Bill Summary for H 30 (2011-2012)

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Summary date: 

Apr 14 2011

Bill Information:

View NCGA Bill Details2011-2012 Session
House Bill 30 (Public) Filed Wednesday, February 2, 2011
Intro. by Moore.

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Bill summary

House committee substitute makes the following changes to 1st edition.
Deletes all provisions of previous edition and instead enacts new GS 75-16.3 to set forth the procedure for wage garnishment. Allows any judgment creditor, awarded a judgment that the debtor knowingly and willfully committed unfair or deceptive acts or practices, to move for a garnishment order of the judgment debtor's disposable earnings after attempting execution of an unsatisfied judgment, provided two specified conditions are met. Defines judgment creditor, judgment debtor, earnings, disposable earnings, and garnishee. Requires the motion to be in writing and describe the grounds for requesting garnishment, the amount alleged to be unpaid, and the debtor's source of earnings. Requires a notice of hearing be served on the debtor at least 10 days before the hearing that includes four detailed items. Sets a filing fee of $20, and details the hearing requirements and order of garnishment components. Sets limitations on the amount subject to garnishment. Provides that the amount garnished will be increased by a $5 processing fee, assessed and retained by the garnishee for each payment under the order. Continues the garnishment order until the underlying judgment is satisfied, the debtor ends employment by the employer or is reemployed within 90 days after, or the ten-year statute of limitation expires. Provides for the priority of garnishment orders and the application of payments received. Directs the creditor to deliver a written notice of satisfaction to the garnishee within five days of satisfaction, and notify the clerk in writing within 30 days. Sets out procedure for improper garnishment. Applies to civil actions filed on or after October 1, 2011.