Enrolled Copy S.B. 278
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State Debt Collection Amendments
2025 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Todd Weiler
House Sponsor: Doug Fiefia
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LONG TITLE
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General Description:
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This bill modifies provisions related to state debt collection.
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Highlighted Provisions:
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This bill:
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▸ modifies the duties of the Office of State Debt Collection (office);
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▸ allows the office to hold title to real property or dispose or acquire surplus property, if
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doing so is incidental to execution or collection proceedings;
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▸ provides that the Department of Health and Human Services may enforce certain rights to
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recovery against a decedent's estate regardless of any contrary provisions in the Utah
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Uniform Probate Code;
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▸ requires notice to the office when a person files an application or a petition for probate;
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▸ exempts proceedings to enforce or collect a criminal account receivable, civil judgment of
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restitution, or civil account receivable from certain time limitations in the Utah Uniform
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Probate Code;
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▸ addresses enforcement of a civil judgment of restitution or civil account receivable; and
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▸ makes technical and conforming changes.
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Money Appropriated in this Bill:
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None
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Other Special Clauses:
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None
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Utah Code Sections Affected:
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AMENDS:
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63A-2-409, as last amended by Laws of Utah 2015, Chapter 98
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63A-3-502, as last amended by Laws of Utah 2024, Chapter 398 S.B. 278 Enrolled Copy
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63A-3-507, as last amended by Laws of Utah 2024, Chapter 158
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75-3-104, as enacted by Laws of Utah 1975, Chapter 150
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75-3-104.5, as last amended by Laws of Utah 2023, Chapter 330
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75-3-803, as last amended by Laws of Utah 2023, Chapter 330
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75-3-812, as enacted by Laws of Utah 1975, Chapter 150
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78B-5-201, as last amended by Laws of Utah 2023, Chapter 401
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78B-5-202, as last amended by Laws of Utah 2023, Chapter 401
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Be it enacted by the Legislature of the state of Utah:
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Section 1. Section 63A-2-409 is amended to read:
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63A-2-409 . Disposal of certain surplus property.
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This part does not apply to:
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(1) disposition by:
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[(1)] (a) the legislative branch of surplus property that is information technology
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equipment, if the Legislative Management Committee, by rule, establishes its own
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policy for disposition, by the legislative branch, of surplus property that is
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information technology equipment; or
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[(2)] (b) the Department of Transportation of surplus personal property that was acquired
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as part of a transaction or legal action by the Department of Transportation acquiring
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real property for a state transportation purpose[.] ; or
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(2) the Office of State Debt Collection's disposition or acquisition of surplus property, if the
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disposition or acquisition is incidental to execution or collection proceedings.
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Section 2. Section 63A-3-502 is amended to read:
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63A-3-502 . Office of State Debt Collection created -- Duties.
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(1) The state and each state agency shall comply with:
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(a) the requirements of this chapter; and
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(b) any rules established by the Office of State Debt Collection.
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(2) There is created the Office of State Debt Collection in the Division of Finance.
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(3) The office shall:
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(a) have overall responsibility for collecting and managing state receivables;
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[(b) assist the Division of Finance to develop consistent policies governing the collection
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and management of state receivables;]
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[(c)] (b) oversee and monitor state receivables to ensure that state agencies are:
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(i) implementing all appropriate collection methods;
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(ii) following established receivables guidelines; and
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(iii) accounting for and reporting receivables in the appropriate manner;
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[(d)] (c) assist the Division of Finance to develop policies, procedures, and guidelines for
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accounting, reporting, and collecting money owed to the state;
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[(e) provide information, training, and technical assistance to each state agency on
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various collection-related topics;]
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[(f)] (d) write an inclusive receivables management and collection manual for use by
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each state agency;
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[(g)] (e) prepare quarterly and annual reports of the state's receivables;
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[(h)] (f) create or coordinate a state accounts receivable database;
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[(i) develop reasonable criteria to gauge state agencies' efforts in maintaining an
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effective accounts receivable program;]
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[(j) identify any state agency that is not making satisfactory progress toward
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implementing collection techniques and improving accounts receivable collections;]
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[(k) coordinate information, systems, and procedures between each state agency to
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maximize the collection of past-due accounts receivable;]
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[(l) establish an automated cash receipt process between each state agency;]
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[(m)] (g) assist the Division of Finance to establish procedures for writing off accounts
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receivable for accounting and collection purposes;
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[(n)] (h) establish standard time limits after which an agency will delegate responsibility
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to collect state receivables to the office or the office's designee;
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[(o)] (i) be a real party in interest for:
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(i) an account receivable referred to the office by any state agency; and
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(ii) a civil judgment of restitution entered on a civil judgment docket by a court;
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[(p)] (j) allocate money collected for a judgment entered on the civil judgment docket
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under Section 77-18-114 in accordance with Sections 51-9-402, 63A-3-506, and
