Texas 2021 - 87th Regular

Texas Senate Bill SB644 Compare Versions

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

Old	New	Differences
1	1	By: Zaffirini S.B. No. 644
2	2
3	3
4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to the exemption of certain personal property from
7	7	garnishment, attachment, execution, or other seizure by creditors.
8	8	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	9	SECTION 1. Section 42.001, Property Code, is amended by
10	10	amending Subsection (b) and adding Subsection (f) to read as
11	11	follows:
12	12	(b) The following personal property is exempt from seizure
13	13	and is not included in the aggregate limitations prescribed by
14	14	Subsection (a):
15	15	(1) current wages for personal services, except for
16	16	the enforcement of court-ordered child support payments;
17	17	(2) professionally prescribed health aids of a debtor
18	18	or a dependent of a debtor;
19	19	(3) alimony, support, or separate maintenance
20	20	received or to be received by the debtor for the support of the
21	21	debtor or a dependent of the debtor; [and]
22	22	(4) a religious bible or other book containing sacred
23	23	writings of a religion that is seized by a creditor other than a
24	24	lessor of real property who is exercising the lessor's contractual
25	25	or statutory right to seize personal property after a tenant
26	26	breaches a lease agreement for or abandons the real property; and
27	27	(5) a total amount on deposit in one or more accounts
28	28	equal to the monthly equivalent of 250% of the federal poverty
29	29	guidelines for a family of four, except for the enforcement of
30	30	court-ordered alimony, child support, or spousal maintenance
31	31	payments.
32	32	(f) Notwithstanding any other law, a judgment debtor is not
33	33	required to assert an exemption from seizure before accessing the
34	34	amount described by Subsection (b)(5).
35	35	SECTION 2. Subchapter A, Chapter 22, Government Code, is
36	36	amended by adding Section 22.0042 to read as follows:
37	37	Sec. 22.0042. RULES REGARDING EXEMPTIONS FROM SEIZURE OF
38	38	PROPERTY; FORM. (a) The supreme court shall adopt rules that:
39	39	(1) establish a simple and expedited procedure for a
40	40	judgment debtor to assert an exemption to the seizure of personal
41	41	property by a judgment creditor or a turnover receiver;
42	42	(2) require a court to stay a proceeding, for a
43	43	reasonable period, to allow for the assertion of an exemption under
44	44	Subdivision (1); and
45	45	(3) if a judgment debtor timely asserts an exemption
46	46	under Subdivision (1), require a court to promptly set a hearing and
47	47	stay proceedings until a hearing is held.
48	48	(b) Rules adopted under this section shall require the
49	49	provision of a notice in plain language to a judgment debtor
50	50	regarding the right to assert one or more exemptions under
51	51	Subsection (a)(1). The notice must:
52	52	(1) be provided to the judgment debtor not later than
53	53	the third day after the date that an account owned by the judgment
54	54	debtor is seized by the judgment creditor;
55	55	(2) be in English with an integrated Spanish
56	56	translation that can be readily understood by the public and the
57	57	court;
58	58	(3) include the form promulgated under Subsection (c);
59	59	(4) list all exemptions under state and federal law to
60	60	the seizure of personal property; and
61	61	(5) provide information for accessing free or low-cost
62	62	legal assistance.
63	63	(c) Rules adopted under this section shall include the
64	64	promulgation of a form in plain language for asserting an exemption
65	65	under Subsection (a)(1). A form promulgated under this subsection
66	66	must:
67	67	(1) be in English with an integrated Spanish
68	68	translation that can be readily understood by the public and the
69	69	court; and
70	70	(2) include instructions for the use of the form.
71	71	(d) A court shall accept a form promulgated under Subsection
72	72	(c) unless the form has been completed in a manner that causes a
73	73	substantive defect that cannot be cured.
74	74	SECTION 3. Section 31.002, Civil Practices and Remedies
75	75	Code is amended by adding Subsection (i) to read as follows:
76	76	(i) For collection of judgments on consumer debt, as defined
77	77	by Texas Finance Code Section 392.001(2), a court order under this
78	78	section must exempt a total amount on deposit in one or more
79	79	accounts equal to the monthly equivalent of 250% of the federal
80	80	poverty guidelines for a family of four from freezing and turnover.
81	81	This subsection does not apply to the enforcement of court-ordered
82	82	alimony, child support, or spousal maintenance payments.
83	83	SECTION 4. Chapter 63, Civil Practices and Remedies Code,
84	84	is amended by adding Section 63.009 to read as follows:
85	85	Sec. 63.009 EXEMPTION FOR BASIC NEEDS. For collection of
86	86	judgments on consumer debt, as defined by Texas Finance Code
87	87	Section 392.001(2), a total amount on deposit in one or more
88	88	accounts equal to the monthly equivalent of 250% of the federal
89	89	poverty guidelines for a family of four is exempt and shall not be
90	90	frozen or turned over. A writ of garnishment issued under this
91	91	chapter to collect a consumer debt must instruct the garnishee to
92	92	exempt this total amount. This section does not apply to the
93	93	enforcement of court-ordered alimony, child support, or spousal
94	94	maintenance payments.
95	95	SECTION 5. Not later than May 1, 2022, the Supreme Court of
96	96	Texas shall adopt rules and promulgate forms under Section 22.0042,
97	97	Government Code, as added by this Act.
98	98	SECTION 6. This Act takes effect September 1, 2021.