Minnesota Session Laws - 1989, Regular Session

  

                         Laws of Minnesota 1989 

                         CHAPTER 344-H.F.No. 13 
           An act relating to courts; raising the jurisdictional 
          limit on claims heard in conciliation court; modifying 
          standards for the award of costs for conciliation 
          court appeals; providing for costs and disbursements 
          upon removal to district court; amending Minnesota 
          Statutes 1988, sections 487.30, subdivisions 1, 3a, 5, 
          and 8; 488A.12, subdivision 3; 488A.14, subdivision 6; 
          488A.16, subdivision 8; 488A.17, subdivision 10; 
          488A.29, subdivision 3; 488A.31, subdivision 6; 
          488A.33, subdivision 7; and 488A.34, subdivision 9. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  Minnesota Statutes 1988, section 487.30, 
subdivision 1, is amended to read: 
    Subdivision 1. (a) Except as provided in paragraph (b), the 
conciliation court shall hear and determine civil claims if the 
amount of money or property which is the subject matter of the 
claim does not exceed $2,000 $3,500 for the determination 
thereof without jury trial and by a simple and informal 
procedure.  The rules of the supreme court shall provide for a 
right of appeal from the decision of the conciliation court to 
the county court for a trial on the merits.  The territorial 
jurisdiction of a conciliation court shall be coextensive with 
the county in which the court is established. 
    (b) If the claim involves a consumer credit transaction, 
the amount of money or property that is the subject matter of 
the claim may not exceed $2,000.  "Consumer credit transaction" 
means a sale of personal property, or a loan arranged to 
facilitate the purchase of personal property, in which:  
    (1) credit is granted by a seller or a lender who regularly 
engages as a seller or lender in credit transactions of the same 
kind; 
    (2) the buyer is a natural person; 
    (3) the claimant is the seller or lender in the 
transaction; and 
    (4) the personal property is purchased primarily for a 
personal, family, or household purpose and not for a commercial, 
agricultural, or business purpose. 
    Sec. 2.  Minnesota Statutes 1988, section 487.30, 
subdivision 3a, is amended to read: 
    Subd. 3a.  [JURISDICTION; STUDENT LOANS.] Notwithstanding 
the provisions of subdivision 1 or any rule of court to the 
contrary, the conciliation court has jurisdiction to determine a 
civil action commenced by a plaintiff educational institution, 
including but not limited to, a state university or community 
college, with administrative offices in the county in which the 
conciliation court is located, to recover the amount of a 
student loan or loans even though the defendant or defendants 
are not residents of the county under the following conditions: 
    (a) the student loan or loans were originally awarded in 
the county in which the conciliation court is located; 
    (b) the loan or loans are overdue at the time the action is 
commenced; 
    (c) the amount sought in any single action does not exceed 
$2,000 $3,500; 
    (d) notice that payment on the loan is overdue has 
previously been sent by first class mail to the borrower to the 
last known address reported by the borrower to the educational 
institution; and 
    (e) the notice states that the educational institution may 
commence a conciliation court action in the county where the 
loan was awarded to recover the amount of the loan. 
    Notwithstanding any law or rule or civil procedure to the 
contrary, a summons in any action commenced under this 
subdivision may be served anywhere within the state of 
Minnesota.  The conciliation court administrator shall attach a 
copy of the overdue loan or loans to the summons before it is 
issued.  
    Sec. 3.  Minnesota Statutes 1988, section 487.30, 
subdivision 5, is amended to read: 
    Subd. 5.  [SATISFACTION OF JUDGMENT.] If (1) a conciliation 
court judgment has been docketed in county court for a period of 
at least 30 days, (2) the judgment is not satisfied, and (3) the 
parties have not otherwise agreed, the county court shall, upon 
the request of the judgment creditor, order the judgment debtor 
to mail to the judgment creditor information as to the nature, 
amount, identity, and location of all the debtor's assets, 
liabilities, and personal earnings. The information shall be 
provided on a form prescribed by the supreme court and shall be 
sufficiently detailed to enable the judgment creditor to obtain 
satisfaction of the judgment by way of execution on nonexempt 
assets and earnings of the judgment debtor.  The form shall be 
written in a clear and coherent manner using words with common 
and everyday meanings, shall summarize the execution and 
garnishment exemptions and limitations applicable to assets and 
earnings, and shall permit the judgment debtor to identify on 
the form those assets and earnings that the debtor considers to 
be exempt from execution or garnishment.  The order shall 
contain a notice that failure to complete the form and mail it 
to the judgment creditor within ten days after service of the 
order may result in a citation for contempt of court unless the 
judgment is satisfied prior to the expiration of that period.  A 
judgment debtor who intentionally fails to comply with the order 
of the court may be cited for civil contempt of court.  Cash 
bail posted as a result of being cited for civil contempt of 
court under this statute may be ordered payable to the creditor 
to satisfy the judgment, either partially or fully. 
