Rhode Island 2025 Regular Session

Rhode Island Senate Bill S0169 Compare Versions

Only one version of the bill is available at this time.

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5	5	2025 -- S 0169
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7	7	LC001054
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9	9	S T A T E O F R H O D E I S L A N D
10	10	IN GENERAL ASSEMBLY
11	11	JANUARY SESSION, A.D. 2025
12	12	____________
13	13
14	14	A N A C T
15	15	RELATING TO COMMERCI AL LAW -- GENERAL REGULATORY PROVISION S --
16	16	DECEPTIVE TRADE PRACTICES
17	17	Introduced By: Senators Bissaillon, Lawson, Murray, Tikoian, and LaMountain
18	18	Date Introduced: February 05, 2025
19	19	Referred To: Senate Commerce
20	20
21	21
22	22	It is enacted by the General Assembly as follows:
23	23	SECTION 1. Section 6-13.1-20 of the General Laws in Chapter 6-13.1 entitled "Deceptive 1
24	24	Trade Practices" is hereby amended to read as follows: 2
25	25	6-13.1-20. Credit reports — Definitions. 3
26	26	As used in this chapter: 4
27	27	(1) “Credit bureau” means any entity or person who or that, for monetary fees, dues, or on 5
28	28	a cooperative nonprofit basis, regularly engages in whole or in part in the practice of assembling or 6
29	29	evaluating consumer credit information or other information on consumers for the purpose of 7
30	30	furnishing credit reports to third parties; 8
31	31	(2)(i) “Credit report” means any written, oral, or other communication of any information 9
32	32	by a credit bureau bearing on a consumer’s credit worthiness, credit standing, or credit capacity, 10
33	33	that is used or expected to be used or collected in whole or in part for the purpose of serving as a 11
34	34	factor in establishing the consumer’s eligibility for: 12
35	35	(A) Credit or insurance to be used primarily for personal, family, or household purposes; 13
36	36	(B) Employment purposes; or 14
37	37	(C) Other purposes authorized under the federal Fair Credit Reporting Act, 15 U.S.C. § 15
38	38	1681 et seq. 16
39	39	(ii) “Credit report” does not include: 17
40	40	(A) Any report containing information solely as to transactions or experiences between the 18
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44	44	consumer and the person making the report; 1
45	45	(B) Any authorization or approval of a specific extension of credit directly or indirectly by 2
46	46	the issuer of a credit card or similar device; 3
47	47	(C) Any report in which a person who has been requested by a third party to make a specific 4
48	48	extension of credit directly or indirectly to a consumer conveys his or her decision with respect to 5
49	49	that request if the third party advises the consumer of the name and address of the person to whom 6
50	50	the request was made and the person makes the disclosures to the consumer required under the 7
51	51	federal Fair Credit Reporting Act, 15 U.S.C. § 1681 et seq.; or 8
52	52	(D) Any report containing information solely on a consumer’s character, general 9
53	53	reputation, personal characteristics, or mode of living that is obtained through personal interviews 10
54	54	with neighbors, friends, or associates of the consumer reported on, or with others with whom he or 11
55	55	she is acquainted or who may have knowledge concerning those items of information, only if the 12
56	56	report is not used in granting, extending, or decreasing credit. 13
57	57	(E) Any report containing information solely as to transactions or experiences between the 14
58	58	consumer and a health care provider for medical debt. 15
59	59	(3) “Medical debt” means an obligation of a consumer to pay an amount for the receipt of 16
60	60	healthcare services as defined by § 27-81-3, products, or devices, owed to a healthcare facility or a 17
61	61	health care professional as defined by §§ 27-81-3 and 6-60-1. 18
62	62	SECTION 2. Section 9-25-3 of the General Laws in Chapter 9-25 entitled "Execution" is 19
63	63	hereby amended to read as follows: 20
64	64	9-25-3. Limitation on issuance.Limitation on issuance and filing. 21
65	65	Executions, original or alias, may be issued by any court at any time within six (6) years 22
66	66	from the rendition of the judgment originally or from the return day of the last execution; provided 23
67	67	that, no execution shall be filed against a defendant's principal residence for a judgment in any 24
68	68	action where the plaintiff’s claim against the defendant was based on medical debt. For purpose of 25
69	69	this section, “medical debt” shall have the same meaning as defined in § 6-60-1. 26
70	70	SECTION 3. Sections 10-5-2, 10-5-7 and 10-5-8 of the General Laws in Chapter 10-5 27
71	71	entitled "Attachment" are hereby amended to read as follows: 28
72	72	10-5-2. Procedure. 29
73	73	(a) A court having jurisdiction over a defendant or his or her assets, including his or her 30
74	74	personal estate or real estate, may authorize a plaintiff to attach the defendant’s assets, or any part 31
75	75	thereof, after hearing on a motion to attach, notice of which has been given to the defendant as 32
76	76	provided in this section. At the time of the commencement of the action, or at any time thereafter, 33
77	77	a plaintiff must file a motion in the court having jurisdiction for authority to attach the defendant’s 34
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81	81	assets, including his or her personal or real estate, and the attachment motion must state the day, 1
82	82	time and place of hearing and a copy must be served by the process server on the defendant or by 2
83	83	leaving it at his or her last and usual place of abode with some person there at least five (5) days 3
84	84	before the fixed date of hearing; provided that, no attachment shall be filed against a defendant’s 4
85	85	principal residence, for a judgment in any action where the plaintiff’s claim against the defendant 5
86	86	was based on medical debt. For the purpose of this section, “medical debt” shall have the same 6
87	87	meaning as defined in § 6-60-1. 7
88	88	(b) If the defendant does not reside in the state, service of the attachment motion shall be 8
