S.F. No. 4314 Summary

• Modifies Minnesota's coerced debt law to include debt incurred through use of personal information without authorization, force, intimidation, fraud, deception, coercion, or economic abuse, but excludes secured debt.

• Expands the definition of "debtor" to include victims of domestic abuse, economic abuse, sex trafficking, or labor trafficking who owe coerced debt.

• Requires debtors to notify creditors by certified mail with documentation (police report, FTC identity theft report, court order, or sworn certification) and creditors must respond within 30 days to cease or continue collection activity.

• Entitles debtors who prove coerced debt by preponderance of evidence to obtain declaratory judgment, injunctions against enforcement, or dismissal of collection actions, with judgment issued against the person who caused the coerced debt.

• Creates a presumption that coerced debt occurred if the person who caused it was criminally convicted, entered a guilty plea, Alford plea, or received a stay of adjudication for violations of Minnesota's domestic abuse, assault, or harassment statutes; effective January 1, 2025.