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CA AB233

Bill

Status

Engrossed

4/11/2013

Primary Sponsor

Bob Wieckowski

Click for details

Origin

State Assembly

2013-2014 Session

AI Summary

  • Prohibits earnings withholding orders from being used to enforce judgments for collection of private student loans not made, insured, or guaranteed by the Federal Family Education Loan Program or William D. Ford Federal Direct Loan Program.

  • Requires courts to terminate or modify earnings withholding orders issued on or after July 1, 2014, if determined to enforce student loan debt judgments in violation of this restriction upon request by the judgment debtor.

  • Requires judgment creditors to disclose on applications for earnings withholding orders, beginning July 1, 2014, whether the judgment is based in whole or in part on private student loan debt.

  • Establishes procedures allowing judgment debtors to request termination of earnings withholding orders for student loan debt, including a 10-day opposition period for judgment creditors and court hearing provisions.

  • Makes judgment creditors liable to judgment debtors for all amounts collected in violation of these provisions and prohibits creditors from reapplying for withholding orders on the same student loan debt.

Legislative Description

Wage garnishment: restrictions: student loans.

Last Action

Read third time. Refused passage. (Ayes 13. Noes 17. Page 4953.).

8/28/2014

Committee Referrals

Judiciary4/25/2013
Rules4/11/2013
Judiciary2/15/2013

Full Bill Text

No bill text available