCIAL
INFORMATION. IF YOU DECIDE TO PARTICIPATE IN MEDIATION, IT WILL BE
TO YOUR ADVANTAGE TO ASSEMBLE YOUR FARM FINANCE AND OPERATION
RECORDS AND TO CONTACT A COUNTY EXTENSION OFFICE AS SOON AS
POSSIBLE. MEDIATION WILL ATTEMPT TO ARRIVE AT AN AGREEMENT FOR
HANDLING FUTURE FINANCIAL RELATIONS.

TO HAVE THE DEBT REVIEWED FOR MEDIATION YOU MUST FILE A
MEDIATION REQUEST WITH THE DIRECTOR WITHIN 14 DAYS AFTER YOU
RECEIVE THIS NOTICE. THE MEDIATION REQUEST FORM IS AVAILABLE deleted text begin AT
ANY COUNTY RECORDER'S OR COUNTY EXTENSION OFFICEdeleted text end new text begin FROM THE
DIRECTOR OF THE FARMER LENDER MEDIATION PROGRAMnew text end .

FROM: ....(Name and Address of Judgment Creditor)...."

Sec. 2.

Minnesota Statutes 2018, section 582.039, subdivision 2, is amended to read:


Subd. 2.

Contents.

A mediation notice must contain the following notice with the blanks
properly filled in.

"TO: ....(Name of Record Owner)....

YOU HAVE DEFAULTED ON THE MORTGAGE OF THE AGRICULTURAL
PROPERTY DESCRIBED AS ....(Size and Reasonable Location, Not Legal Description).
THE AMOUNT OF THE OUTSTANDING DEBT ON THIS PROPERTY IS ....(Amount
of Debt)....

AS HOLDER OF THE MORTGAGE, ....(Name of Holder of Mortgage).... INTENDS
TO FORECLOSE ON THE PROPERTY DESCRIBED ABOVE.

YOU HAVE THE RIGHT TO HAVE THE MORTGAGE DEBT REVIEWED FOR
MEDIATION. IF YOU REQUEST MEDIATION, A DEBT THAT IS IN DEFAULT WILL
BE MEDIATED ONLY ONCE. IF YOU DO NOT REQUEST MEDIATION, THIS DEBT
WILL NOT BE SUBJECT TO FUTURE MEDIATION IF THE SECURED PARTY
ENFORCES THE DEBT.

IF YOU PARTICIPATE IN MEDIATION, THE DIRECTOR OF THE
AGRICULTURAL EXTENSION SERVICE WILL PROVIDE AN ORIENTATION
MEETING AND A FINANCIAL ANALYST TO HELP YOU PREPARE FINANCIAL
INFORMATION. IF YOU DECIDE TO PARTICIPATE IN MEDIATION, IT WILL BE
TO YOUR ADVANTAGE TO ASSEMBLE YOUR FARM FINANCE AND OPERATION
RECORDS AND TO CONTACT A COUNTY EXTENSION OFFICE AS SOON AS
POSSIBLE. MEDIATION WILL ATTEMPT TO ARRIVE AT AN AGREEMENT FOR
HANDLING FUTURE FINANCIAL RELATIONS.

TO HAVE THE MORTGAGE DEBT REVIEWED FOR MEDIATION YOU MUST
FILE A MEDIATION REQUEST WITH THE DIRECTOR WITHIN 14 DAYS AFTER
YOU RECEIVE THIS NOTICE. THE MEDIATION REQUEST FORM IS AVAILABLE
deleted text begin AT ANY COUNTY RECORDER'S OR COUNTY EXTENSION OFFICEdeleted text end new text begin FROM THE
DIRECTOR OF THE FARMER LENDER MEDIATION PROGRAMnew text end .

FROM: ....(Name and Address of Holder of Mortgage)...."

Sec. 3.

Minnesota Statutes 2018, section 583.25, is amended to read:


583.25 VOLUNTARY MEDIATION PROCEEDINGS.

A debtor that owns agricultural property or a creditor of the debtor may request mediation
of the indebtedness by a farm mediator by applying to the director. The director shall deleted text begin makedeleted text end new text begin
providenew text end voluntary mediation application forms deleted text begin available at the county recorder's and county
extension office in each countydeleted text end new text begin when requestednew text end . The director must evaluate each request
and may direct a mediator to meet with the debtor and creditor to assist in mediation.

Sec. 4.

Minnesota Statutes 2018, section 583.26, subdivision 2, is amended to read:


Subd. 2.

Mediation request.

(a) A debtor must file a mediation request form with the
director by 14 days after receiving a mediation notice. The debtor must state all known
creditors with debts secured for agricultural property and must authorize the director to
obtain the debtor's credit report from one or more credit reporting agencies. The mediation
request form must include an instruction that the debtor must state all known creditors with
debts secured by agricultural property and unsecured creditors that are necessary for the
farm operation of the debtor. It is the debtor's discretion as to which unsecured creditors
are necessary for the farm operation but the mediation request form must notify the debtor
that omission of a significant unsecured creditor could result in a bad-faith determination
pursuant to section 583.27, subdivisions 1, paragraph (a), clause (2), and 2. The mediation
request must state the date that the notice was served on the debtor. The director shall deleted text begin makedeleted text end new text begin
providenew text end mediation request forms deleted text begin available in the county recorder's and county extension
office of each countydeleted text end new text begin when requestednew text end .

(b) Except as provided in section 583.24, subdivision 4, paragraph (a), clause (3), a
debtor who fails to file a timely mediation request waives the right to mediation for that
debt under the Farmer-Lender Mediation Act. The director shall notify the creditor who
served the mediation notice stating that the creditor may proceed against the agricultural
property because the debtor has failed to file a mediation request.

(c) If a debtor has not received a mediation notice and is subject to a proceeding of a
creditor enforcing a debt against agricultural property under chapter 580 or 581 or sections
336.9-601 to 336.9-628, terminating a contract for deed to purchase agricultural property
under section 559.21, or garnishing, levying on, executing on, seizing, or attaching
agricultural property, the debtor may file a mediation request with the director. The mediation
request form must indicate that the debtor has not received a mediation notice.

Sec. 5. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2018, section 346.02, new text end new text begin is repealed.
 new text end

APPENDIX

Repealed Minnesota Statutes: 20-6658

346.02 FINDER TO GIVE NOTICE; PENALTY.

A person who finds an estray and knows who owns it shall notify the owner within seven days after finding the estray and request the owner to pay all reasonable charges and take such estray away. A finder who does not know who owns the estray shall within ten days file a notice with the town clerk. The clerk shall transmit a copy thereof to the county recorder, who shall record the same in a book designated "estray book." The finder shall give posted notice of the finding of the estray in said town. The notice shall briefly describe the estray, giving its marks, natural and artificial, as nearly as practicable, naming the residence of the finder, and specifying the town, section, and time when taken up. For failure to give such notice, the finder shall be liable to the owner of the estray in double the amount of damages sustained by the owner thereby.