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78A-5-110;
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[(q)] (k) if a criminal accounts receivable is transferred to the office under Subsection
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77-32b-103(2)(a)(ii), receive, process, and distribute payments for the criminal
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accounts receivable;
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[(r)] (l) provide a debtor online access to the debtor's accounts receivable or criminal
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accounts receivable in accordance with Section 63A-3-502.5;
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[(s)] (m) establish a written policy for each of the following:
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(i) the settling of an accounts receivable, including any amount of restitution owed to
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a victim in a civil judgment of restitution if the victim approves of the settlement;
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(ii) allowing a debtor to pay off a single debt as part of an accounts receivable even if
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the debtor has a balance on another debt as part of an accounts receivable or
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criminal accounts receivable;
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(iii) setting a payment deadline for settlement agreements and for obtaining an
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extension of a settlement agreement deadline; and
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(iv) reducing administrative costs when a settlement has been reached;
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[(t)] (n) consult with a state agency on whether:
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(i) the office may agree to a settlement for an amount that is less than the debtor's
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principal amount; and
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(ii) the state agency may retain authority to negotiate a settlement with a debtor; and
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[(u)] (o) provide the terms and conditions of any payment arrangement that the debtor
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has made with a state agency or the office when:
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(i) the payment arrangement is created; or
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(ii) the debtor requests a copy of the terms and conditions.
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(4) The office may:
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(a) recommend to the Legislature new laws to enhance collection of past-due accounts
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by state agencies;
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(b) collect accounts receivables for higher education entities, if the higher education
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entity agrees;
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(c) prepare a request for proposal for consulting services to:
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(i) analyze the state's receivable management and collection efforts; and
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(ii) identify improvements needed to further enhance the state's effectiveness in
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collecting the state's receivables;
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(d) contract with private or state agencies to collect past-due accounts;
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(e) perform other appropriate and cost-effective coordinating work directly related to
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collection of state receivables;
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(f) provide information, training, and technical assistance to each state agency on
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various collection-related topics;
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(g) prepare a written receivables management and collection policy and make the policy
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available for use by state agencies;
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(h) develop reasonable criteria to gauge state agencies' efforts in maintaining an
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effective accounts receivable program;
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(i) identify any state agency that is not making satisfactory progress toward
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implementing collection techniques and improving accounts receivable collections;
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(j) coordinate information, systems, and procedures for each state agency to maximize
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the collection of past-due accounts receivable;
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[(f)] (k) obtain access to records and databases of any state agency that are necessary to
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the duties of the office by following the procedures and requirements of Section
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63G-2-206, including the financial declaration form described in Section 77-38b-204;
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[(g)] (l) at rates authorized by the Legislature or set in statute, assess and collect the
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following interest and fees:
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(i) a fee to cover the administrative costs of collection on accounts administered by
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the office;
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(ii) a late penalty fee that may not be more than 10% of the account receivable on
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accounts administered by the office;
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(iii) an interest charge that is:
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(A) the postjudgment interest rate established by Section 15-1-4 in judgments
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established by the courts; or
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(B) not more than 2% above the prime rate as of July 1 of each fiscal year for
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accounts receivable for which no court judgment has been entered; and
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(iv) fees to collect accounts receivable for higher education;
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[(h)] (m) collect reasonable attorney fees and reasonable costs of collection that are
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related to the collection of receivables under this chapter;
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[(i) make rules that allow accounts receivable to be collected over a reasonable period of
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time and under certain conditions with credit cards;]
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[(j)] (n) for a case that is referred to the office or in which the office is a judgment
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creditor, file a motion or other document related to the office or the accounts
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receivable in that case, including a satisfaction of judgment, in accordance with the
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Utah Rules of Civil Procedure;
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[(k)] (o) ensure that judgments for which the office is the judgment creditor are renewed,
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as necessary;
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[(l)] (p) notwithstanding Section 63G-2-206, share records obtained under Subsection [
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(4)(f)] (4)(k) with private sector vendors under contract with the state to assist state
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agencies in collecting debts owed to the state agencies without changing the
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classification of any private, controlled, or protected record into a public record;
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[(m)] (q) enter into written agreements with other governmental agencies to obtain and
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share information for the purpose of collecting state accounts receivable;[ and]
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[(n)] (r) collect accounts receivable for a political subdivision of the state if the political
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subdivision enters into an agreement or contract with the office under Title 11,
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Chapter 13, Interlocal Cooperation Act, for the office to collect the political
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subdivision's accounts receivable[.] ; and
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(s) notwithstanding Section 63A-5b-303, hold title to real property if doing so is
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incidental to execution or collection proceedings.