    Sec. 4.  Minnesota Statutes 1988, section 487.30, 
subdivision 8, is amended to read: 
    Subd. 8.  [COSTS AND DISBURSEMENTS FOR PREVAILING PARTY ON 
REMOVAL.] (a) The prevailing party in a removed cause may tax 
and recover from the other party costs as provided by rules of 
the supreme court; except that if the prevailing party, on 
appeal, is not the aggrieved party in the original action, the 
court may, in its discretion, allow such prevailing party to tax 
and recover from the aggrieved party an amount not to exceed $50 
as costs.  
    (b) For the purpose of this subdivision, an "aggrieved 
"removing party" means the party who demands removal to county 
district court and means or the first party who serves, or files 
in lieu of serving, a demand for removal, if another party also 
demands removal, and an.  "Opposing party" means any party as to 
whom the aggrieved removing party seeks a reversal in whole or 
in part by removal of the cause to county court.  
    (b) If the removing party prevails in district court, the 
removing party may recover costs from the opposing party as 
provided by rules of the supreme court.  If the removing party 
does not prevail, the court shall award the opposing party an 
additional $200 as costs. 
    (c) The aggrieved removing party is the prevailing party 
prevails in county district court if:  
    (1) if the aggrieved removing party recovers any at least 
$500 or 50 percent of the amount or any value of property in 
county court that the removing party requested on removal, 
whichever is less, when the aggrieved removing party had been 
was denied any recovery of any amount or any property by the in 
conciliation judge, court; 
    (2) if the opposing party does not recover any amount or 
any property from the aggrieved removing party in county 
district court when the opposing party had recovered some amount 
or some property by the order of the in conciliation judge, 
court; 
    (3) if the aggrieved removing party recovers an amount or 
value of property in county district court which is at least $25 
in excess of that exceeds the amount or value of property 
which that the aggrieved removing party recovered by the order 
of the in conciliation judge, court by at least $500 or 50 
percent, whichever is less; or 
    (4) if the amount or value of property that the opposing 
party recovers from the aggrieved removing party an amount or 
value of property in county district court which is at least $25 
less than is reduced from the amount or value of property which 
that the opposing party recovered by the order of the in 
conciliation judge court by at least $500 or 50 percent, 
whichever is less. 
    (d) In all other situations the opposing party shall be 
deemed to be the prevailing party in county court.  
    (e) Costs or disbursements in the conciliation or county 
district court shall not be considered in determining whether 
there was a recovery by either party in either court or in 
determining the difference in recovery under this subdivision. 
    Sec. 5.  Minnesota Statutes 1988, section 488A.12, 
subdivision 3, is amended to read: 
    Subd. 3.  [JURISDICTION.] (a) Excepting actions involving 
title to real estate, the court has jurisdiction to hear, 
conciliate, try, and determine civil actions at law where the 
amount in controversy does not exceed the sum of $2,000 $3,500, 
except that if the action involves a consumer credit 
transaction, the amount in controversy may not exceed $2,000.  
"Consumer credit transaction" has the meaning given in section 
487.30, subdivision 1.  The territorial jurisdiction of the 
court is coextensive with the geographic boundaries of the 
county of Hennepin. 
    (b) Notwithstanding the provisions of paragraph (a), or any 
rule of court to the contrary, the conciliation court of 
Hennepin county has jurisdiction to determine an action brought 
pursuant to section 504.20 for the recovery of a deposit on 
rental property located in whole or in part in Hennepin county, 
and the summons in the action may be served anywhere within the 
state of Minnesota. 
