The bill amends various sections of Minnesota Statutes to update garnishment procedures, particularly focusing on the notice requirements and forms used in the garnishment process. A significant change is the introduction of a new earnings exemption notice that must be served to the judgment debtor at least ten days before a writ of execution is issued to their employer. This notice includes clearer language about potential levies on earnings, available exemptions, and the process for claiming those exemptions. Additionally, the bill modifies the execution earnings disclosure form and worksheet that employers must complete, clarifying definitions of "earnings" and "disposable earnings," and outlining employer responsibilities in providing information about the debtor's earnings.

Furthermore, the bill enhances protections for debtors by revising the language in various forms, including the "Non-Earnings Disclosure" and "Exemption Form," to ensure clarity regarding rights and the exemption claiming process. It introduces new asset protections, such as capping equity in a home at $510,000 and specifying value limits for personal items like clothing and musical instruments. The bill also establishes a new effective date for certain provisions and mandates that updated forms be available on the state court website by June 1, 2025. Overall, these amendments aim to streamline the garnishment process, enhance transparency, and protect the rights of debtors while ensuring compliance from creditors and employers.

Statutes affected:
Introduction: 550.136, 550.143, 551.05, 551.06, 571.72, 571.74, 571.75, 571.912, 571.914, 571.925, 571.931, 571.932
1st Engrossment: 550.136, 550.143, 551.05, 551.06, 571.72, 571.74, 571.75, 571.912, 571.914, 571.925, 571.931, 571.932
2nd Engrossment: 550.136, 550.143, 551.05, 551.06, 571.72, 571.74, 571.75, 571.912, 571.914, 571.925, 571.931, 571.932