NY State Senate Bill 2019-S8441A

Senate Bill S8441A

2019-2020 Legislative Session

Prohibits the issuance and enforcement of certain money judgments, the accumulation of interest on certain money judgments and the entry of certain default judgments during the COVID-19 state emergency

download bill text pdf

Archive: Last Bill Status - In Senate Committee Judiciary Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jun 22, 2020	print number 8441a
Jun 22, 2020	amend (t) and recommit to judiciary
Jun 03, 2020	referred to judiciary

Bill Amendments

Original

A (Active)

2019-S8441 - Details

See Assembly Version of this Bill:: A11054
Current Committee:: Senate Judiciary
Law Section:: Civil Practice
Laws Affected:: Amd §5205, CPLR
Versions Introduced in 2021-2022 Legislative Session:: S467, A5738

2019-S8441 - Summary

Prohibits the issuance and enforcement of certain money judgments against a natural person, the accumulation of interest on certain money judgments against a natural person, and the entry of certain default judgments during the period of the COVID-19 state disaster emergency; and provides for the repeal of such provisions upon the expiration thereof.

2019-S8441 - Sponsor Memo

                                
 
BILL NUMBER: S8441

SPONSOR: HOYLMAN
 
TITLE OF BILL:

An act to prohibit the issuance and enforcement of certain money judg-
ments against a natural person, the accumulation of interest on certain
money judgments against a natural person, and the entry of certain
default judgments during the period of the COVID-19 state disaster emer-
gency; and provides for the repeal of such provisions upon expiration
thereof

 
PURPOSE OR GENERAL IDEA OF BILL:

To provide New Yorkers with debt relief for the duration of the COVID-19
state of emergency by pausing the issuance and enforcement of money
judgments, the accrual of interest on money judgments, and the entry of
default judgments.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1 establishes that no court shall issue, and no sheriff or
marshal shall enforce, a money judgment against a natural person, with
limited exception: where the judgment is for child support, spousal
support, maintenance or alimony, or where the court allows judgment
enforcement upon an emergency application.

Section 2 establishes that no interest shall accumulate on money judg-
ments against natural persons.

Section 3 establishes that no failure to comply with payment obligations
by a natural person on a stipulation of settlement shall be deemed a
failure to comply with the stipulation that could serve as a basis for
entry of a default judgment.

Section 4 sets the effective date.

 
JUSTIFICATION:

The devastating economic impact that the COVID-19 pandemic has already
had on New Yorkers has disproportionately fallen on low- and middle-in-
come New Yorkers who are experiencing virtually unprecedented rates of
job loss and lost wages. Unfortunately, these impacts threaten to
persist long after the state of emergency has been lifted. At a time
when families across the State are struggling to afford their rent,
healthcare, food and other basic necessities, they deserve relief from
continued debt collection and money judgment enforcement.

This legislation would provide New Yorkers with that relief by placing a
moratorium on the enforcement and issuance of most money judgments,
tolling the accumulation of interest on existing money judgments, and
suspending the entry of new default judgments for the duration of the
COVID-19 state of emergency and an additional 30 day grace period.

 
PRIOR LEGISLATIVE HISTORY:

This is a new bill.

 
FISCAL IMPLICATIONS:
To be determined.

 
EFFECTIVE DATE:
This act shall take effect immediately and shall expire and be deemed
repealed thirty days following the end of the state disaster emergency
declared by executive order 202 of 2020, as amended.

2019-S8441 - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8441
 
                             I N  S E N A T E
 
                               June 3, 2020
                                ___________
 
 Introduced  by  Sen. HOYLMAN -- read twice and ordered printed, and when
   printed to be committed to the Committee on Judiciary
 
 AN ACT to prohibit the issuance and enforcement of certain  money  judg-
   ments  against  a  natural  person,  the  accumulation  of interest on
   certain money judgments against a natural person,  and  the  entry  of
   certain  default  judgments  during  the  period of the COVID-19 state
   disaster emergency; and provides for the  repeal  of  such  provisions
   upon expiration thereof
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Notwithstanding the  provisions  of  sections  5222,  5230,
 5232,  and  5233  of  the  civil  practice  law  and  rules or any other
 provision of law to the contrary, no court shall issue, and  no  sheriff
 or  marshal  shall  enforce,  a money judgment against a natural person,
 except where the judgment is for child support, spousal support, mainte-
 nance, or alimony, or where the court has, in  its  discretion,  allowed
 judgment enforcement upon a judgment credit's emergency application.
   § 2. Notwithstanding the provisions of section 5004 of the civil prac-
 tice  law  and  rules and any other provision of law to the contrary, no
 interest shall accumulate on money judgments against natural persons.
   § 3. Notwithstanding the provisions of section 3215 of the civil prac-
 tice law and rules and any other provision of law to the contrary, where
 the defendant is a natural person, no failure  to  comply  with  payment
 obligations on a stipulation of settlement made after commencement of an
 action  shall  be  deemed  a failure to comply with the stipulation that
 could serve as a basis for entry of a default judgment.
   § 4. This act shall take effect immediately and shall  expire  and  be
 deemed  repealed  thirty  days  following  the end of the state disaster
 emergency declared by executive order 202 of 2020, as amended.
 
