Connecticut 2019 Regular Session

Connecticut Senate Bill SB01087 Compare Versions

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7+General Assembly Substitute Bill No. 1087
8+January Session, 2019
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4-Substitute Senate Bill No. 1087
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6-Public Act No. 19-41
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9-AN ACT CONCERNING SE RVICE OF PROCESS ON OUT-OF-
10-STATE FINANCIAL INST ITUTIONS, LIMITED LI ABILITY
11-COMPANIES AND REGIST ERED FOREIGN LIMITED LIABILITY
12-COMPANIES.
12+AN ACT CONCERNING SE RVICE OF PROCESS ON OUT-OF-STATE
13+FINANCIAL INSTITUTIONS, LIMITED LIABILITY COMPANIES AND
14+REGISTERED FOREIGN L IMITED LIABILITY COMPANIES.
1315 Be it enacted by the Senate and House of Representatives in General
1416 Assembly convened:
1517
16-Section 1. Subsections (a) and (b) of section 52-367a of the general
17-statutes are repealed and the following is substituted in lieu thereof
18-(Effective October 1, 2019):
19-(a) As used in this section and section 52-367b, as amended by this
20-act, "financial institution" means any bank, savings bank, savings and
21-loan association or credit union organized, chartered or licensed under
22-the laws of this state or the United States and having its main office in
23-this state, [or] any similar out-of-state institution having a branch office
24-in this state or any similar out-of-state institution having no main
25-office or branch office in this state and where transactions are made via
26-the Internet or electronic means.
27-(b) Execution may be granted pursuant to this section against any
28-debts due from any financial institution to a judgment debtor which is
29-not a natural person. If execution is desired against any such debt, the
30-plaintiff requesting the execution shall make application to the clerk of
31-the court. The application shall be accompanied by a fee of one Substitute Senate Bill No. 1087
18+Section 1. Subsections (a) and (b) of section 52-367a of the general 1
19+statutes are repealed and the following is substituted in lieu thereof 2
20+(Effective October 1, 2019): 3
21+(a) As used in this section and section 52-367b, as amended by this 4
22+act, "financial institution" means any bank, savings bank, savings and 5
23+loan association or credit union organized, chartered or licensed under 6
24+the laws of this state or the United States and having its main office in 7
25+this state, [or] any similar out-of-state institution having a branch office 8
26+in this state or any similar out-of-state institution having no main 9
27+office or branch office in this state and where transactions are made via 10
28+the Internet or electronic means. 11
29+(b) Execution may be granted pursuant to this section against any 12
30+debts due from any financial institution to a judgment debtor which is 13
31+not a natural person. If execution is desired against any such debt, the 14
32+plaintiff requesting the execution shall make application to the clerk of 15
33+the court. The application shall be accompanied by a fee of one 16
34+hundred five dollars payable to the clerk of the court for the 17
35+administrative costs of complying with the provisions of this section 18
36+which fee may be recoverable by the judgment creditor as a taxable 19 Substitute Bill No. 1087
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35-hundred five dollars payable to the clerk of the court for the
36-administrative costs of complying with the provisions of this section
37-which fee may be recoverable by the judgment creditor as a taxable
38-cost of the action. The clerk shall issue such execution containing a
39-direction that the officer serving such execution shall make demand (1)
40-upon the main office of any financial institution having its main office
41-within the county of the serving officer, [or] (2) if such main office is
42-not within the serving officer's county and such financial institution
43-has one or more branch offices within such county, upon an employee
44-of such a branch office, such employee and branch office having been
45-designated by the financial institution in accordance with regulations
46-adopted by the Banking Commissioner, in accordance with chapter 54,
47-or (3) only upon demand of a financial institution which does not have
48-any main office or branch office in this state, by certified mail, return
49-receipt requested, for the payment of any debt due to the judgment
50-debtor, and, after having made such demand, shall serve a true and
51-attested copy thereof, with the serving officer's actions thereon
52-endorsed, with the financial institution [officer] upon whom such
53-demand is made. The serving officer shall not serve more than one
54-financial institution execution per judgment debtor at a time, including
55-copies thereof. After service of an execution on one financial
56-institution, the serving officer shall not serve the same execution or a
57-copy thereof upon another financial institution until receiving
58-confirmation from the preceding financial institution that the judgment
59-debtor had insufficient funds at the preceding financial institution
60-available for collection to satisfy the execution. If the serving officer
61-does not receive within twenty-five days of the service of the demand
62-a response from the financial institution that was served indicating
63-whether or not the taxpayer has funds at the financial institution
64-available for collection, the serving officer may assume that sufficient
65-funds are not available for collection and may proceed to serve another
66-financial institution in accordance with this subsection. Substitute Senate Bill No. 1087
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43+cost of the action. The clerk shall issue such execution containing a 20
44+direction that the officer serving such execution shall make demand (1) 21
