N.Y. CPLR § 5231

NEW YORK CIVIL PRACTICE LAW AND RULES (CPLR) New York State | For Informational Purposes Only CPLR § 5231 Income execution § 5231. Income execution. (a) Form. An income execution shallspecify, in addition to the requirements of subdivision (a) of section5230: (i) the name and address of the person or entity from whom thejudgment debtor is receiving or will receive money; (ii) the amount ofmoney, the frequency of its payment and the amount of the installmentsto be collected therefrom; and (iii) shall contain a notice to thejudgment debtor that he or she shall commence payment of theinstallments specified to the sheriff forthwith and that, upon his orher default, the execution will be served upon the person or entity fromwhom he or she is receiving or will receive money. Provided, however,that if a judgment creditor issues an amended execution pursuant tosection five thousand two hundred thirty of this article because theapplicable interest rate changes pursuant to section five thousand fourof this chapter, the income execution need only specify paragraphs (i)and (ii) of this subdivision.(b) Issuance. Where a judgment debtor is receiving or will receivemoney from any source, an income execution for installments therefrom ofnot more than ten percent thereof may be issued and delivered to thesheriff of the county in which the judgment debtor resides or, where thejudgment debtor is a non-resident, the county in which he is employed;provided, however, that (i) no amount shall be withheld from thejudgment debtor's earnings pursuant to an income execution for any weekunless the disposable earnings of the judgment debtor for that weekexceed the greater of thirty times the federal minimum hourly wageprescribed in the Fair Labor Standards Act of 1938 or thirty times thestate minimum hourly wage prescribed in section six hundred fifty-two ofthe labor law as i he federal minimum hourly wageprescribed in the Fair Labor Standards Act of 1938 or thirty times thestate minimum hourly wage prescribed in section six hundred fifty-two ofthe labor law as in effect at the time the earnings are payable; (ii)the amount withheld from the judgment debtor's earnings pursuant to anincome execution for any week shall not exceed twenty-five percent ofthe disposable earnings of the judgment debtor for that week, or, theamount by which the disposable earnings of the judgment debtor for thatweek exceed the greater of thirty times the federal minimum hourly wageprescribed by the Fair Labor Standards Act of 1938 or thirty times thestate minimum hourly wage prescribed in section six hundred fifty-two ofthe labor law as in effect at the time the earnings are payable,whichever is less; (iii) if the earnings of the judgment debtor are alsosubject to deductions for alimony, support or maintenance for familymembers or former spouses pursuant to section five thousand two hundredforty-one or section five thousand two hundred forty-two of thisarticle, the amount withheld from the judgment debtor's earningspursuant to this section shall not exceed the amount by whichtwenty-five percent of the disposable earnings of the judgment debtorfor that week exceeds the amount deducted from the judgment debtor'searnings in accordance with section five thousand two hundred forty-oneor section five thousand two hundred forty-two of this article; and (iv)no amount shall be imposed in judgments arising from a medical debtaction brought by a hospital licensed under article twenty-eight of thepublic health law or a health care professional authorized under titleeight of the education law. Nothing in this section shall be construedto modify, abrogate, impair, or affect any exemption from thesatisfaction of a money judgment otherwise granted by law.(c) Definition of earnings and dispo in this section shall be construedto modify, abrogate, impair, or affect any exemption from thesatisfaction of a money judgment otherwise granted by law.(c) Definition of earnings and disposable earnings. (i) As used hereinearnings means compensation paid or payable for personal services,whether denominated as wages, salary, commission, bonus, or otherwise,and includes periodic payments pursuant to a pension or retirementprogram.(ii) As used herein disposable earnings means that part of theearnings of any individual remaining after the deduction from thoseearnings of any amounts required by law to be withheld.