Bill Text: FL S1042 | 2016 | Regular Session | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Judgments
Spectrum: Bipartisan Bill
Status: (Passed) 2016-03-10 - Chapter No. 2016-33 [S1042 Detail]
Download: Florida-2016-S1042-Introduced.html
Bill Title: Judgments
Spectrum: Bipartisan Bill
Status: (Passed) 2016-03-10 - Chapter No. 2016-33 [S1042 Detail]
Download: Florida-2016-S1042-Introduced.html
Florida Senate - 2016 SB 1042 By Senator Simmons 10-00660-16 20161042__ 1 A bill to be entitled 2 An act relating to judgment debts; creating s. 56.001, 3 F.S.; defining terms; amending ss. 56.011, 56.021, 4 56.041, 56.071, 56.09, 56.10, 56.12, 56.15, F.S.; 5 conforming provisions to changes made by the act; 6 making technical changes; amending s. 56.16, F.S.; 7 specifying the parties who may obtain possession of 8 property that is being levied on; conforming 9 provisions to changes made by the act; making 10 technical changes; amending s. 56.18, F.S.; revising 11 the circumstances under which third-party claims must 12 be taken to trial; conforming provisions to changes 13 made by the act; amending ss. 56.19, 56.20, 56.22, 14 56.26, 56.27, and 56.28, F.S.; conforming provisions 15 to changes made by the act; making technical changes; 16 amending s. 56.29, F.S.; conforming provisions to 17 changes made by the act; making technical changes; 18 revising the legal procedure for proceedings 19 supplementary to execution; requiring the judgment 20 creditor to describe certain property in a motion and 21 supplemental affidavit; requiring the court to issue a 22 notice to appear by a certain date; providing 23 requirements for such notice and responding affidavit; 24 specifying the persons against whom a court may enter 25 an order, a judgment, or a writ under certain 26 circumstances; providing applicability; authorizing 27 the court to preside over claims concerning the 28 judgment debtor’s assets and to enter certain orders 29 and judgments; prescribing certain duties to the clerk 30 of the court relating to supplemental proceedings; 31 creating s. 56.30, F.S.; providing additional 32 discovery in proceedings supplementary; specifying the 33 procedure for additional discovery; providing an 34 effective date. 35 36 Be It Enacted by the Legislature of the State of Florida: 37 38 Section 1. Section 56.001, Florida Statutes, is created to 39 read: 40 56.001 Definitions.—As used in this chapter, the term: 41 (1) “Claimant” means a person, other than a judgment 42 debtor, who makes a claim against property that is subject to a 43 levy. 44 (2) “Corporate judgment debtor” means a person who is a 45 judgment debtor, not including an individual, an estate, or a 46 trust other than a business trust. 47 (3) “Judgment creditor” means the holder of an unsatisfied 48 judgment, order, or decree for the payment of money, including a 49 transferee or surety, who has the right to control and collect 50 the judgment under s. 55.13. 51 (4) “Judgment debtor” means a person who is liable for a 52 judgment, an order, or a decree subject to execution under this 53 chapter. 54 (5) “Levying creditor” means a judgment creditor who levies 55 on property. 56 (6) “Relative” means an individual related within the third 57 degree of consanguinity, a spouse or an individual related to 58 the spouse within the third degree of consanguinity, or an 59 individual adopted within the third degree of consanguinity. 60 Section 2. Section 56.011, Florida Statutes, is amended to 61 read: 62 56.011 Executions; capias ad satisfaciendum abolished.—In63no case shallA capias ad satisfaciendum may not be issued upon 64 a judgment, and a person may notnor shall the body of any65defendantbe subject to arrest or confinement for the payment of 66 money, exceptit befor the payment of fines imposed by a lawful 67 authority. 68 Section 3. Section 56.021, Florida Statutes, is amended to 69 read: 70 56.021 Executions; issuance and return, alias, etc.—When71issued,An execution is valid and effective during the life of 72 the judgment, order, or decree on which it is issued. When the 73 execution is fully paid, the executing officerexecuting it74 shall make his or her return and file it in the court thatwhich75 issued the execution. If the execution is lost or destroyed, the 76 party entitled to the executiontheretomay have an alias, 77 pluries, or other copies made after provingon making proof of78 such loss or destruction by affidavit and filing the affidavit 79itin the court that issuedissuingthe execution. 80 Section 4. Subsection (1) of section 56.041, Florida 81 Statutes, is amended to read: 82 56.041 Executions; collection and return.— 83 (1) An execution isAll executions shall bereturnable 84 after satisfactionwhen satisfied, and the officerofficersto 85 whom a satisfaction isthey aredelivered shall collect the 86 amount of the satisfactionamounts thereofas soon as possible 87 and shall furnish the judgment debtordefendantwith a 88 satisfaction of judgment. All receipts mustshallbe endorsed on 89 the execution. 