45+upon the main office of any financial institution having its main office 22
46+within the county of the serving officer, [or] (2) if such main office is 23
47+not within the serving officer's county and such financial institution 24
48+has one or more branch offices within such county, upon an employee 25
49+of such a branch office, such employee and branch office having been 26
50+designated by the financial institution in accordance with regulations 27
51+adopted by the Banking Commissioner, in accordance with chapter 54, 28
52+or (3) only upon demand of a financial institution which does not have 29
53+any main office or branch office in this state, by certified mail, return 30
54+receipt requested, for the payment of any debt due to the judgment 31
55+debtor, and, after having made such demand, shall serve a true and 32
56+attested copy thereof, with the serving officer's actions thereon 33
57+endorsed, with the financial institution [officer] upon whom such 34
58+demand is made. The serving officer shall not serve more than one 35
59+financial institution execution per judgment debtor at a time, including 36
60+copies thereof. After service of an execution on one financial 37
61+institution, the serving officer shall not serve the same execution or a 38
62+copy thereof upon another financial institution until receiving 39
63+confirmation from the preceding financial institution that the judgment 40
64+debtor had insufficient funds at the preceding financial institution 41
65+available for collection to satisfy the execution. If the serving officer 42
66+does not receive within twenty-five days of the service of the demand 43
67+a response from the financial institution that was served indicating 44
68+whether or not the taxpayer has funds at the financial institution 45
69+available for collection, the serving officer may assume that sufficient 46
70+funds are not available for collection and may proceed to serve another 47
71+financial institution in accordance with this subsection. 48
72+Sec. 2. Subsection (b) of section 52-367b of the general statutes is 49
73+repealed and the following is substituted in lieu thereof (Effective 50
74+October 1, 2019): 51
75+(b) If execution is desired against any such debt, the plaintiff 52 Substitute Bill No. 1087
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70-Sec. 2. Subsection (b) of section 52-367b of the general statutes is
71-repealed and the following is substituted in lieu thereof (Effective
72-October 1, 2019):
73-(b) If execution is desired against any such debt, the plaintiff
74-requesting the execution shall make application to the clerk of the
75-court. The application shall be accompanied by a fee of one hundred
76-five dollars payable to the clerk of the court for the administrative costs
77-of complying with the provisions of this section, which fee may be
78-recoverable by the judgment creditor as a taxable cost of the action. In
79-a IV-D case, the request for execution shall be accompanied by an
80-affidavit signed by the serving officer attesting to an overdue support
81-amount of five hundred dollars or more which accrued after the entry
82-of an initial family support judgment. If the papers are in order, the
83-clerk shall issue such execution containing a direction that the officer
84-serving such execution shall, within seven days from the receipt by the
85-serving officer of such execution, make demand (1) upon the main
86-office of any financial institution having its main office within the
87-county of the serving officer, [or] (2) if such main office is not within
88-the serving officer's county and such financial institution has one or
89-more branch offices within such county, upon an employee of such a
90-branch office, such employee and branch office having been
91-designated by the financial institution in accordance with regulations
92-adopted by the Banking Commissioner, in accordance with chapter 54,
93-or (3) only upon demand of a financial institution which does not have
94-any main office or branch office in this state, by certified mail, return
95-receipt requested, for payment of any such nonexempt debt due to the
96-judgment debtor and, after having made such demand, shall serve a
97-true and attested copy of the execution, together with the affidavit and
98-exemption claim form prescribed by subsection (k) of this section, with
99-the serving officer's actions endorsed thereon, with the financial
100-institution [officer] upon whom such demand is made. The serving
101-officer shall not serve more than one financial institution execution per Substitute Senate Bill No. 1087
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105-judgment debtor at a time, including copies thereof. After service of an
106-execution on one financial institution, the serving officer shall not
107-serve the same execution or a copy thereof upon another financial
108-institution until receiving confirmation from the preceding financial
109-institution that the judgment debtor had insufficient funds at the
110-preceding financial institution available for collection to satisfy the
111-execution, provided any such additional service is made not later than
112-forty-five days from the receipt by the serving officer of such
113-execution. After service of an execution on a financial institution, the
114-serving officer shall not subsequently serve the same execution or a
115-copy thereof upon such financial institution if an electronic direct
116-deposit from a readily identifiable source described in subsection (c) of
117-this section was made to the judgment debtor's account during the
118-look-back period, as described in subsection (c) of this section. If no
119-such deposit was made, the serving officer may subsequently serve the
120-same execution or a copy thereof upon such institution, provided such
121-execution has not expired or otherwise become unenforceable.
