HB1306 (2016) Detail

Allowing periodic payments of judgments to include assignment of wages.


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HB 1306 - AS INTRODUCED

 

2016 SESSION

\t16-2335

\t08/10

 

HOUSE BILL\t1306

 

AN ACT\tallowing periodic payments of judgments to include assignment of wages.

 

SPONSORS:\tRep. Lachance, Hills. 8; Rep. Potucek, Rock. 6; Rep. Gallagher, Belk. 4

 

COMMITTEE:\tJudiciary

 

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ANALYSIS

 

\tThis bill allows periodic payments of judgments to include assignment of wages.

 

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Explanation:\tMatter added to current law appears in bold italics.

\t\tMatter removed from current law appears [in brackets and struckthrough.]

\t\tMatter which is either (a) all new or (b) repealed and reenacted appears in regular type.

\t16-2335

\t08/10

 

STATE OF NEW HAMPSHIRE

 

In the Year of Our Lord Two Thousand Sixteen

 

AN ACT\tallowing periodic payments of judgments to include assignment of wages.

 

Be it Enacted by the Senate and House of Representatives in General Court convened:

 

\t1  New Paragraph; Periodic Payment of Judgments.  Amend RSA 524:6-a by inserting after paragraph II the following new paragraph:

\t\tIII.  The court may supplement any payment order or agreement under subparagraph I by an ongoing order that payments be made by assignment of the defendant’s wages and other income from employment.

\t\t\t(a)  The following limitations shall apply to wage assignment orders:

\t\t\t\t(1)  No wage assignment order shall be made if the defendant’s wages and other income from employment do not exceed the amount of 50 times the minimum hourly wage as established by the Fair Labor Standards Act per week.

\t\t\t\t(2)  No wage assignment order shall be entered if the defendant’s household income is unlikely to be sufficient to pay basic household living expenses during the period of the assignment.

\t\t\t\t(3)  The total amount of all wage assignment orders regarding any defendant shall not exceed 25 percent of the defendant’s disposable earnings after legally required deductions for taxes, unemployment, and social security.

\t\t\t(b)  Any wage assignment order entered under this section shall include the following information:

\t\t\t\t(1)  The name and address of the court and docket number of the case;

\t\t\t\t(2)  The names of the parties and addresses of the parties or their representatives;

\t\t\t\t(3)  The name and address of the employer;

\t\t\t\t(4)  The outstanding judgment balance;

\t\t\t\t(5)  The amount to be withheld each pay period;

\t\t\t\t(6) The name and address of the person or business to whom payments are to be sent.

\t\t\t(c)  Following entry of a wage assignment order under this section, the plaintiff shall be responsible for sending a notice of the assignment to the employer.  The notice may be sent by regular mail to the employer’s last known address.  Alternatively, it may be sent by certified mail or by sheriff’s service.  Such notice must be received by the employer at least 15 days prior to the commencement of withholding.  Upon timely mailing of the above-described order and notice, the assignment order shall be effective without further service.

\t\t\t(d)  The notice of assignment shall contain a copy of the order allowing assignment.  In addition, it shall contain the following information which shall be

applicable to such wage assignments:

\t\t\t\t(1)  The employer may contest the assignment for mistake of fact or other grounds as the interests of justice require, provided the employer files a written objection within 10 days of receiving notice of the assignment.  Upon such timely filing, the order shall be stayed pending further hearing by the court.

\t\t\t\t(2)  The employer may charge the employee the actual costs of administering the order, not to exceed $2 per deduction period.

\t\t\t\t(3)  Unless modified, the wage assignment order shall remain in effect until the judgment is satisfied or until the employment is permanently discontinued.  The employer shall be responsible for notifying the court and the person to whom payments are to be made if the employment is discontinued for any reason.  Unless the order is modified or the employer sends such a notice, the employer is legally responsible for complying with the terms of the assignment.  Willful failure to comply will subject the employer to liability to the plaintiff for all payments that should have been made, plus costs and attorneys’ fees.

\t\t\t\t(4)  No employer may discipline, suspend, discharge, or otherwise discriminate against an employee because of any wage assignment order entered under this section.  Any such action by the employer shall constitute an unlawful practice under RSA 275 as well as federal law and may subject the employer to the penalties set forth therein.

\t\t\t\t(5)  The wage assignment order may be periodically reviewed and modified on the court’s own initiative or upon motion filed by either party, the employer or any interested party.

\t\t\t\t(6)  If the defendant’s circumstances change and the wage assignment creates a financial hardship, the court shall schedule an expedited hearing on the request of the defendant, the employer, or any interested party.  Service of the request as well as any hearing notice shall be by regular mail to the addresses on record with the court.  Service may be sent by email in courts that have adopted electronic filing and the party has opted for email service.

\t\t\t(e)  A wage assignment order entered under this section shall not be considered a trustee attachment and shall not be subject to RSA 512.

\t2  Effective Date.  This act shall take effect 60 days after its passage.