89	89	made upon him or her by mailing a copy of the motion to attach, by certified mail, to his or her last 9
90	90	known address and, if service is made in this manner, the plaintiff or his or her attorney must attach 10
91	91	the sender’s receipt to an affidavit of compliance with this section by the plaintiff or his or her 11
92	92	attorney and filing it with the case in the court. 12
93	93	(c) If the plaintiff after diligent search and by affidavit avers that he or she does not know 13
94	94	of the defendant’s address, service on the defendant of the motion to attach may after order of the 14
95	95	court be made by publication in some public newspaper, once, published in the town, city or county 15
96	96	where the defendant’s assets are situated. If there is no public newspaper published in the town, 16
97	97	city or county where the defendant’s assets are situated, then in some public newspaper published 17
98	98	in the city of Providence. Provided, however, that in all actions where the plaintiff’s claim against 18
99	99	the defendant has been reduced to a judgment, the defendant’s assets, including his or her personal 19
100	100	estate and real estate, may be attached and may be subject to trustee process as set out in chapter 20
101	101	17 of this title in the same action in which the judgment has been entered. 21
102	102	10-5-7. Classes of property named in writ.Classes of property named in writ --22
103	103	Limitation on filing execution. 23
104	104	(a) Whenever a writ of attachment can be issued by any court, it may command the 24
105	105	attachment of: 25
106	106	(1) The the goods and chattels of the defendant; and his or her 26
107	107	(2) The defendant's real estate; provided that, no attachment shall be filed against a 27
108	108	defendant’s principal residence, for a judgment in any action where the plaintiff’s claim against the 28
109	109	defendant was based on medical debt. For the purpose of this section, “medical debt” shall have 29
110	110	the same meaning as defined in § 6-60-1; and 30
111	111	(3) The defendant's his or her personal estate in the hands or possession of any person, 31
112	112	copartnership or corporation, as his or her the trustee, except as provided in § 6A-7-602, and his or 32
113	113	her the stock or shares in any banking association or other incorporated company, and may be 33
114	114	varied so as to command the attachment of one or more of the classes of property of the defendant. 34
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118	118	(b) A violation of the prohibition provided in subsection (a)(2) of this section shall 1
119	119	constitute slander of title. 2
120	120	10-5-8. Garnishment of wages restricted to amounts not exempt — Child support to 3
121	121	have priority. 4
122	122	(a) Any writ of attachment, served as a writ of garnishment for the attachment of the 5
123	123	personal estate of the defendant in the hand and possession of any employer of the defendant, shall 6
124	124	be effective to attach so much only of such personal estate consisting of the salary or wages due 7
125	125	and payable to the defendant, or to become in the future due and payable to the defendant, as is in 8
126	126	excess of the amount of the defendant’s salary or wages exempt by law from attachment except, no 9
127	127	garnishment of salary or wages shall issue against a defendant for a judgment in all actions where 10
128	128	the plaintiff’s claim against the defendant was based on medical debt. For the purpose of this 11
129	129	section, “medical debt” shall have the same meaning as defined in § 6-60-1. And the The garnishee, 12
130	130	being the defendant’s employer, shall be required to make affidavit and shall be held liable for the 13
131	131	defendant’s personal estate consisting of the salary or wages due and payable to the defendant or 14
132	132	to become in the future due and payable to the defendant only in respect of the excess amount 15
133	133	exempt from attachment. Any writ of garnishment served under the provisions of this section shall 16
134	134	state the judgment amount, and the employer shall withhold sums not exempt by law until the 17
135	135	amount of withholding equals the amount of the judgment. The employer shall be entitled to the 18
136	136	sum of five dollars ($5.00), payable directly from the employee to the employer, for each writ of 19
137	137	garnishment served upon the employer regarding any employee. 20
138	138	(b) Subject to any federal or state law to the contrary, any garnishment of wages for child 21
139	139	support issued pursuant to § 15-5-25, and any wage assignment pursuant to § 15-5-24, or chapter 22
140	140	16 of title 15 shall take priority over any garnishment issued in accordance with this section. This 23
141	141	priority shall occur whether or not the garnishment or assignment pursuant to § 15-5-24 or 15-5-25 24
142	142	or chapter 16 of title 15 occurs before or after any garnishment pursuant to this section. In addition, 25
143	143	consistent with federal and state law, the state court system may develop a system for the collection 26
144	144	of court imposed or assessed fines, costs, fees or other assessments, including restitution, through 27
145	145	wage assignment procedures. 28
146	146	SECTION 4. This act shall take effect January 1, 2026. 29
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153	153	EXPLANATION
154	154	BY THE LEGISLATIVE COUNCIL
155	155	OF
156	156	A N A C T
157	157	RELATING TO COMMERCI AL LAW -- GENERAL REGULATORY P ROVISIONS --
158	158	DECEPTIVE TRADE PRACTICES
159	159	***
160	160	This act would prohibit credit bureau reporting of a consumer’s medical debt. This act 1
161	161	would further prohibit the filing of an execution and attachment against a consumer’s principal 2
162	162	residence for judgments based on medical debt. This act would further define medical debt as an 3
163	163	obligation of a consumer to pay an amount for the receipt of health care services, products, or 4
164	164	devices owed to a healthcare facility or a health care professional. 5
165	165	This act would take effect January 1, 2026. 6
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