122-Sec. 3. Section 34-243r of the general statutes is repealed and the
123-following is substituted in lieu thereof (Effective October 1, 2019):
124-(a) A limited liability company or registered foreign limited liability
125-company may be served with any process, notice or demand required
126-or permitted by law [by serving its registered agent] by any proper
127-officer or other person lawfully empowered to make service leaving a
128-true and attested copy with such company's registered agent, or at his
129-or her usual place of abode in this state.
130-(b) When the Secretary of the State and the Secretary of the State's
131-successors in office have been appointed a foreign limited liability
132-company's agent for service of process, the foreign limited liability
133-company may be served by any proper officer or other person lawfully
134-empowered to make service leaving two true and attested copies of
135-such process together with the required fee at the office of the Substitute Senate Bill No. 1087
82+requesting the execution shall make application to the clerk of the 53
83+court. The application shall be accompanied by a fee of one hundred 54
84+five dollars payable to the clerk of the court for the administrative costs 55
85+of complying with the provisions of this section, which fee may be 56
86+recoverable by the judgment creditor as a taxable cost of the action. In 57
87+a IV-D case, the request for execution shall be accompanied by an 58
88+affidavit signed by the serving officer attesting to an overdue support 59
89+amount of five hundred dollars or more which accrued after the entry 60
90+of an initial family support judgment. If the papers are in order, the 61
91+clerk shall issue such execution containing a direction that the officer 62
92+serving such execution shall, within seven days from the receipt by the 63
93+serving officer of such execution, make demand (1) upon the main 64
94+office of any financial institution having its main office within the 65
95+county of the serving officer, [or] (2) if such main office is not within 66
96+the serving officer's county and such financial institution has one or 67
97+more branch offices within such county, upon an employee of such a 68
98+branch office, such employee and branch office having been 69
99+designated by the financial institution in accordance with regulations 70
100+adopted by the Banking Commissioner, in accordance with chapter 54, 71
101+or (3) only upon demand of a financial institution which does not have 72
102+any main office or branch office in this state, by certified mail, return 73
103+receipt requested, for payment of any such nonexempt debt due to the 74
104+judgment debtor and, after having made such demand, shall serve a 75
105+true and attested copy of the execution, together with the affidavit and 76
106+exemption claim form prescribed by subsection (k) of this section, with 77
107+the serving officer's actions endorsed thereon, with the financial 78
108+institution [officer] upon whom such demand is made. The serving 79
109+officer shall not serve more than one financial institution execution per 80
110+judgment debtor at a time, including copies thereof. After service of an 81
111+execution on one financial institution, the serving officer shall not 82
112+serve the same execution or a copy thereof upon another financial 83
113+institution until receiving confirmation from the preceding financial 84
114+institution that the judgment debtor had insufficient funds at the 85
115+preceding financial institution available for collection to satisfy the 86
116+execution, provided any such additional service is made not later than 87 Substitute Bill No. 1087
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139-Secretary of the State or depositing the same in the United States mail,
140-by registered or certified mail, postage prepaid, addressed to said
141-office. The Secretary of the State shall file one copy of such process and
142-keep a record of the date and hour of such receipt, and, within two
143-business days after such service, forward by registered or certified mail
144-the other copy of such process to the foreign limited liability company
145-at the address of the office designated in the application for
146-registration filed pursuant to subdivision (4) of section 34-275b. Service
147-so made shall be effective as of the date and hour received by the
148-Secretary of the State as shown on the Secretary of the State's records.
149-(c) If a limited liability company or registered foreign limited
150-liability company ceases to have a registered agent, or if its registered
151-agent cannot with reasonable diligence be served by any proper officer
152-or other person lawfully empowered to make service, the company or
153-foreign company may be served by registered or certified mail, return
154-receipt requested, or by similar commercial delivery service, addressed
155-to the company or foreign company at its principal office. The address
156-of the principal office shall be as shown on the company's or foreign
157-company's most recent annual report filed by the Secretary of the State.
158-Service is effected under this subsection on the earliest of: (1) The date
159-the company or foreign company receives the mail or delivery by the
160-commercial delivery service; (2) the date shown on the return receipt,
161-if signed by the company or foreign company; or (3) five days after its
162-deposit with the United States Postal Service, or with the commercial
163-delivery service, if correctly addressed and with sufficient postage or
164-payment.