    (c) Notwithstanding the provisions of paragraph (a), or any 
rule of court to the contrary, the conciliation court of 
Hennepin county has jurisdiction to determine a civil action 
commenced by a plaintiff, a resident of Hennepin county, to 
recover the amount of a dishonored check issued in the county, 
even though the defendant or defendants are not residents of 
Hennepin county, if the notice of nonpayment or dishonor 
described in section 609.535, subdivision 3, is sent to the 
maker or drawer as specified therein and the notice states that 
the payee or holder of the check may commence a conciliation 
court action in the county where the dishonored check was issued 
to recover the amount of the check.  This clause does not apply 
to a check that has been dishonored by a stop payment order.  
Notwithstanding any law or rule of civil procedure to the 
contrary, the summons in any action commenced under this clause 
may be served anywhere within the state of Minnesota.  The 
conciliation court administrator shall attach a copy of the 
dishonored check to the summons before it is issued.  
     (d) Notwithstanding the provisions of paragraph (a) or any 
rule of court to the contrary, the conciliation court of 
Hennepin county has jurisdiction to determine a civil action 
commenced by a plaintiff educational institution, including but 
not limited to, a state university or community college, with 
administrative offices in the county in which the conciliation 
court is located, to recover the amount of a student loan or 
loans even though the defendant or defendants are not residents 
of Hennepin county under the following conditions: 
     (1) the student loan or loans were originally awarded in 
Hennepin county; 
     (2) the loan or loans are overdue at the time the action is 
commenced; 
     (3) the amount sought in any single action does not exceed 
$2,000 $3,500; 
     (4) notice that payment on the loan is overdue has 
previously been sent by first class mail to the borrower to the 
last known address reported by the borrower to the educational 
institution; and 
     (5) the notice states that the educational institution may 
commence a conciliation court action in Hennepin county to 
recover the amount of the loan. 
     Notwithstanding any law or rule or civil procedure to the 
contrary, a summons in any action commenced under this clause 
may be served anywhere within the state of Minnesota.  The 
conciliation court administrator shall attach a copy of the 
overdue loan or loans to the summons before it is issued. 
    Sec. 6.  Minnesota Statutes 1988, section 488A.14, 
subdivision 6, is amended to read: 
    Subd. 6.  [REPLEVIN.] If the controversy concerns the 
ownership or possession, or both, of personal property the value 
of which does not exceed the sum of $2,000 $3,500, or $2,000 if 
the controversy concerns a consumer credit transaction, the 
judge may direct an officer of the court to take possession of 
the property immediately and hold it subject to the further 
order of the court, without the giving of any bond 
whatever.  "Consumer credit transaction" has the meaning given 
in section 487.30, subdivision 1.  
    Sec. 7.  Minnesota Statutes 1988, section 488A.16, 
subdivision 8, is amended to read: 
    Subd. 8.  [DOCKETING AND ENFORCEMENT IN MUNICIPAL COURT.] 
When a judgment has become finally effective under subdivision 
2, the judgment creditor may obtain a transcript of the judgment 
from the court administrator of conciliation court on payment of 
a fee of 50 cents and file it with the court administrator of 
the municipal court of the county of Hennepin.  After filing of 
the transcript, the judgment becomes, and is enforceable as, a 
judgment of the municipal court.  No writ of execution or 
garnishment summons may be issued out of conciliation court.  If 
(1) a conciliation court judgment has been docketed as a 
municipal court judgment for a period of at least 30 days, (2) 
the judgment is not satisfied, and (3) the parties have not 
otherwise agreed, the municipal court shall, upon the request of 
the judgment creditor, order the judgment debtor to mail to the 
judgment creditor information as to the nature, amount, 
identity, and location of all the judgment debtor's assets, 
liabilities, and personal earnings.  The information shall be 
provided on a form prescribed by the supreme court and shall be 
sufficiently detailed to enable the judgment creditor to obtain 
satisfaction of the judgment by way of execution on nonexempt 
assets and earnings of the judgment debtor.  The form shall be 
written in a clear and coherent manner using words with common 
and everyday meanings, shall summarize the execution and 
garnishment exemptions and limitations applicable to assets and 
earnings, and shall permit the judgment debtor to identify on 
the form those assets and earnings that the judgment debtor 
considers to be exempt from execution or garnishment.  The order 
shall contain a notice that failure to complete the form and 
mail it to the judgment creditor within ten days after service 
of the order may result in a citation for contempt of court 
unless the judgment is satisfied prior to the expiration of that 
period.  A judgment debtor who intentionally fails to comply 
with the order of the court may be cited for civil contempt of 
court.  Cash bail posted as a result of being cited for civil 
contempt of court under this statute may be ordered payable to 
the creditor to satisfy the judgment, either partially or fully. 