90 Section 5. Section 56.071, Florida Statutes, is amended to 91 read: 92 56.071 Executions on equities of redemption; discovery of 93 value.—On motion made by the personpartycausing a levy to be 94 made on an equity of redemption, the court from which the 95 execution issued shall order the mortgagor, the mortgagee, and 96 all other persons interested in the mortgaged property levied on 97 to appear and be examined about the amount remaining due on the 98 mortgage, the amount that has been paid, the personpartyto 99 whom payment has been madethat amount has been paid, and the 100 date on which payment was madewhen that amount was paidso that 101 the value of the equity of redemption may be ascertained before 102 the property is sold. The court may appoint a general or special 103 magistrate to conduct the examination. This section applies 104shall also applyto interests in personal propertytheinterest105ofand personal property in the possession of a vendee under a 106 retained title contract or conditional sales contract. 107 Section 6. Section 56.09, Florida Statutes, is amended to 108 read: 109 56.09 Executions against corporate judgment debtors 110corporations; generally.—A judgment creditorOn any judgment111against a corporation plaintiffmay have an execution levied on 112thecurrent money,as well as on thegoods and chattels, and 113 lands and tenements of a corporate judgment debtorsaid114corporation. 115 Section 7. Section 56.10, Florida Statutes, is amended to 116 read: 117 56.10 Executions against corporate judgment debtors 118corporations; receivership.—If an execution cannot be satisfied 119 in whole or in part due to the corporate judgment debtor’sfor120 lack of propertyof thedefendantcorporation subject to levy121and sale,on motion of the judgment creditorthe circuit court 122 with jurisdiction over the corporate judgment debtorinchancery123within whosecircuit suchcorporation is or has been doing124business, or in which any of its effects are found,may, on 125 motion of the judgment creditor, seizesequestratethe property, 126 things in action, or goods and chattels of the corporate 127 judgment debtorcorporationfor the purpose of enforcing the 128 judgment,and may appoint a receiver for the corporate judgment 129 debtorcorporation. An appointedAreceiverso appointedis 130 subject to the rules prescribed by law for receivers of the 131 property of other judgment debtors, and.his or her authority 132 extends statewidepower shall extend throughout the state. 133 Section 8. Section 56.12, Florida Statutes, is amended to 134 read: 135 56.12 Executions; levy, forthcoming bond.—If a judgment 136 debtordefendantin execution wisheswantsto retake possession 137 of any property levied on, the judgment debtorhe or shemay do 138 so by executing a bond with surety, subject to approvalto be139approvedby antheofficer, in favor of the judgment creditor 140 forplaintiff ina sum double the value of the property retaken, 141 as determinedfixedby the officer holding the execution,and142 conditioned onthatthe availability of the propertywill be143forthcomingon the day of sale stated in the bond. 144 Section 9. Section 56.15, Florida Statutes, is amended to 145 read: 146 56.15 Executions; stay of illegal writs.—If anany147 execution is issuedissuesillegally, the judgment debtor 148defendant in executionmay obtain a stay by making and 149 delivering an affidavit to the officer who hashavingthe 150 execution which states, statingthe illegality and whether any 151 part of the execution is due, with a bond with surety payable to 152 the judgment creditor forplaintiffindouble the amount of the 153 execution or the part of which a stay is sought conditioned to 154 pay the execution or part claimed to be illegal and any damages 155 for delay if the affidavit is not well founded. On receipt of 156 such affidavit and bond the officer shall stay proceedings on 157 the execution and return the bond and affidavit to the court 158 that issuedfrom whichthe executionissued. The court shall 159 pass on the question of illegality as soon as possible. If the 160 execution is adjudged illegal in any part, the court shall stay 161 it as to the part but if it is adjudged legal in whole or in 162 part, the court shall enter judgment against the principal and 163 surety on such bond for the amountof so muchof the execution 164 as is adjudged to be legal and execution shall issue thereon. 165 Section 10. Section 56.16, Florida Statutes, is amended to 166 read: 167 56.16 Executions; claims of third parties to property 168 levied on.