What's happening
This bill increases the penalty for failing to file satisfied judgments of $5,000 or more from $100 to $500.
Why it matters
Increases Accountability for Creditors. By raising the penalty for not promptly filing proof of a satisfied judgment of $5,000 or more, the bill increases the financial incentive for creditors to update court records, preventing potential harm to debtors whose records would otherwise inaccurately show unpaid debts.
Reduces Negative Consequences for Debtors. Timely satisfaction filings help debtors avoid ongoing damage to their credit, unwarranted collection efforts, or legal complications stemming from judgments that have already been paid off.
Differentiates Based on Judgment Size. The law now distinguishes between judgments under and over $5,000, acknowledging that higher-value cases warrant stricter compliance and greater penalties to ensure proper closure and record accuracy.
Keeps Exception for Large Municipalities. The bill maintains an exception for cities with populations over one million (like NYC), unless the city fails to file even after a formal demand, balancing administrative burdens with the need for debtor protection.
Albany, before your first meeting.
Every bill that moved yesterday, summarized in a sentence and ranked by impact. The Albany Scorecard follows on Sundays.
Free. Unsubscribe in one click. Want alerts on specific bills? Create an account.
Who cares
Headline styles
Increase Judgment Filing Penalties
Plain English, a few words. Used as the page title.
Sponsors
3 Co-sponsors
History
- Ordered to third reading cal.272
- Advanced to third reading cal.408
- Reported
- Reported referred to codes
- Referred to judiciary
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Increase Penalties on Unfiled Judgments
In Senate Committee · Judiciary · Sponsor Liz Krueger
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
3510
2017-2018 Regular Sessions
IN ASSEMBLY
January 27, 2017
Introduced by M. of A. ROSENTHAL, PERRY, WEPRIN -- read once and referred to the Committee on Judiciary
AN ACT to amend the civil practice law and rules, in relation to increasing penalties for failure to execute and file satisfied judgments of $5,000 or more with the court clerk
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subdivision (c) of section 5020 of the civil practice law and rules, as amended by chapter 575 of the laws of 1975, is amended to read as follows:
(c) When [the] a judgment for less than five thousand dollars is fully satisfied, if the person required to execute and file with the proper clerk pursuant to subdivisions (a) and (d) [hereof] of this section fails or refuses to do so within twenty days after receiving full satisfaction, then the judgment creditor shall be subject to a penalty of one hundred dollars recoverable by the judgment debtor pursuant to [Section 7202 of the civil practice law and rules] section seventy-two hundred two of this chapter or article eighteen of either the New York City civil court act, uniform district court act or uniform city court act. When a judgment for five thousand dollars or more is fully satisfied, if the person required to execute and file with the proper clerk pursuant to subdivisions (a) and (d) of this section fails or refuses to do so within twenty days after receiving full satisfaction, then the judgment creditor shall be subject to a penalty of five hundred dollars recoverable by the judgment debtor pursuant to section seventy-two hundred two of this chapter or article eighteen of either the New York city civil court act, uniform district court act or uniform city court act; provided, however, that such [penalty] penalties shall not be recoverable when a city with a population greater than one million persons is the judgment creditor, unless such judgment creditor shall fail to execute and file a satisfaction-piece with the proper clerk pursuant to
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05347-01-7
A. 3510 2
subdivisions (a) and (d) [hereof] of this section within twenty days after having been served by the judgment debtor with a written demand therefor by certified mail, return receipt requested.
§ 2. This act shall take effect on the one hundred twentieth day after it shall have become a law.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.