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(5) The office shall ensure that:
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(a) a record obtained by the office or a private sector vendor under Subsection [(4)(l)]
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(4)(p):
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(i) is used only for the limited purpose of collecting accounts receivable; and
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(ii) is subject to federal, state, and local agency records restrictions; and
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(b) any individual employed by, or formerly employed by, the office or a private sector
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vendor as referred to in Subsection [(4)(l)] (4)(p) is subject to:
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(i) the same duty of confidentiality with respect to the record imposed by law on
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officers and employees of the state agency from which the record was obtained;
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and
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(ii) any civil or criminal penalties imposed by law for violations of lawful access to a
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private, controlled, or protected record.
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(6)(a) The office shall collect a civil accounts receivable or a civil judgment of
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restitution ordered by a court as a result of prosecution for a criminal offense that
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have been transferred to the office under Subsection 77-18-114(1) or (2).
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(b) The office may not assess:
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(i) the interest charge established by the office under Subsection (4) on an account
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receivable subject to the postjudgment interest rate established by Section 15-1-4;
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and
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(ii) an interest charge on a criminal accounts receivable that is transferred to the
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office under Subsection 77-32b-103(2)(a)(ii).
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(7) The office [shall] may require a state agency to:
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(a) transfer collection responsibilities to the office or the office's designee according to
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time limits established by the office;
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(b) make annual progress towards implementing collection techniques and improved
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accounts receivable collections;
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(c) use the state's accounts receivable system or develop systems that are adequate to
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properly account for and report the state's receivables;
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(d) develop and implement internal policies and procedures that comply with the
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collections policies and guidelines established by the office;
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(e) provide internal accounts receivable training to staff involved in the management and
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collection of receivables as a supplement to statewide training;
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(f) bill for and make initial collection efforts of the state agency's receivables up to the
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time the accounts must be transferred; and
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(g) submit quarterly receivable reports to the office that identify the age, collection
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status, and funding source of each receivable.
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(8) All interest, fees, and other amounts authorized to be collected by the office under
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Subsection [(4)(g)] (4)(l):
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(a) are penalties that may be charged by the office;
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(b) do not require an order from a court for the office to assess or collect;
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(c) are not compensation for actual pecuniary loss;
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(d) for a civil accounts receivable:
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(i) begin to accrue on the day on which the civil accounts receivable is entered on the
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civil judgment docket under Subsection 77-18-114(1) or (2); and
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(ii) may be collected as part of the civil accounts receivable;
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(e) for a civil judgment of restitution:
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(i) begin to accrue on the day on which the civil judgment of restitution is entered on
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the civil judgment docket under Subsection 77-18-114(1); and
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(ii) may be collected as part of the civil judgment of restitution;
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(f) for all other accounts receivable:
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(i) begin to accrue on the day on which the accounts receivable is transferred to the
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office, even if there is no court order on the day on which the accounts receivable
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is transferred; and
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(ii) may be collected as part of the accounts receivable; and
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(g) may be waived by:
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(i) the office; or
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(ii) if the interest, fee, or other amount is charged in error, the court.
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Section 3. Section 63A-3-507 is amended to read:
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63A-3-507 . Administrative garnishment order.
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(1) Subject to Subsection (2), if a judgment is entered against a debtor, the office may issue
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an administrative garnishment order against the debtor's personal property, including
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wages, in the possession of or under the control of a party other than the debtor in the
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same manner and with the same effect as if the order was a writ of garnishment issued
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by a court with jurisdiction.
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(2) The office may issue the administrative garnishment order if:
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(a) the order is signed by the director or the director's designee; and
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(b) the underlying debt is for:
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(i) nonpayment of a civil accounts receivable or a civil judgment of restitution; or
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(ii) nonpayment of a judgment, or abstract of judgment or award filed with a court,
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based on an administrative order for payment issued by an agency of the state.
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(3) An administrative garnishment order issued in accordance with this section is subject to
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the procedures and due process protections provided by Rule 64D, Utah Rules of Civil
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Procedure, except as provided by Section 70C-7-103.
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(4) An administrative garnishment order issued by the office shall:
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(a) contain a statement that includes:
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(i) if known:
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(A) the nature, location, account number, and estimated value of the property; and
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(B) the name, address, and phone number of the person holding the property;
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(ii) whether any of the property consists of earnings;
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(iii) the amount of the judgment and the amount due on the judgment; and
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(iv) the name, address, and phone number of any person known to the plaintiff to
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claim an interest in the property;
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(b) identify the defendant, including the defendant's name and last known address;
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(c) notify the defendant of the defendant's right to reply to answers and request a hearing
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as provided by Rule 64D, Utah Rules of Civil Procedure; and
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(d) state where the garnishee may deliver property.
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(5) The office may, in the office's discretion, include in an administrative garnishment order:
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(a) the last four digits of the defendant's Social Security number;
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(b) the last four digits of the defendant's driver license number;
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(c) the state in which the defendant's driver license was issued;
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(d) one or more interrogatories inquiring:
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(i) whether the garnishee is indebted to the defendant and, if so, the nature of the
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indebtedness;
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(ii) whether the garnishee possesses or controls any property of the defendant and, if
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so, the nature, location, and estimated value of the property;
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(iii) whether the garnishee knows of any property of the defendant in the possession
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or under the control of another and, if so:
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(A) the nature, location, and estimated value of the property; and
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(B) the name, address, and telephone number of the person who has possession or
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control of the property;
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(iv) whether the garnishee is deducting a liquidated amount in satisfaction of a claim
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against the plaintiff or the defendant, whether the claim is against the plaintiff or
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the defendant, and the amount deducted;
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(v) the date and manner of the garnishee's service of papers upon the defendant and
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any third party;
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(vi) the dates on which any previously served writs of continuing garnishment were
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served; and
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(vii) any other relevant information, including the defendant's position, rate of pay,
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method of compensation, pay period, and computation of the amount of the
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defendant's disposable earnings.
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(6)(a) A garnishee who acts in accordance with this section and the administrative
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garnishment issued by the office is released from liability unless an answer to an
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interrogatory is successfully controverted.
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(b) Except as provided in Subsection (6)(c), if the garnishee fails to comply with an
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administrative garnishment issued by the office without a court or final
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administrative order directing otherwise, the garnishee is liable to the office for an
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amount determined by the court.
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(c) The amount for which a garnishee is liable under Subsection (6)(b) includes:
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(i)(A) the value of the judgment; or
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(B) the value of the property, if the garnishee shows that the value of the property
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is less than the value of the judgment;
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(ii) reasonable costs; and
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(iii) attorney fees incurred by the parties as a result of the garnishee's failure.
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(d) If the garnishee shows that the steps taken to secure the property were reasonable,
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the court may excuse the garnishee's liability in whole or in part.
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(7)(a) If the office has reason to believe that a garnishee has failed to comply with the
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requirements of this section in the garnishee's response to a garnishment order issued
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under this section, the office may submit a motion to the court requesting the court to
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issue an order against the garnishee requiring the garnishee to appear and show cause
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why the garnishee should not be held liable under this section.
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(b) The office shall attach to a motion under Subsection (7)(a) a statement that the office
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has in good faith conferred or attempted to confer with the garnishee in an effort to
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settle the issue without court action.
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(8) A person is not liable as a garnishee for drawing, accepting, making, or endorsing a
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negotiable instrument if the instrument is not in the possession or control of the
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garnishee at the time of service of the administrative garnishment order.
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(9)(a) A person indebted to the defendant may pay to the office the amount of the debt
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or an amount to satisfy the administrative garnishment.
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(b) The office's receipt of an amount described in Subsection (9)(a) discharges the
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debtor for the amount paid.
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(10) A garnishee may deduct from the property any liquidated claim against the defendant
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that is due to the garnishee at the time of service.
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(11)(a) If a debt to the garnishee is secured by property, the office:
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(i) is not required to apply the property to the debt when the office issues the
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administrative garnishment order; and
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(ii) may obtain a court order authorizing the office to buy the debt and requiring the
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garnishee to deliver the property.
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(b) Notwithstanding Subsection (11)(a)(i):
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(i) the administrative garnishment order remains in effect; and
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(ii) the office may apply the property to the debt.
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(c) The office or a third party may perform an obligation of the defendant and require
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the garnishee to deliver the property upon completion of performance or, if
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performance is refused, upon tender of performance if:
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(i) the obligation is secured by property; and
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(ii)(A) the obligation does not require the personal performance of the defendant;
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and
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(B) a third party may perform the obligation.
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(12)(a) The office may issue a continuing garnishment order against a nonexempt
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periodic payment.
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(b) This section is subject to the Utah Exemptions Act.
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(c) A continuing garnishment order issued in accordance with this section applies to
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payments to, or for the benefit of, the defendant from the date of service upon the
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garnishee until the earliest of the following:
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(i) the last periodic payment;
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(ii) the judgment upon which the administrative garnishment order is issued is stayed,
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vacated, or satisfied in full; or
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(iii) the office releases the order.
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(d) No later than seven days after the last day of each payment period, the garnishee
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shall with respect to that period:
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(i) answer each interrogatory;
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(ii) serve an answer to each interrogatory on the office, the defendant, and any other
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person who has a recorded interest in the property; and
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(iii) deliver the property to the office.