165-(d) If process, notice or demand cannot be served on a limited
166-liability company or registered foreign limited liability company
167-pursuant to subsection (a) or (b) of this section, service may be made
168-by any proper officer or other person lawfully empowered to make
169-service handing a copy to the individual in charge of any regular place Substitute Senate Bill No. 1087
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123+forty-five days from the receipt by the serving officer of such 88
124+execution. After service of an execution on a financial institution, the 89
125+serving officer shall not subsequently serve the same execution or a 90
126+copy thereof upon such financial institution if an electronic direct 91
127+deposit from a readily identifiable source described in subsection (c) of 92
128+this section was made to the judgment debtor's account during the 93
129+look-back period, as described in subsection (c) of this section. If no 94
130+such deposit was made, the serving officer may subsequently serve the 95
131+same execution or a copy thereof upon such institution, provided such 96
132+execution has not expired or otherwise become unenforceable. 97
133+Sec. 3. Section 34-243r of the general statutes is repealed and the 98
134+following is substituted in lieu thereof (Effective October 1, 2019): 99
135+(a) A limited liability company or registered foreign limited liability 100
136+company may be served with any process, notice or demand required 101
137+or permitted by law [by serving its registered agent] by any proper 102
138+officer or other person lawfully empowered to make service leaving a 103
139+true and attested copy with such company's registered agent, or at his 104
140+or her usual place of abode in this state. 105
141+(b) When the Secretary of the State and the Secretary of the State's 106
142+successors in office have been appointed a foreign limited liability 107
143+company's agent for service of process, the foreign limited liability 108
144+company may be served by any proper officer or other person lawfully 109
145+empowered to make service leaving two true and attested copies of 110
146+such process together with the required fee at the office of the 111
147+Secretary of the State or depositing the same in the United States mail, 112
148+by registered or certified mail, postage prepaid, addressed to said 113
149+office. The Secretary of the State shall file one copy of such process and 114
150+keep a record of the date and hour of such receipt, and, within two 115
151+business days after such service, forward by registered or certified mail 116
152+the other copy of such process to the foreign limited liability company 117
153+at the address of the office designated in the application for 118
154+registration filed pursuant to subdivision (4) of section 34-275b. Service 119
155+so made shall be effective as of the date and hour received by the 120 Substitute Bill No. 1087
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173-of business or activity of the company or foreign company if the
174-individual served is not a plaintiff in the action.
175-(e) Service of process, notice or demand on a registered agent shall
176-be in a written record.
177-(f) Service of process, notice or demand may be made by other
178-means under law other than the provisions of sections 34-243 to 34-
179-283d, inclusive.
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162+Secretary of the State as shown on the Secretary of the State's records. 121
163+(c) If a limited liability company or registered foreign limited 122
164+liability company ceases to have a registered agent, or if its registered 123
165+agent cannot with reasonable diligence be served by any proper officer 124
166+or other person lawfully empowered to make service, the company or 125
167+foreign company may be served by registered or certified mail, return 126
168+receipt requested, or by similar commercial delivery service, addressed 127
169+to the company or foreign company at its principal office. The address 128
170+of the principal office shall be as shown on the company's or foreign 129
171+company's most recent annual report filed by the Secretary of the State. 130
172+Service is effected under this subsection on the earliest of: (1) The date 131
173+the company or foreign company receives the mail or delivery by the 132
174+commercial delivery service; (2) the date shown on the return receipt, 133
175+if signed by the company or foreign company; or (3) five days after its 134
176+deposit with the United States Postal Service, or with the commercial 135
177+delivery service, if correctly addressed and with sufficient postage or 136
178+payment. 137
179+(d) If process, notice or demand cannot be served on a limited 138
180+liability company or registered foreign limited liability company 139
181+pursuant to subsection (a) or (b) of this section, service may be made 140
182+by any proper officer or other person lawfully empowered to make 141
183+service handing a copy to the individual in charge of any regular place 142
184+of business or activity of the company or foreign company if the 143
185+individual served is not a plaintiff in the action. 144
186+(e) Service of process, notice or demand on a registered agent shall 145
187+be in a written record. 146
188+(f) Service of process, notice or demand may be made by other 147
189+means under law other than the provisions of sections 34-243 to 34-148
190+283d, inclusive. 149 Substitute Bill No. 1087
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197+This act shall take effect as follows and shall amend the following
198+sections:
199+
200+Section 1 October 1, 2019 52-367a(a) and (b)
201+Sec. 2 October 1, 2019 52-367b(b)
202+Sec. 3 October 1, 2019 34-243r
203+
204+Statement of Legislative Commissioners:
205+In Section 3(a), new language was moved and combined with the other
206+new language at the end of the subsection for clarity.
207+
208+JUD Joint Favorable Subst. -LCO
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