—If aanyperson, including the person issued a notice 169 to appear but excludingother thanthe judgment debtor, 170defendant in executionclaims any property levied on, the 171 claimanthe or shemay obtain possession of the property by: 172 (1) Filing with the officer who hashavingthe execution an 173 affidavit, made by the claimant or the claimant’shimself or174herself, his or heragent or attorney, which states that the 175 propertyclaimedbelongs to the claimant;him or herand 176 (2)byFurnishing the officer who has the execution a bond 177 with surety, subject to approvalbe approvedby the officer, in 178 favor of the judgment creditor forplaintiff indouble the value 179 of the goods claimed, as determinedthe value isfixedby the 180 officer, which isandconditioned on delivery ofto deliversaid 181 property on the demand of thesaidofficer if the propertyitis 182 adjudged to be the property of the judgment debtordefendant in183executionand payment to the judgment creditor ofpayplaintiff184 all damages assessedfoundagainst the claimant,him or herif 185 it appears that the claim was madeinterposedfor the purpose of 186 delay. 187 Section 11. Section 56.18, Florida Statutes, is amended to 188 read: 189 56.18 Executions; trial of claims of third persons.—As soon 190 as possible after the return, or after service of a notice to 191 appear, a jury, if not waived, shall be impaneled to try the 192 right of property. If atheverdict is issued in favor of the 193 judgment creditorplaintiffand it is foundappearsthat the 194 claim brought pursuant to s. 56.16 was madeinterposedfor the 195 purpose of delay, the judgment creditorplaintiffmay be awarded 196 reasonable damages, not to exceedexceeding20 percent of the 197 value of the property claimed. If the claimant files a sworn 198 affidavitdenies in writing under oath filedat least 3 days 199 before the trial which denies,the correctness of the appraisal 200appraisementof the value of the property by the officer levying 201 the execution,and atheverdict is issued in favor of the 202 judgment creditorplaintiff, the jury, if not waived, shall fix 203 the value of the individual items that are the subject of the 204 denialeach item thereof,or the total value of the items 205 covered by such denial. 206 Section 12. Section 56.19, Florida Statutes, is amended to 207 read: 208 56.19 Judgments upon claims of third persons.—Upon the 209 verdict of the jury, the court shall enter a judgment deciding 210 the right of property., andIf the verdict is for the judgment 211 creditorplaintiff, the court shall awardawarding arecovery by 212 the judgment creditorplaintifffrom the claimantdefendantand 213 the claimant’shis or hersureties,of the value(as fixed by214the officer, or as fixed by the jury if fixed by it)of thesuch215parts of theproperty thatasthe jury determined wasmay have216foundsubject to the execution which was delivered to the 217 claimant, anyand awarding separately suchdamagesasthe jury218mayhaveawarded by the jury under s. 56.18, andofall costs 219 associated withattendingthe presentation and trial of the 220 claim. The value of such property shall be determined by the 221 jury, if the jury makes a determination of value, or, in the 222 absence of such a determination, by the officer who has the 223 execution. 224 Section 13. Section 56.20, Florida Statutes, is amended to 225 read: 226 56.20 Executions on judgments against third-partythird227personclaimants.—If the execution issued on the judgment is not 228 paid, it shall be satisfied in the usual manner unless, on 229 demand of the officer holding it, the principal and surety in 230 the claim bond deliver the property released under the claim 231 bond to the officer and pay him or her the damages and costs 232 awarded to the judgment creditorplaintiff. If the property is 233 returned to the officer but damages and costs are not paid, 234 execution shall be enforced for the damages and costs. If part 235 of the property is returned to the officer, the execution shall 236 be enforced for the value, fixed as aforesaid, of that not 237 returned. All property returned shall be sold under the original 238 execution against the judgment debtororiginal defendant. 239 Section 14. Section 56.22, Florida Statutes, is amended to 240 read: 241 56.22 Execution sales; time, date, and place of sale.—All 242 sales of property under legal process mustshalltake place at 243 the time, date, and place advertised in the notice of the 244 sheriff’s sale on any day of the week except Saturday and Sunday 245 and mustshallcontinue from day to day until such property is 246 disposed of. Property not effectively disposed of at the initial 247 sheriff’s sale may be readvertised, as provided in s. 56.21, 248 upon receipt of an additional deposit to cover costs incurred in 249 connection with the maintenance of the property under legal 250 process. IfIn the eventno additional deposit is received by 251 the sheriff, the property may be returned to the judgment debtor 252defendant; if the judgment debtordefendantrefuses to accept 253 such property, the property may be returned to a third party, 254 such as a lienholder, upon presentation of a proper court order 255 directing such return. If none of the above can be accomplished, 256 such property shall be disposed of as unclaimed or abandoned. 257 Section 15. Section 56.26, Florida Statutes, is amended to 258 read: 259 56.26 Executions; mandamus to force levy and sale.