SF 506

2nd Unofficial Engrossment - 87th Legislature (2011 - 2012) Posted on 04/24/2012 02:57pm

1.1A bill for an act

1.2relating to courts; increasing conciliation court civil claim limit;amending
1.3Minnesota Statutes 2010, section 491A.01, subdivision 3, as amended, by adding
1.4a subdivision.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6    Section 1. Minnesota Statutes 2010, section 491A.01, subdivision 3, as amended by
1.7Laws 2012, chapter 128, section 15, is amended to read:
1.8    Subd. 3. Jurisdiction; general. (a) Except as provided in subdivisions 4 and 5,
1.9the conciliation court has jurisdiction to hear, conciliate, try, and determine civil claims if
1.10the amount of money or property that is the subject matter of the claim does not exceed:
1.11(1) $7,500 $10,000; (2) $4,000, if the claim involves a consumer credit transaction; or
1.12(3) $15,000, if the claim involves money or personal property subject to forfeiture under
1.13section 84.7741, 169A.63, 609.5311, 609.5312, 609.5314, or 609.5318. "Consumer credit
1.14transaction" means a sale of personal property, or a loan arranged to facilitate the purchase
1.15of personal property, in which:
1.16(1) credit is granted by a seller or a lender who regularly engages as a seller or
1.17lender in credit transactions of the same kind;
1.18(2) the buyer is a natural person;
1.19(3) the claimant is the seller or lender in the transaction; and
1.20(4) the personal property is purchased primarily for a personal, family, or household
1.21purpose and not for a commercial, agricultural, or business purpose.
1.22(b) Except as otherwise provided in this subdivision and subdivisions 5 to 10, the
1.23territorial jurisdiction of conciliation court is coextensive with the county in which the
1.24court is established. The summons in a conciliation court action under subdivisions 6 to
2.110 may be served anywhere in the state, and the summons in a conciliation court action
2.2under subdivision 7, paragraph (b), may be served outside the state in the manner provided
2.3by law. The court administrator shall serve the summons in a conciliation court action
2.4by first class mail, except that if the amount of money or property that is the subject of
2.5the claim exceeds $2,500, the summons must be served by the plaintiff by certified mail,
2.6and service on nonresident defendants must be made in accordance with applicable law
2.7or rule. Subpoenas to secure the attendance of nonparty witnesses and the production of
2.8documents at trial may be served anywhere within the state in the manner provided by law.
2.9When a court administrator is required to summon the defendant by certified mail
2.10under this paragraph, the summons may be made by personal service in the manner
2.11provided in the Rules of Civil Procedure for personal service of a summons of the district
2.12court as an alternative to service by certified mail.
2.13(c) This subdivision expires August 1, 2014.
2.14EFFECTIVE DATE.Except for paragraph (c), this section is effective August 1,
2.152012, and applies to claims filed on or after that date.

2.16    Sec. 2. Minnesota Statutes 2010, section 491A.01, is amended by adding a subdivision
2.17to read:
2.18    Subd. 3a. Jurisdiction; general. (a) Except as provided in subdivisions 4 and 5, the
2.19conciliation court has jurisdiction to hear, conciliate, try, and determine civil claims if the
2.20amount of money or property that is the subject matter of the claim does not exceed: (1)
2.21$15,000; or (2) $4,000, if the claim involves a consumer credit transaction. "Consumer
2.22credit transaction" means a sale of personal property, or a loan arranged to facilitate the
2.23purchase of personal property, in which:
2.24(1) credit is granted by a seller or a lender who regularly engages as a seller or
2.25lender in credit transactions of the same kind;
2.26(2) the buyer is a natural person;
2.27(3) the claimant is the seller or lender in the transaction; and
2.28(4) the personal property is purchased primarily for a personal, family, or household
2.29purpose and not for a commercial, agricultural, or business purpose.
2.30(b) Except as otherwise provided in this subdivision and subdivisions 5 to 10, the
2.31territorial jurisdiction of conciliation court is coextensive with the county in which the
2.32court is established. The summons in a conciliation court action under subdivisions 6 to
2.3310 may be served anywhere in the state, and the summons in a conciliation court action
2.34under subdivision 7, paragraph (b), may be served outside the state in the manner provided
2.35by law. The court administrator shall serve the summons in a conciliation court action
3.1by first class mail, except that if the amount of money or property that is the subject of
3.2the claim exceeds $2,500, the summons must be served by the plaintiff by certified mail,
3.3and service on nonresident defendants must be made in accordance with applicable law
3.4or rule. Subpoenas to secure the attendance of nonparty witnesses and the production of
3.5documents at trial may be served anywhere within the state in the manner provided by law.
3.6When a court administrator is required to summon the defendant by certified mail
3.7under this paragraph, the summons may be made by personal service in the manner
3.8provided in the Rules of Civil Procedure for personal service of a summons of the district
3.9court as an alternative to service by certified mail.
3.10EFFECTIVE DATE.This section is effective August 1, 2014, and applies to claims
3.11filed on or after that date.

3.12    Sec. 3. REVISOR'S INSTRUCTION.
3.13(a) The revisor shall correct the threshold monetary amount wherever it appears in
3.14Minnesota Statutes consistent with changes in section 1.
3.15(b) The revisor shall correct the threshold monetary amount and statutory cross
3.16references wherever they appear in Minnesota Statutes consistent with changes in section
3.172.
3.18EFFECTIVE DATE.Paragraph (a) is effective August 1, 2012, and paragraph
3.19(b) is effective August 1, 2014.