Bill Text: CA AB233 | 2013-2014 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Wage garnishment: restrictions: student loans.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Engrossed - Dead) 2014-08-28 - Read third time. Refused passage. (Ayes 13. Noes 17. Page 4953.). [AB233 Detail]

Download: California-2013-AB233-Amended.html

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BILL NUMBER: AB 233	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 9, 2013
	AMENDED IN ASSEMBLY  MARCH 21, 2013

INTRODUCED BY   Assembly Member Wieckowski

                        FEBRUARY 5, 2013

   An act to add Section 706.053 to the Code of Civil Procedure,
relating to wage garnishment.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 233, as amended, Wieckowski. Wage garnishment: restrictions:
student loans.
   The Wage Garnishment Law prescribes the procedure for withholding
an employee's earnings for purposes of paying a debt. The law
requires that a levy of execution upon the earnings of an employee be
made by service of an earnings withholding order upon the employer.
An earnings withholding order is issued by a levying officer upon
receiving an application submitted by a judgment creditor, as
specified. An employer is required, except as otherwise provided by
statute, to withhold the amounts required by an earnings withholding
order from all earnings of the employee payable for any pay period of
the employee which ends during the withholding period.
   This bill would provide that an earnings withholding order shall
not be used for purposes of enforcing a judgment for the collection
of debt that is from a student loan that is not made, insured, or
guaranteed by the United State Government pursuant to the Federal
Family Education Loan Program or the William D. Ford Federal Direct
Loan Program. The bill would require a court to terminate an earnings
withholding order    issued on or after January 1,
2014,  upon proof by a judgment debtor that it was issued in
violation of these provisions.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 706.053 is added to the Code of Civil
Procedure, immediately after Section 706.052, to read:
   706.053.  An earnings withholding order shall not be used for
purposes of enforcing a judgment for the collection of debt that the
judgment debtor proves is from a student loan that is not made,
insured, or guaranteed by the United States Government pursuant to
the Federal Family Education Loan Program (20 U.S.C. Sec. 1071 et
seq.) or the William D. Ford Federal Direct Loan Program (34 C.F.R.
685.100). A court shall terminate an earnings withholding order 
issued on or after January 1, 2014,  upon proof by the judgment
debtor that the earnings withholding order enforces a judgment in
violation of this section.