—When an 260 officer holds an unsatisfied execution and refuses to levy on 261 propertyliable thereunder andon which it is his or her duty to 262 levy or having levied, refuses to advertise and sell the 263 property levied on, the judgment creditorplaintiff in execution264 is entitled to an alternative writ of mandamus requiring the 265 officer to levy such execution or advertise and sell the 266 property levied on, or both, as the case may be. 267 Section 16. Subsections (1) and (4) of section 56.27, 268 Florida Statutes, are amended to read: 269 56.27 Executions; payment of money collected.— 270 (1) All money received under executions shall be paid, in 271 the order prescribed, to the following: the sheriff, for costs; 272 the levying creditor in the amount of $500 as liquidated 273 expenses; and the priority lienholder under s. 55.10(1) and (2), 274 s. 55.202, s. 55.204(3), or s. 55.208(2), as set forth in an 275 affidavit required by subsection (4), or the levying creditor’s 276his or herattorney, in satisfaction of the judgment lien, if 277 the judgment lien has not lapsed at the time of the levy. The 278 receipt of the attorney isshall bea release of the officer 279 paying the money to him or her. If the name of more than one 280 attorney appears in the court file, the money shall be paid to 281 the attorney who originally commenced the action or who made the 282 original defense unless the file shows that another attorney has 283 been substituted. 284 (4) At the time of the levy request to the sheriff, before 285 the date of the first publicationor postingof the notice of 286 sale provided for under s. 56.21,at the time of the levy287request to the sheriff,the levying creditor shall deliver to 288 the sheriff an affidavit setting forth all of the following as 289 to the judgment debtor: 290 (a) For a personal property levy, an attestation by the 291 levying creditor or the levying creditor’s attorney of record 292 that he or she has reviewed the database or judgment lien 293 records established in accordance with ss. 55.201-55.209 and 294 that the information contained in the affidavit based on that 295 review is true and correct. For a real property levy in 296 accordance with s. 55.10(1) and (2), an attestation by the 297 levying creditor or the levying creditor’shis or herattorney 298 of record that he or she has reviewed the records of the clerk 299 of the court of the county where the property is situated, or 300 that he or she has performed or reviewed a title search, and 301 that the information contained in the affidavit, including a 302 disclosure of all judgment liens, mortgages, financing 303 statements, tax warrants, and other liens against the real 304 property, based on thethatreview or title search is true and 305 correct. 306 (b) The information required under s. 55.203(1) and (2) for 307 each judgment lien certificate indexed under the name of the 308 judgment debtor as to each judgment creditor; the file number 309 assigned to the record of the original and, if any, the second 310 judgment lien; and the date of filing for each judgment lien 311 certificate under s. 55.202 or s. 55.204(3). For each judgment 312 lien recorded on real property, the information contained in the 313 certified copy of recordation of lien under s. 55.10(1) and (2), 314 and for each other lien recorded on real property, the name and 315 address of the lienholder as shown in the copy of the recorded 316 lien disclosed by the title search. 317 (c) A statement that the levying creditor either does not 318 have any other levy in process or, if another levy is in 319 process, the levying creditor believes in good faith that the 320 total value of the property under execution does not exceed the 321 amount of outstanding judgments. 322 Section 17. Section 56.28, Florida Statutes, is amended to 323 read: 324 56.28 Executions; failure of officer to payovermoneys 325 collected.—If ananyofficer collecting money under execution 326 fails or refuses to pay it to the levying creditor or the 327 levying creditor’s attorney of recordoverwithin 30 days after 328 it has been received by him or her, or within 10 days after a 329 demand by the levying creditor or the levying creditor’s 330plaintiff or his or herattorney of record made in writing and 331 delivered during regular business hours to the civil process 332 bureau, the officer is liable to pay the same and 20 percent 333 damages, to be recovered by motion in court. 334 Section 18. Section 56.29, Florida Statutes, is amended to 335 read: 336 56.29 Proceedings supplementary.— 337 (1) When a judgment creditorany person or entityholds an 338 unsatisfied judgment or judgment lien obtained under chapter 55, 339 the judgment holder or judgment lienholder may file a motion and 340 an affidavitso stating,identifying, if applicable,the issuing 341 court, the case number, and the unsatisfied amount of the 342 judgment or judgment lien, including accrued costs and interest, 343 and stating that the execution is valid and outstanding, and 344thereuponthe judgment creditorholder or judgment lienholderis 345 entitled to these proceedings supplementary to execution. 