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Bill > AB296


WI AB296

WI AB296
Eliminating the 13-week limit on the garnishment of earnings of certain debtors.


summary

Introduced
05/30/2025
In Committee
11/20/2025
Crossed Over
Passed
Dead

Introduced Session

Potential new amendment
2025-2026 Regular Session

Bill Summary

This bill eliminates the 13-week limit imposed on the garnishment of earnings of certain debtors. Under current law, a creditor may file a garnishment notice with a court and pay a fee to a garnishee for the purpose of collecting an unsatisfied judgment for money damages from earnings owed to the debtor by the garnishee. Current law limits the number of weeks in which the earnings of a debtor, other than a debtor who is an employee of the state or a political subdivision of the state, may be garnisheed to 13 weeks. Under current law, a court-ordered assignment of a debtor[s earnings for support or maintenance in a family law matter takes priority over an earnings garnishment. The bill provides that a court-ordered earnings garnishment to satisfy an order for restitution in a criminal matter takes priority over other earnings garnishments but does not have priority over an assignment in a family law matter. The bill makes various other changes, including changes to account for the increased length of time a garnishment may continue. For example, the bill requires a creditor to provide additional notices to a debtor when a garnishment extends beyond a 13-week period.

AI Summary

This bill eliminates the 13-week limit on earnings garnishment for certain debtors, effectively allowing creditors to continue garnishing a debtor's wages until a judgment is fully satisfied. The legislation makes several key changes to the garnishment process, including requiring creditors to provide additional notices to debtors when a garnishment extends beyond the original 13-week period. The bill establishes new priority rules for different types of garnishments, specifically noting that court-ordered support payments and restitution orders take precedence over other garnishments. For standard garnishments, creditors can now collect up to 20% of a debtor's disposable earnings, with provisions to ensure that multiple garnishments (such as support payments and restitution) do not exceed certain percentage thresholds. The bill also requires creditors to send updated exemption notices and information to debtors every 180 days, helping to ensure that debtors are aware of their rights and the ongoing garnishment. Additionally, the legislation modifies notification requirements for garnishees (employers) regarding address changes and the status of potential earnings garnishments, providing more transparency and communication throughout the process.

Committee Categories

Government Affairs

Sponsors (15)

Last Action

Laid on the table (on 02/19/2026)

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