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(e) If the office issues a continuing garnishment order during the term of a writ of
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continuing garnishment issued by a court, the order issued by the office:
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(i) is tolled when a writ of garnishment or other income withholding is already in
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effect and is withholding greater than or equal to the maximum portion of
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disposable earnings described in Subsection (13);
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(ii) is collected in the amount of the difference between the maximum portion of
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disposable earnings described in Subsection (13) and the amount being garnished
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by an existing writ of continuing garnishment if the maximum portion of
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disposable earnings exceed the existing writ of garnishment or other income
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withholding; and
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(iii) shall take priority upon the termination of the current term of existing writs.
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(13) The maximum portion of disposable earnings of an individual subject to seizure in
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accordance with this section is the lesser of:
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(a) 25% of the defendant's disposable earnings for any other judgment; or
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(b) the amount by which the defendant's disposable earnings for a pay period exceeds
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the number of weeks in that pay period multiplied by 30 times the federal minimum
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wage as provided in 29 U.S.C. Sec. 201 et seq., Fair Labor Standards Act of 1938.
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(14)(a) In accordance with the requirements of this Subsection (14), the office may, at its
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discretion, determine a dollar amount that a garnishee is to withhold from earnings
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and deliver to the office in a continuing administrative garnishment order issued
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under this section.
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(b) The office may determine the dollar amount that a garnishee is to withhold from
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earnings under Subsection (14)(a) if the dollar amount determined by the office:
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(i) does not exceed the maximum amount allowed under Subsection (13); and
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(ii) is based on:
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(A) earnings information received by the office directly from the Department of
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Workforce Services; or
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(B) previous garnishments issued to the garnishee by the office where payments
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were received at a consistent dollar amount.
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(c) The earnings information or previous garnishments relied on by the office under
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Subsection (14)(b)(ii) to calculate a dollar amount under this Subsection (14) shall be:
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(i) for one debtor;
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(ii) from the same employer;
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(iii) for two or more consecutive quarters; and
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(iv) received within the last six months.
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(15)(a) A garnishee who provides the calculation for withholdings on a defendant's
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wages in the garnishee's initial response to an interrogatory in an administrative
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garnishment order under this section is not required to provide the calculation for
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withholdings after the garnishee's initial response if:
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(i) the garnishee's accounting system automates the amount of defendant's wages to
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be paid under the garnishment; and
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(ii) the defendant's wages do not vary by more than five percent from the amount
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disclosed in the garnishee's initial response.
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(b) Notwithstanding Subsection (15)(a), upon request by the office or the defendant, a
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garnishee shall provide, for the last pay period or other pay period specified by the
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office or defendant, a calculation of the defendant's wages and withholdings and the
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amount garnished.
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(16)(a) A garnishee under an administrative garnishment order under this section is
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entitled to receive a garnishee fee, as provided in this Subsection (16), in the amount
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of:
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(i) $10 per garnishment order, for a noncontinuing garnishment order; and
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(ii) $25, as a one-time fee, for a continuing garnishment order.
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(b) A garnishee may deduct the amount of the garnishee fee from the amount to be
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remitted to the office under the administrative garnishment order, if the amount to be
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remitted exceeds the amount of the fee.
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(c) If the amount to be remitted to the office under an administrative garnishment order
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does not exceed the amount of the garnishee fee:
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(i) the garnishee shall notify the office that the amount to be remitted does not exceed
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the amount of the garnishee fee; and
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(ii)(A) the garnishee under a noncontinuing garnishment order shall return the
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administrative garnishment order to the office, and the office shall pay the
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garnishee the garnishee fee; or
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(B) the garnishee under a continuing garnishment order shall delay remitting to
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the office until the amount to be remitted exceeds the garnishee fee.
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(d) If, upon receiving the administrative garnishment order, the garnishee does not
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possess or control any property, including money or wages, in which the defendant
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has an interest:
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(i) the garnishee under a continuing or noncontinuing garnishment order shall, except
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as provided in Subsection (16)(d)(ii), return the administrative garnishment order
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to the office, and the office shall pay the garnishee the applicable garnishee fee; or
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(ii) if the garnishee under a continuing garnishment order believes that the garnishee
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will, within 90 days after issuance of the continuing garnishment order, come into
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possession or control of property in which the defendant owns an interest, the
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garnishee may retain the garnishment order and deduct the garnishee fee for a
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continuing garnishment once the amount to be remitted exceeds the garnishee fee.
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(17) Section 78A-2-216 does not apply to an administrative garnishment order issued under
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this section.