    Sec. 8.  Minnesota Statutes 1988, section 488A.17, 
subdivision 10, is amended to read: 
    Subd. 10.  [COSTS AND DISBURSEMENTS FOR PREVAILING PARTY ON 
REMOVAL.] (a) The prevailing party in a removed cause may tax 
and recover from the other party $5 as costs together with the 
prevailing party's disbursements incurred in conciliation and 
municipal court; except that if the prevailing party, on appeal, 
is not the aggrieved party in the original action, the court 
may, in its discretion, allow such prevailing party to tax and 
recover from the aggrieved party an amount not to exceed $50 as 
costs. 
    (b) For the purpose of this subdivision, an "aggrieved 
"removing party" means the party who demands removal to 
municipal district court and means or the first party who 
serves, or files in lieu of serving, a demand for removal, if 
another party also demands removal, and an.  "Opposing party" 
means any party as to whom the aggrieved removing party seeks a 
reversal in whole or in part by removal of the cause to 
municipal court. 
    (b) If the removing party prevails in district court, the 
removing party may recover $5 as costs from the opposing party, 
together with disbursements in conciliation and district court.  
If the removing party does not prevail, the court shall award 
the opposing party an additional $200 as costs, together with 
disbursements. 
    (c) The aggrieved removing party is the prevailing party 
prevails in municipal district court if: 
    (1) If the aggrieved removing party recovers any at least 
$500 or 50 percent of the amount or any value of property in 
municipal court that the removing party requested on removal, 
whichever is less, when the aggrieved removing party had 
been was denied any recovery of any amount or any property by 
the in conciliation judge, court; 
    (2) If the opposing party does not recover any amount or 
any property from the aggrieved removing party in municipal 
district court when the opposing party had recovered some amount 
or some property by the order of the in conciliation judge, 
court; 
    (3) If the aggrieved removing party recovers an amount or 
value of property in municipal district court which is at least 
$25 in excess of that exceeds the amount or value of property 
which that the aggrieved removing party recovered by the order 
of the in conciliation judge court by at least $500 or 50 
percent, whichever is less; or 
    (4) If the amount or value of property that the opposing 
party recovers from the aggrieved removing party an amount or 
value of property in municipal district court which is at least 
$25 less than is reduced from the amount or value of property 
which that the opposing party recovered by the order of the in 
conciliation judge court by at least $500 or 50 percent, 
whichever is less. 
    (d) In all other situations the opposing party shall be 
deemed to be the prevailing party in municipal court. 
    (e) Costs or disbursements in the conciliation or municipal 
district court shall not be considered in determining whether 
there was a recovery by either party in either court or in 
determining the difference in recovery under this subdivision. 
    Sec. 9.  Minnesota Statutes 1988, section 488A.29, 
subdivision 3, is amended to read: 
    Subd. 3.  [JURISDICTION.] (a) Excepting actions involving 
title to real estate, the court has jurisdiction to hear, 
conciliate, try and determine civil actions at law where the 
amount in controversy does not exceed the sum of $2,000 $3,500, 
except that if the action involves a consumer credit 
transaction, the amount in controversy may not exceed $2,000.  
"Consumer credit transaction" has the meaning given in section 
487.30, subdivision 1.  The territorial jurisdiction of the 
court is coextensive with the geographic boundaries of the 
county of Ramsey. 
    (b) Notwithstanding the provisions of paragraph (a) or any 
rule of court to the contrary, the conciliation court of Ramsey 
county has jurisdiction to determine an action brought pursuant 
to section 504.20 for the recovery of a deposit on rental 
property located in whole or in part in Ramsey county, and the 
summons in the action may be served anywhere in the state of 
Minnesota. 