346 (2) The judgment creditor must describe in a motion and 347 supplemental affidavit any property of the judgment debtor which 348 is not exempt from execution, and any property, debt, or other 349 obligation due to the judgment debtor which may be applied 350 toward the satisfaction of the judgment. Such property of the 351 judgment debtor, debt, or other obligation due to the judgment 352 debtor in the custody or control of another person may be 353 applied to satisfy the judgment. The court shall issue a notice 354 to appear to direct such person to file an affidavit pursuant to 355 s. 56.16 by a date certain, which date may not be less than 7 356 business days after the date of service of the notice to appear, 357 stating why the property, debt, or other obligation in his or 358 her control should not be applied to satisfy the judgment. The 359 court may shorten the time for serving an affidavit for good 360 cause. The notice to appear must describe with reasonable 361 specificity the property, debt, or other obligation that may be 362 available to satisfy the judgment and must provide the person in 363 control of the judgment debtor’s property, debt, or other 364 obligation the opportunity to present defenses, to pursue 365 discovery as provided under the rules of civil procedure, and to 366 have a jury trial, as provided in s. 56.18. A responding 367 affidavit must raise any fact or defense opposing application of 368 the property described in the notice to appear to satisfy the 369 judgment, including legal defenses, such as lack of personal 370 jurisdiction. Legal defenses need not be filed under oath but 371 must be served contemporaneously with the affidavitOn such372plaintiff’s motion the court shall require the defendant in373execution to appear before it or a general or special magistrate374at a time and place specified by the order in the county of the375defendant’s residence to be examined concerning his or her376property. 377 (3)The order shall be served in a reasonable time before378the date of the examination in the manner provided for service379of summons or may be served on such defendant or his or her380attorney as provided for service of papers in the rules of civil381procedure.382(4) Testimony shall be under oath, shall be comprehensive383and cover all matters and things pertaining to the business and384financial interests of defendant which may tend to show what385property he or she has and its location. Any testimony tending386directly or indirectly to aid in satisfying the execution is387admissible. A corporation must attend and answer by an officer388who may be specified in the order. Examination of witnesses389shall be as at trial and any party may call other witnesses.390(5) The court may order any property of the judgment391debtor, not exempt from execution, in the hands of any person,392or any property, debt, or other obligation due to the judgment393debtor, to be applied toward the satisfaction of the judgment394debt. The court may entertain claims concerning the judgment395debtor’s assets brought under chapter 726 and enter any order or396judgment, including a money judgment against any initial or397subsequent transferee, in connection therewith, irrespective of398whether the transferee has retained the property. Claims under399chapter 726 are subject to the provisions of chapter 726 and400applicable rules of civil procedure.401(6)(a) When, within 1 year before the service of process on 402 the judgment debtorhim or her, the judgment debtordefendant403 has had title to, or paid the purchase price of, any personal 404 property to which the judgment debtor’sdefendant’sspouse, any 405 relative, or any person on confidential terms with the judgment 406 debtordefendantclaims title and right of possessionat the407time of examination, the judgment debtordefendanthas the 408 burden of proof to establish that such transfer or giftfromhim409or herwas not made to delay, hinder, or defraud creditors. 410 (b) When aanygift, transfer, assignment, or other 411 conveyance of personal property has been made or contrived by 412 the judgment debtor to delay, hinder, or defraud creditors, the 413 court shall declareorderthe gift, transfer, assignment, or 414 other conveyance to be void and direct the sheriff to take the 415 property to satisfy the execution. However,This does not416authorize seizure ofproperty exempted from levy and sale under 417 execution or property thatwhichhas passed to a bona fide 418 purchaser for value and without notice may not be seized under 419 this paragraph. Any person aggrieved by the levy or notice to 420 appear may proceed under ss. 56.16-56.20. 421 (4)(7)At any time, the court may refer the proceeding to a 422 general or special magistrate who may be directed to report 423 findings of law or fact, or both. The general or special 424 magistrate has all the powers of the courtthereof, including 425 the power to issue a subpoena, and shall be paid the fees 426 provided by the courtlaw. 