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(18) An administrative garnishment instituted in accordance with this section shall continue
421
to operate and require that a person withhold the nonexempt portion of earnings at each
422
succeeding earning disbursement interval until the total amount due in the garnishment
423
is withheld or the garnishment is released in writing by the court or office.
424
(19) If the office issues an administrative garnishment order under this section to collect an
425
amount owed on a civil accounts receivable or a civil judgment of restitution, the
426
administrative garnishment order shall be construed as a continuation of the criminal
427
action for which the civil accounts receivable or civil judgment of restitution arises if the
428
amount owed is from a fine, fee, or restitution for the criminal action.
429
Section 4. Section 75-3-104 is amended to read:
430
75-3-104 . Claims against decedent -- Necessity of administration -- Exclusions.
431
(1)(a) No proceeding to enforce a claim against the estate of a decedent or his
432
successors may be revived or commenced before the appointment of a personal
433
representative.
434
(b) After the appointment and until distribution, all proceedings and actions to enforce a
435
claim against the estate are governed by the procedure prescribed by this Chapter 3,
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Probate of Wills and Administration.
437
(2) After distribution a creditor whose claim has not been barred may recover from the
438
distributees as provided in Section 75-3-1004 or from a former personal representative
439
individually liable as provided in Section 75-3-1005.
440
(3) This section has no application to a proceeding by a secured creditor of the decedent to
441
enforce his right to his security except as to any deficiency judgment which might be
442
sought therein.
443
(4)(a) For purposes of this chapter, a lien or right to recover described in Section
444
26B-3-1013 is not a claim.
445
(b) Nothing in this chapter limits the Department of Health and Human Services' right to
446
recovery under Section 26B-3-1013.
447
Section 5. Section 75-3-104.5 is amended to read:
448
75-3-104.5 . Notice to state agencies.
449
Within 30 days after the day on which a person files an application or a petition for
450
probate under this chapter[ for a decedent who was at least 55 years old, the court shall] , the
451
court shall:
452
(1) if the decedent was at least 18 years old, provide notice of the application or petition to
453
the Office of State Debt Collection created in Section 63A-3-502; and
454
(2) if the decedent was at least 55 years old, provide notice of the application or petition to
455
the Office of Recovery Services created in Section 26B-9-103 for purposes of
456
presentation or enforcement of a lien or claim under Section 26B-3-1013.
457
Section 6. Section 75-3-803 is amended to read:
458
75-3-803 . Limitations on presentation of claims.
459
(1) All claims against a decedent's estate which arose before the death of the decedent,
460
including claims of the state and any subdivision of it, whether due or to become due,
461
absolute or contingent, liquidated or unliquidated, founded on contract, tort, or other
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legal basis, if not barred earlier by other statute of limitations, are barred against the
463
estate, the personal representative, and the heirs and devisees of the decedent, unless
464
presented within the earlier of the following dates:
465
(a) one year after the decedent's death; or
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(b) within the time provided by Subsection 75-3-801(2) for creditors who are given
467
actual notice, and where notice is published, within the time provided in Subsection
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75-3-801(1) for all claims barred by publication.
469
(2) In all events, claims barred by the nonclaim statute at the decedent's domicile are also
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barred in this state.
471
(3) All claims against a decedent's estate which arise at or after the death of the decedent,
472
including claims of the state and any of its subdivisions, whether due or to become due,
473
absolute or contingent, liquidated or unliquidated, founded on contract, tort, or other
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legal basis are barred against the estate, the personal representative, and the heirs and
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devisees of the decedent, unless presented as follows:
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(a) a claim based on a contract with the personal representative within three months after
477
performance by the personal representative is due; or
478
(b) any other claim within the later of three months after it arises, or the time specified in
479
Subsection (1)(a).
480
(4) Nothing in this section affects or prevents:
481
(a) any proceeding to enforce any mortgage, pledge, or other lien upon property of the
482
estate;
483
(b) to the limits of the insurance protection only, any proceeding to establish liability of
484
the decedent or the personal representative for which the decedent or the personal
485
representative is protected by liability insurance;
486
(c) collection of compensation for services rendered and reimbursement for expenses
487
advanced by the personal representative or by the attorney or accountant for the
488
personal representative of the estate;[ or]
489
(d) medical assistance recovery under [Title 26B, Chapter 3, Part 10, Medical Benefits
490
Recovery.] Title 26B, Chapter 3, Part 10, Medical Benefits Recovery; or
491
(e) any proceeding to enforce or collect a criminal account receivable, civil judgment of
492
restitution, or civil account receivable, as those terms are defined in Section
493
77-32b-102.
494
(5) If a personal representative has not been timely appointed in accordance with this
495
chapter, one may be appointed for the limited purposes of Subsection (4)(b) for any
496
claim timely brought against the decedent.