    (c) Notwithstanding the provisions of paragraph (a) or any 
rule of court to the contrary, the conciliation court of Ramsey 
county has jurisdiction to determine a civil action commenced by 
a plaintiff, resident of Ramsey county, to recover the amount of 
a dishonored check issued in the county, even though the 
defendant or defendants are not residents of Ramsey county, if 
the notice of nonpayment or dishonor described in section 
609.535, subdivision 3, is sent to the maker or drawer as 
specified therein and the notice states that the payee or holder 
of the check may commence a conciliation court action in the 
county where the dishonored check was issued to recover the 
amount of the check.  This clause does not apply to a check that 
has been dishonored by a stop payment order.  Notwithstanding 
any law or rule of civil procedure to the contrary, the summons 
in any action commenced under this clause may be served anywhere 
within the state of Minnesota.  The conciliation court 
administrator shall attach a copy of the dishonored check to the 
summons before it is issued. 
     (d) Notwithstanding the provisions of paragraph (a) or any 
rule of court to the contrary, the conciliation court of Ramsey 
county has jurisdiction to determine a civil action commenced by 
a plaintiff educational institution, including but not limited 
to, a state university or community college, with administrative 
offices in the county in which the conciliation court is 
located, to recover the amount of a student loan or loans even 
though the defendant or defendants are not residents of Ramsey 
county under the following conditions: 
     (1) the student loan or loans were originally awarded in 
Ramsey county; 
     (2) the loan or loans are overdue at the time the action is 
commenced; 
     (3) the amount sought in any single action does not exceed 
$2,000 $3,500; 
    (4) notice that payment on the loan is overdue has 
previously been sent by first class mail to the borrower to the 
last known address reported by the borrower to the educational 
institution; and 
    (5) the notice states that the educational institution may 
commence a conciliation court action in Ramsey county to recover 
the amount of the loan. 
    Notwithstanding any law or rule or civil procedure to the 
contrary, a summons in any action commenced under this clause 
may be served anywhere within the state of Minnesota.  The 
conciliation court administrator shall attach a copy of the 
overdue loan or loans to the summons before it is issued. 
    Sec. 10.  Minnesota Statutes 1988, section 488A.31, 
subdivision 6, is amended to read: 
    Subd. 6.  [REPLEVIN.] If the controversy concerns the 
ownership or possession, or both, of personal property the value 
of which does not exceed the sum of $2,000 $3,500, or $2,000 if 
the controversy concerns a consumer credit transaction, the 
judge may direct an officer of the court to take possession of 
the property immediately and hold it subject to the further 
order of the court, without the giving of any bond 
whatever.  "Consumer credit transaction" has the meaning given 
in section 487.30, subdivision 1.  
    Sec. 11.  Minnesota Statutes 1988, section 488A.33, 
subdivision 7, is amended to read: 
    Subd. 7.  [DOCKETING AND ENFORCEMENT IN MUNICIPAL COURT.] 
When a judgment has become final under subdivision 2, the 
judgment creditor may obtain a transcript of the judgment from 
the administrator of conciliation court and file it with the 
administrator of the municipal court upon payment of the filing 
fees as prescribed for the municipal court.  After filing of the 
transcript, the judgment becomes, and is enforceable as, a 
judgment of the municipal court.  A transcript of a judgment 
payable in installments may not be obtained and filed until 20 
days after default in the payment of an installment.  No writ of 
execution nor garnishment summons may be issued out of 
conciliation court.  If (1) a transcript of a judgment has been 
filed for a period of at least 30 days, (2) the judgment is not 
satisfied or an installment of it remains overdue, and (3) the 
parties have not otherwise agreed, the municipal court shall, 
upon the request of the judgment creditor, order the judgment 
debtor to mail to the judgment creditor information as to the 
nature, amount, identity, and location of all the judgment 
debtor's assets, liabilities, and personal earnings.  The 
information shall be provided on a form prescribed by the 
supreme court and shall be sufficiently detailed to enable the 
judgment creditor to obtain satisfaction of the judgment by way 
of execution on nonexempt assets and earnings of the judgment 
debtor.  The form shall be written in a clear and coherent 
manner using words with common and everyday meanings, shall 
summarize the execution and garnishment exemptions and 
limitations applicable to assets and earnings, and shall permit 
the judgment debtor to identify on the form those assets and 
earnings that the judgment debtor considers to be exempt from 
execution or garnishment.  The order shall contain a notice that 
failure to complete the form and mail it to the judgment 
creditor within ten days after service of the order may result 
in a citation for contempt of court unless the judgment is 
satisfied prior to the expiration of that period.  A judgment 
debtor who intentionally fails to comply with the order of the 
court may be cited for civil contempt of court.  Cash bail 
posted as a result of being cited for civil contempt of court 
under this statute may be ordered payable to the creditor to 
satisfy the judgment, either partially or fully. 