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD16481-01-0

2019-S8441A (ACTIVE) - Details

See Assembly Version of this Bill:: A11054
Current Committee:: Senate Judiciary
Law Section:: Civil Practice
Laws Affected:: Amd §5205, CPLR
Versions Introduced in 2021-2022 Legislative Session:: S467, A5738

2019-S8441A (ACTIVE) - Summary

2019-S8441A (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S8441a

SPONSOR: HOYLMAN
 
TITLE OF BILL:

An act to amend the civil practice law and rules, in relation to
personal property exemptions; and to prohibit the issuance and enforce-
ment of certain money judgments against a natural person, the accumu-
lation of interest on certain money judgments against a natural person,
and the entry of certain default judgments during the period of the
COVID-19 state disaster emergency; and provides for the repeal of
certain provisions upon expiration thereof

 
PURPOSE OR GENERAL IDEA OF BILL:

To provide New Yorkers with debt relief for the duration of the COVID-19
state of emergency by pausing the issuance and enforcement of money
judgments, the accrual of interest on money judgments, and the entry of
default judgments.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1 establishes that no court shall issue, and no judgment credi-
tor or their agent, sheriff or marshal shall enforce, a money judgment
against a natural person, with limited exception: where the judgment is
for child support, spousal support, maintenance or alimony, or where the
court allows judgment enforcement upon an emergency application.

Section 2 establishes that no interest shall accumulate on money judg-
ments against natural persons.

Section 3 establishes that no failure to comply with payment obligations
by a natural person on a stipulation of settlement shall be deemed a
failure to comply with the stipulation that could serve as a basis for
entry of a default judgment.

Section 4 makes 100% of any federal, state or local government financial
assistance made available in response to a public emergency exempt from
application to the satisfaction of a money judgment.

Section 5 sets the effective date.

 
JUSTIFICATION:

The devastating economic impact that the COVID-19 pandemic has already
had on New Yorkers has disproportionately fallen on low- and middle-in-
come New Yorkers who are experiencing virtually unprecedented rates of
job loss and lost wages. Unfortunately, these impacts threaten to
persist long after the state of emergency has been lifted. At a time
when families across the State are struggling to afford their rent,
healthcare, food and other basic necessities, they deserve relief from
continued debt collection and money judgment enforcement.

This legislation would provide New Yorkers with that relief by placing a
moratorium on the enforcement and issuance of most money judgments,
tolling the accumulation of interest on existing money judgments,
suspending the entry of new default judgments for the duration of the
COVID-19 state of emergency and an additional 30 day grace period, and
protecting stimulus funds from being seized by creditors.
 
PRIOR LEGISLATIVE HISTORY:

This is a new bill.

 
FISCAL IMPLICATIONS:

To be determined.

 
EFFECTIVE DATE:
This act shall take effect immediately and shall expire and be deemed
repealed thirty days following the end of the state disaster emergency
declared by executive order 202 of 2020, as amended.

2019-S8441A (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  8441--A
 
                             I N  S E N A T E
 
                               June 3, 2020
                                ___________
 
 Introduced  by  Sen. HOYLMAN -- read twice and ordered printed, and when
   printed to be committed to the Committee  on  Judiciary  --  committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee
 
 AN  ACT  to  amend  the  civil  practice  law  and rules, in relation to
   personal  property  exemptions;  and  to  prohibit  the  issuance  and
   enforcement  of  certain money judgments against a natural person, the
   accumulation of interest on certain money judgments against a  natural
   person,  and  the entry of certain default judgments during the period
   of the COVID-19 state disaster emergency; and provides for the  repeal
   of certain provisions upon expiration thereof
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Notwithstanding the  provisions  of  sections  5222,  5230,
 5232,  and  5233  of  the  civil  practice  law  and  rules or any other
 provision of law to the contrary, no court shall issue, and no  judgment
 creditor, sheriff, marshal or other agent of the judgment creditor shall
 enforce,  a  money  judgment  against a natural person, except where the
 judgment is for child support, spousal support, maintenance, or alimony,
 or where the court has, in its discretion, allowed judgment  enforcement
 upon a judgment creditor's emergency application.
   § 2. Notwithstanding the provisions of section 5004 of the civil prac-
 tice  law  and  rules and any other provision of law to the contrary, no
 interest shall accumulate on money judgments against natural persons.
   § 3. Notwithstanding the provisions of section 3215 of the civil prac-
 tice law and rules and any other provision of law to the contrary, where
 the defendant is a natural person, no failure  to  comply  with  payment
 obligations on a stipulation of settlement made after commencement of an
 action  shall  be  deemed  a failure to comply with the stipulation that
 could serve as a basis for entry of a default judgment.
   § 4. Section 5205 of the civil practice law and rules  is  amended  by
 adding a new subdivision (p) to read as follows:
   (P)  ONE  HUNDRED  PERCENT  OF ANY FEDERAL, STATE, OR LOCAL GOVERNMENT
 FINANCIAL ASSISTANCE MADE AVAILABLE TO INDIVIDUALS IN  EXPRESS  RESPONSE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

                       [ ] is old law to be omitted.
                                                            LBD16481-02-0

 S. 8441--A                          2
 
 TO  A  DISASTER,  CATASTROPHE,  PUBLIC  HEALTH CRISIS, OR SIMILAR PUBLIC
 EMERGENCY ARE EXEMPT FROM APPLICATION TO THE  SATISFACTION  OF  A  MONEY
 JUDGMENT.  SUCH  FINANCIAL  ASSISTANCE  INCLUDES  BUT  IS NOT LIMITED TO
 MONIES MADE AVAILABLE UNDER SECTION 2201 OF THE FEDERAL CORONAVIRUS AID,
 RELIEF,  AND ECONOMIC SECURITY ACT OF 2020 AND ANY OTHER FEDERAL, STATE,
 OR LOCAL GOVERNMENT FINANCIAL ASSISTANCE MADE AVAILABLE  TO  INDIVIDUALS
 IN EXPRESS RESPONSE TO THE COVID-19 PANDEMIC.
   §  5.  This  act shall take effect immediately; provided that sections
 one, two and three of this act shall expire and be deemed repealed thir-
 ty days following the end of the state disaster  emergency  declared  by
 executive order 202 of 2020, as amended.

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