497
Section 7. Section 75-3-812 is amended to read:
498
75-3-812 . Execution and levies prohibited.
499
(1) [ No] Except as provided in Subsection (2), no execution may issue upon nor may any
500
levy be made against any property of the estate under any judgment against a decedent
501
or a personal representative[, but this section shall not be construed to] .
502
(2) This section does not prevent:
503
(a) the enforcement of mortgages, pledges, or liens upon real or personal property in an
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504
appropriate proceeding[.] ; or
505
(b) the collection of a criminal account receivable, civil judgment of restitution, or civil
506
account receivable, as those terms are defined in Section 77-32b-102.
507
Section 8. Section 78B-5-201 is amended to read:
508
78B-5-201 . Definitions -- Judgment recorded in Registry of Judgments.
509
(1) As used in this part[,] :
510
(a) "Judgment" includes a civil judgment of restitution or a civil account receivable, as
511
those terms are defined in Section 77-32b-102.
512
(b) "Registry of Judgments" means the index where a judgment is filed and searchable
513
by the name of the judgment debtor through electronic means or by tangible
514
document.
515
(2) On or after July 1, 1997, a judgment entered by a court of this state does not create a
516
lien upon or affect the title to real property unless the judgment is filed in the Registry of
517
Judgments of the office of the clerk of the district court of the county in which the
518
property is located.
519
(3)(a) On or after July 1, 2002, except as provided in Subsection (3)(b), a judgment
520
entered by a court of this state does not create a lien upon or affect the title to real
521
property unless the judgment or an abstract of judgment is recorded in the office of
522
the county recorder in which the real property of the judgment debtor is located.
523
(b) State agencies are exempt from the recording requirement of Subsection (3)(a).
524
(4) In addition to the requirements of Subsections (2) and (3)(a), any judgment that is filed
525
in the Registry of Judgments on or after September 1, 1998, or any judgment or abstract
526
of judgment that is recorded in the office of a county recorder after July 1, 2002, shall
527
include:
528
(a) the information identifying the judgment debtor as required under Subsection (4)(b)
529
on the judgment or abstract of judgment; or
530
(b) a copy of the separate information statement of the judgment creditor that contains:
531
(i) the correct name and last-known address of each judgment debtor and the address
532
at which each judgment debtor received service of process;
533
(ii) the name and address of the judgment creditor;
534
(iii) the amount of the judgment as filed in the Registry of Judgments;
535
(iv) if known, the judgment debtor's Social Security number, date of birth, and
536
driver's license number if a natural person; and
537
(v) whether or not a stay of enforcement has been ordered by the court and the date
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538
the stay expires.
539
(5) For the information required in Subsection (4), the judgment creditor shall:
540
(a) provide the information on the separate information statement if known or available
541
to the judgment creditor from its records, its attorney's records, or the court records in
542
the action in which the judgment was entered; or
543
(b) state on the separate information statement that the information is unknown or
544
unavailable.
545
(6)(a) Any judgment that requires payment of money and is entered by a court of this
546
state on or after September 1, 1998, or any judgment or abstract of judgment
547
recorded in the office of a county recorder after July 1, 2002, that does not include
548
the debtor identifying information as required in Subsection (4) is not a lien until a
549
separate information statement of the judgment creditor is recorded in the office of a
550
county recorder in compliance with Subsections (4) and (5).
551
(b) The separate information statement of the judgment creditor referred to in Subsection
552
(6)(a) shall include:
553
(i) the name of any judgment creditor, debtor, assignor, or assignee;
554
(ii) the date on which the judgment was recorded in the office of the county recorder
555
as described in Subsection (4); and
556
(iii) the county recorder's entry number and book and page of the recorded judgment.
557
(7) A judgment that requires payment of money recorded on or after September 1, 1998, but
558
prior to July 1, 2002, has as its priority the date of entry, except as to parties with actual
559
or constructive knowledge of the judgment.
560
(8) A judgment or notice of judgment wrongfully filed against real property is subject to
561
Title 38, Chapter 9, Wrongful Lien Act.
562
(9)(a) To release, assign, renew, or extend a lien created by a judgment recorded in the
563
office of a county recorder, a person shall, in the office of the county recorder of each
564
county in which an instrument creating the lien is recorded, record a document
565
releasing, assigning, renewing, or extending the lien.
566
(b) The document described in Subsection (9)(a) shall include:
567
(i) the date of the release, assignment, renewal, or extension;
568
(ii) the name of any judgment creditor, debtor, assignor, or assignee; and
569
(iii) for the county in which the document is recorded in accordance with Subsection
570
(9)(a):
571
(A) the date on which the instrument creating the lien was recorded in that
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572
county's office of the county recorder; and
573
(B) in accordance with Section 57-3-106, that county recorder's entry number and
574
book and page of the recorded instrument creating the judgment lien.