    Sec. 12.  Minnesota Statutes 1988, section 488A.34, 
subdivision 9, is amended to read: 
    Subd. 9.  [COSTS AND DISBURSEMENTS FOR PREVAILING PARTY ON 
REMOVAL.] (a) The prevailing party in a removed cause may tax 
and recover from the other party costs and disbursements as 
though the action was originally commenced in the municipal 
court; except that if the prevailing party, on appeal, is not 
the aggrieved party in the original action, the court may, in 
its discretion, allow such prevailing party to tax and recover 
from the aggrieved party an amount not to exceed $50 as costs.  
    (b) For the purpose of this subdivision, an "aggrieved 
"removing party" means the party who demands removal 
to municipal district court and means or the first party who 
serves, or files in lieu of serving, a demand for removal, if 
another party also demands removal, and an.  "Opposing party" 
means any party as to whom the aggrieved removing party seeks a 
reversal in whole or in part by removal of the cause to 
municipal court.  
    (b) If the removing party prevails in district court, the 
removing party may recover costs and disbursements from the 
opposing party as though the action were commenced in district 
court.  If the removing party does not prevail, the court shall 
award the opposing party an additional $200 as costs, together 
with disbursements. 
    (c) The aggrieved removing party is the prevailing party 
prevails in municipal district court if:  
    (1) if the aggrieved removing party recovers any at least 
$500 or 50 percent of the amount or any value of property in 
municipal court that the removing party requested on removal, 
whichever is less, when the aggrieved removing party had been 
was denied any recovery of any amount or any property by the in 
conciliation judge, court; 
    (2) if the opposing party does not recover any amount or 
any property from the aggrieved removing party in municipal 
district court when the opposing party had recovered some amount 
or some property by the order of the in conciliation judge, 
court; 
    (3) if the aggrieved removing party recovers an amount or 
value of property in municipal district court which is at least 
$25 in excess of that exceeds the amount or value of property 
which that the aggrieved removing party recovered by the order 
of the in conciliation judge, court by at least $500 or 50 
percent, whichever is less; or 
    (4) if the amount or value of property that the opposing 
party recovers from the aggrieved removing party an amount or 
value of property in municipal district court which is at least 
$25 less than is reduced from the amount or value of 
property which that the opposing party recovered by the order of 
the in conciliation judge court by at least $500 or 50 percent, 
whichever is less. 
    (d) In all other situations the opposing party shall be 
deemed to be the prevailing party in municipal court.  
    (e) Costs or disbursements in the conciliation or municipal 
district court shall not be considered in determining whether 
there was a recovery by either party in either court or in 
determining the difference in recovery under this subdivision. 
    Sec. 13.  [CONCILIATION COURT JURISDICTION AMOUNTS.] 
    Subdivision 1.  [INCREASE IN LIMITS.] The conciliation 
court jurisdictional limits provided in sections 1, 2, 5, 6, 9, 
and 10 shall increase to $4,000 on July 1, 1990.  
    Subd. 2.  [REVISOR'S INSTRUCTION.] The revisor of statutes 
is directed to insert the changes in the conciliation court 
jurisdictional amount provided by subdivision 1 in Minnesota 
Statutes 1990, and subsequent editions of the statutes. 
    Presented to the governor May 30, 1989 
    Signed by the governor June 1, 1989, 11:10 p.m.