427 (5)(8)A party or a witness examined under this section 428theseprovisionsis not excused from answering a question on the 429 ground that the answer will tend to show him or her guilty of 430 the commission of a fraud, or prove that he or she has been a 431 party or privy to, or knowing of a conveyance, assignment, 432 transfer, or other disposition of property for any purpose, or 433 that the party or witness or another person claims to have title 434 as against the judgment debtordefendantor to hold property 435 derived from or through the judgment debtordefendant, or to be 436 discharged from the payment of a debt thatwhichwas due to the 437 judgment debtordefendantor to a person onin his or herbehalf 438 of the judgment debtor. An answer cannot be used as evidence 439 against suchthepersonso answeringin any criminal proceeding. 440 (6)(9)The court may order any property of the judgment 441 debtor which is not exempt from execution, or any property, 442 debt, or other obligation due to the judgment debtor, which is 443 in the possession or under the control of any person subject to 444 the notice to appear, to be levied on and applied toward the 445 satisfaction of the judgment debt. The court may enter any 446 orders, judgments, or writs required to carry out the purpose of 447 this section, including those orders necessary or proper to 448 subject property or property rights of any judgment debtor to 449 execution,andincluding entry of money judgments as provided in 450 ss. 56.16-56.19 against any person to whom a notice to appear 451 has been directed and over whom the court has obtained personal 452 jurisdiction,impleaded defendantirrespective of whether such 453 persondefendanthas retained the property, subject toss. 56.18454and 56.19 andapplicable principles of equity, and in accordance 455 with chapters 76 and 77 and applicable rules of civil procedure. 456 Sections 56.16-56.20 apply to any order issued under this 457 subsection. 458 (7)(10)Any person who failsfailingto obey ananyorder 459 issued under this section by a judge or general or special 460 magistrate or who failsfailingto appearattendin response to 461 a subpoenaserved on him or hermay be held in contempt. 462 (8)(11)Costs for proceedings supplementary shall be taxed 463 against the judgment debtordefendantas well as all other 464 incidental costs determined to be reasonable and just by the 465 court including, but not limited to, docketing the execution, 466 sheriff’s service fees, and court reporter’s fees. Reasonable 467 attorneyattorney’sfees may be taxed against the judgment 468 debtordefendant. 469 (9) The court may preside over claims concerning the 470 judgment debtor’s assets brought under chapter 726 and enter any 471 order or judgment, including a money judgment against an initial 472 or subsequent transferee, in connection therewith, irrespective 473 of whether the transferee has retained the property. Claims 474 under chapter 726 brought under this section shall be initiated 475 by a supplemental complaint. The clerk of the court shall docket 476 a supplemental proceeding under the same case number assigned to 477 the original complaint filed by the judgment creditor, the case 478 number assigned to a domesticated judgment, and a distinct 479 supplemental proceeding number and shall assign it to the same 480 division and judge assigned to the original case or domesticated 481 judgment. 482 Section 19. Section 56.30, Florida Statutes, is created to 483 read: 484 56.30 Discovery in proceedings supplementary.— 485 (1) In addition to any other discovery allowed under the 486 rules of civil procedure, on the motion of the judgment 487 creditor, the court shall require the judgment debtor to appear 488 to be examined concerning property subject to execution by the 489 court or a general or special magistrate at a specified time and 490 place in the county of the judgment debtor’s residence or 491 principal place of business. This examination may occur before 492 the issuance of a notice to appear. 493 (2) The order must be served within a reasonable time 494 before the date of the examination in the manner provided for 495 service of summons or may be served on the judgment debtor or 496 the judgment debtor’s attorney of record. 497 (3) Testimony must be under oath and cover all matters 498 pertaining to the business and financial interests of the 499 judgment debtor which may identify property owned by the 500 judgment debtor and the location of such property. Any testimony 501 that directly or indirectly aids in satisfying the execution is 502 admissible. Testimony of a corporate judgment debtor must be 503 from a designee with knowledge or an identified officer or a 504 manager specified in the order. Examination of witnesses is as 505 at trial, and any party may call other witnesses to be examined 506 concerning property that may be subject to execution. 507 Section 20. This act shall take effect July 1, 2016.