AB 774: Civil actions: enforcement of judgments.
The bill aims to simplify and streamline procedures related to enforcing judgments in civil actions. It allows judgment creditors to verify a judgment debtor's address through various methods, including the United States Postal Service, and to file declarations within a 10-day period. The bill also relaxes the time frame for filing claims of exemption and permits judgment creditors to release funds to the judgment debtor after the 20-day period. The bill clarifies procedures for exempting property from levy, including the burden of proof and the requirement for a court to order the return of exempt property. It also specifies requirements for employers to complete returns related to earnings withholding orders and to provide notice to judgment debtors. The bill authorizes judgment creditors to apply for reinstatement of a released lien, requiring them to file a declaration with specifie…
| Oct. 13, 2025 | Chaptered by Secretary of State - Chapter 708, Statutes of 2025. |
| Oct. 13, 2025 | Approved by the Governor. |
| Sep. 15, 2025 | Enrolled and presented to the Governor at 4:30 p.m. |
| Sep. 08, 2025 | Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 79. Noes 0. Page 3031.). |
| Sep. 08, 2025 | Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 79. Noes 0. Page 3031.). |
LEGISLATIVE COUNSEL'S DIGEST
The people of the State of California do enact as follows:
SECTION 1.
Section 684.130 of the Code of Civil Procedure is amended to read:684.130.
(a) If the levying officer is required by any provision of this title to serve any writ, order, notice, or other paper on any person, the judgment creditor shall include in the instructions to the levying officer the correct name and address of the person. The judgment creditor shall use reasonable diligence to ascertain the correct name and address of the person.SEC. 2.
Section 697.420 is added to the Code of Civil Procedure, to read:697.420.
(a) A judgment creditor may apply to the court for an order reinstating a judgment lien on real property with the same priority it held immediately before it was released. Subject to subdivisions (b) and (c), the court shall grant the application. Upon entry of the order the clerk shall do the following:SEC. 3.
Section 697.680 is added to the Code of Civil Procedure, to read:697.680.
(a) A judgment creditor may apply to the court for an order reinstating a released lien on personal property and its priority at the time of cancellation. Subject to subdivisions (b) and (c), the court shall order the reinstatement of a lien with the same priority that it held at the time of cancellation. Upon entry of the order the clerk shall do the following:SEC. 4.
Section 703.520 of the Code of Civil Procedure is amended to read:703.520.
(a) The claimant may make a claim of exemption by filing with the levying officer, either in person or by mail, a claim of exemption together with a copy of the claim. If the claimant is personally served, the claim shall be made within 15 days after the date the notice of levy on the property claimed to be exempt is served on the judgment debtor. If the claimant is served by mail, the claim shall be made within 20 days after the date the notice of levy on the property claimed to be exempt is served on the judgment debtor. If the claim is filed by mail and assigned a tracking number by the United States Postal Service or another common carrier, the filing shall be deemed complete on the date the claim is postmarked. If the claim is filed by mail and not assigned a tracking number, the filing shall be deemed complete on the date the claim is received by the levying officer.SEC. 5.
Section 703.570 of the Code of Civil Procedure is amended to read:703.570.
(a) (1) The hearing on the motion shall be held not later than 30 days from the date the notice of motion was filed with the court unless continued by the court for good cause. Where the judgment upon which the writ is issued is for personal debt, as defined in subdivision (d) of Section 683.110, if the hearing is delayed by the court and cannot be set within 30 days of notice of the motion, a party may seek by ex parte application, and the court shall issue, an order staying any levy or garnishment with respect to the property subject to the claim of exemption until the hearing occurs.SEC. 6.
Section 706.021 of the Code of Civil Procedure is amended to read:706.021.
Notwithstanding any other provision of this title, a levy of execution upon the earnings of an employee shall be made by service of an earnings withholding order upon the judgment debtor’s employer in accordance with this chapter.SEC. 7.
Section 706.022 of the Code of Civil Procedure is amended to read:706.022.
(a) A judgment creditor shall not enforce an earnings withholding order beyond the period of enforceability as defined in Section 683.020 or, if renewed, as provided for in subdivision (c) of Section 683.120. As used in this section, “withholding period” means the period which commences on the 30th day after service of an earnings withholding order upon the judgment debtor’s employer. If a claim of exemption is filed with the levying officer, and the employer is given actual notice before the close of business on the 29th day after the service of the earnings withholding order on the judgment debtor’s employer, the withholding period commences on the 45th day after service of the earnings withholding order on the judgment debtor’s employer. The withholding period shall continue until the earliest of the following dates:SEC. 8.
Section 706.105 of the Code of Civil Procedure is amended to read:706.105.
(a) A judgment debtor may claim an exemption under Section 706.051 under either of the following circumstances:SEC. 9.
Section 706.126 of the Code of Civil Procedure is amended to read:706.126.
(a) The “employer’s return” shall be executed under oath. The form for the return provided to the employer shall state all of the following information: