On Sep. 13, CAL LEG issued bill re enforcement of money judgments.
CAL LEG enrolled Bill AB 2837 to amend provisions under CAL Code of Civil Procedure.
Bill expands the types of retirement plans that are exempt from money judgments.
Bill Provisions
The bill exempts the retirement plans from money judgments to the extent that is necessary to provide support for, and satisfy tax obligations of, the judgment debtor.
Revises the enforcement provisions by requiring a judgment creditor to take additional steps to verify debtor’s address and provide notice of enforcement to the debtor.
Requires the court to order the return of exempt property that has been levied upon.
Limits the time period when an earnings withholding order may be enforced, and requires financial institution to protect a debtor's cumulatively exempt funds from levy.
Bill applies the revised enforcement provisions to cases in which the judgment creditor seeks to enforce judgment based on recovery of personal debt, as defined in the bill.
On Feb. 15, 2024, bill introduced in Assembly; on May 20, 2024, bill passed Assembly.
On May 21, 2024, bill introduced in Senate; on Aug. 30, 2024, bill passed in Senate.
On Aug. 31, 2024, bill concurred in Assembly; on Sep. 13, 2024, bill sent to governor.
Effectiveness
No effective date specified; CAL bills generally effective Jan. 1 next year, Jan. 1, 2025.
Bill clarifies that CAL LEG 703.580 of the Code of Civil Procedure proposed by AB 3283 to be operative only if AB 2837 and AB 3283 are enacted and AB 2837 is enacted last.