575
Section 9. Section 78B-5-202 is amended to read:
576
78B-5-202 . Duration of judgment -- Judgment as a lien upon real property --
577
Abstract of judgment -- Small claims judgment not a lien -- Appeal of judgment -- Child
578
support orders.
579
(1) Judgments shall continue for eight years from the date of entry in a court unless
580
previously satisfied or unless enforcement of the judgment is stayed in accordance with
581
law.
582
(2) Prior to July 1, 1997, except as limited by Subsections (4) and (5), the entry of judgment
583
by a district court creates a lien upon the real property of the judgment debtor, not
584
exempt from execution, owned or acquired during the existence of the judgment, located
585
in the county in which the judgment is entered.
586
(3) An abstract of judgment issued by the court in which the judgment is entered may be
587
filed in any court of this state and shall have the same force and effect as a judgment
588
entered in that court.
589
(4) Prior to July 1, 1997, and after May 15, 1998, a judgment entered in a small claims
590
action may not qualify as a lien upon real property unless abstracted to the district court
591
and recorded in accordance with Subsection (3).
592
(5)(a) If any judgment is appealed, upon deposit with the court where the notice of
593
appeal is filed of cash or other security in a form and amount considered sufficient by
594
the court that rendered the judgment to secure the full amount of the judgment,
595
together with ongoing interest and any other anticipated damages or costs, including
596
attorney fees and costs on appeal, the lien created by the judgment shall be
597
terminated as provided in Subsection (5)(b).
598
(b) Upon the deposit of sufficient security as provided in Subsection (5)(a), the court
599
shall enter an order terminating the lien created by the judgment and granting the
600
judgment creditor a perfected lien in the deposited security as of the date of the
601
original judgment.
602
(6)(a) A child support order, including an order or judgment for guardian ad litem
603
attorney fees and costs, or a sum certain judgment for past due support may be
604
enforced:
605
(i) within four years after the date the youngest child reaches majority; or
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606
(ii) eight years from the date of entry of the sum certain judgment entered by a
607
tribunal.
608
(b) The longer period of duration shall apply in every order.
609
(c) A sum certain judgment may be renewed to extend the duration.
610
(7)(a) After July 1, 2002, a judgment entered by a district court, a justice court, or the
611
Business and Chancery Court, becomes a lien upon real property if:
612
(i) the judgment or an abstract of the judgment containing the information identifying
613
the judgment debtor as described in Subsection 78B-5-201(4)(b) is recorded in the
614
office of the county recorder; or
615
(ii) the judgment or an abstract of the judgment and a separate information statement
616
of the judgment creditor as described in Subsection 78B-5-201(5) is recorded in
617
the office of the county recorder.
618
(b) The judgment shall run from the date of entry by the court.
619
(c) The real property subject to the lien includes all the real property of the judgment
620
debtor:
621
(i) in the county in which the recording under Subsection (7)(a)(i) or (ii) occurs; and
622
(ii) owned or acquired at any time by the judgment debtor during the time the
623
judgment is effective.
624
(d) If the judgment that gives rise to a lien described in Subsection (7)(a) is a judgment
625
in favor of a state agency, the real property subject to the lien includes all real
626
property of the judgment debtor in the state.
627
[(d)] (e) State agencies are exempt from the recording requirement of Subsection (7)(a).
628
(8)(a) A judgment referred to in Subsection (7) shall be entered under the name of the
629
judgment debtor in the judgment index in the office of the county recorder as
630
required in Section 17-21-6.
631
(b) A judgment containing a legal description shall also be abstracted in the appropriate
632
tract index in the office of the county recorder.
633
(9)(a) To release, assign, renew, or extend a lien created by a judgment recorded in the
634
office of a county recorder, a person shall, in the office of the county recorder of each
635
county in which an instrument creating the lien is recorded, record a document
636
releasing, assigning, renewing, or extending the lien.
637
(b) The document described in Subsection (9)(a) shall include:
638
(i) the date of the release, assignment, renewal, or extension;
639
(ii) the name of any judgment creditor, debtor, assignor, or assignee; and
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640
(iii) for the county in which the document is recorded in accordance with Subsection
641
(9)(a):
642
(A) the date on which the instrument creating the lien was recorded in that
643
county's office of the county recorder; and
644
(B) in accordance with Section 57-3-106, that county recorder's entry number and
645
book and page of the recorded instrument creating the judgment lien.
646
Section 10. Effective Date.
647
This bill takes effect on May 7, 2025.
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