2006 Minnesota Statutes

325G.22 LIMITS ON BUYER'S LIABILITY.
    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 aggregate amount of the credit
extended in the transaction was $3,000 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.
    Subd. 1a. Adjustment of dollar amounts. The dollar amount in subdivision 1 shall change
periodically as provided in section 550.37, subdivision 4a.
    Subd. 2. Buyer's liability. The buyer may be liable in damages to the seller or lender if the
buyer has wrongfully damaged the collateral or wrongfully failed to make the collateral available
to the seller or lender.
    Subd. 3. Restriction on repossession, levy, and sale. If the seller or lender elects to bring
an action and obtains judgment against the buyer for a debt arising from a consumer credit
transaction, when under this section the seller or lender would not be entitled to a deficiency
judgment on repossessing the collateral, (a) the seller or lender may not repossess the collateral,
and (b) the collateral is not subject to levy or sale on execution or similar proceedings pursuant
to the judgment.
History: 1977 c 180 s 2; 1986 c 444; 1990 c 464 s 5