(d) Service upon debtor; first service by sheriff. Within twenty daysafter an income execution is delivered to the sheriff, the --- NEW YORK CIVIL PRACTICE LAW AND RULES (CPLR) New York State | For Informational Purposes Only sheriff shallserve a copy of it upon the judgment debtor, in the same manner as asummons or, in lieu thereof, by certified mail return receipt requestedprovided an additional copy is sent by regular mail to the debtor. Ifservice is by mail as herein provided, the person effecting serviceshall retain the receipt together with a post office certificate ofmailing as proof of such service. Provided, however, that if a judgmentcreditor issues an amended execution pursuant to section five thousandtwo hundred thirty of this article because the applicable interest ratechanges pursuant to section five thousand four of this chapter, thesheriff shall serve a copy of the income execution within forty-fivedays after an income execution is delivered to the sheriff.(e) Levy upon default or failure to serve debtor; second service bysheriff. If a judgment debtor fails to pay installments pursuant to anincome execution served upon him or her for a period of twenty days, orif the sheriff is unable to serve an income execution upon the judgmentdebtor within twenty installments pursuant to anincome execution served upon him or her for a period of twenty days, orif the sheriff is unable to serve an income execution upon the judgmentdebtor within twenty days after the execution is delivered to thesheriff, the sheriff shall levy upon the money that the judgment debtoris receiving or will receive by serving a copy of the income execution,indorsed to indicate the extent to which paid installments havesatisfied the judgment, upon the person or entity from whom the judgmentdebtor is receiving or will receive money. The income execution shall beserved personally within any county in which the person or entity fromwhom the judgment debtor is receiving or will receive money has anoffice or place of business in the same manner as a summons, or bycertified mail return receipt requested, except that such service shallnot be made by delivery to a person authorized to receive service ofsummons solely by a designation filed pursuant to a provision of lawother than rule 318.(f) Withholding of installments. A person served with an incomeexecution shall withhold from money then or thereafter due to thejudgment debtor installments as provided therein and pay them over tothe sheriff. If such person shall fail to so pay the sheriff, thejudgment creditor may commence a proceeding against him for accruedinstallments. If the money due to the judgment debtor consists of salaryor wages and his employment is terminated by resignation or dismissal atany time after service of the execution, the levy shall thereafter beineffective, and the execution shall be returned, unless the debtor isreinstated or re-employed within ninety days after such termination.(g) Statement on income execution. Any income execution delivered tothe sheriff on or after the effective date of this act shall contain thefollowing statement:THIS INCOME EXECUTION DIRECTS THE WITHHOLDING OF UP TO TE cution. Any income execution delivered tothe sheriff on or after the effective date of this act shall contain thefollowing statement:THIS INCOME EXECUTION DIRECTS THE WITHHOLDING OF UP TO TEN PERCENT OFTHE JUDGMENT DEBTOR'S GROSS INCOME. IN CERTAIN CASES, HOWEVER, STATE ORFEDERAL LAW DOES NOT PERMIT THE WITHHOLDING OF THAT MUCH OF THE JUDGMENTDEBTOR'S GROSS INCOME. THE JUDGMENT DEBTOR IS REFERRED TO NEW YORK CIVILPRACTICE LAW AND RULES § 5231 AND 15 UNITED STATES CODE § 1671 ET SEQ.I. LIMITATIONS ON THE AMOUNT THAT CAN BE WITHHELD.A. AN INCOME EXECUTION FOR INSTALLMENTS FROM A JUDGMENT DEBTOR'S GROSSINCOME CANNOT EXCEED TEN PERCENT (10%) OF THE JUDGMENT DEBTOR'S GROSSINCOME.B. IF A JUDGMENT DEBTOR'S WEEKLY DISPOSABLE EARNINGS ARE LESS THANTHIRTY (30) TIMES THE CURRENT FEDERAL MINIMUM WAGE ( , PER HOUR),OR ( ), NO DEDUCTION CAN BE MADE FROM THE JUDGMENT DEBTOR'SEARNINGS UNDER THIS INCOME EXECUTION.C. A JUDGMENT DEBTOR'S WEEKLY DISPOSABLE EARNINGS CANNOT BE REDUCEDBELOW THE AMOUNT ARRIVED AT BY MULTIPLYING THIRTY (30) TIMES THE CURRENTFEDERAL MINIMUM WAGE ( , PER HOUR), OR ( ), UNDER THIS INCOMEEXECUTION.D. IF DEDUCTIONS ARE BEING MADE FROM A JUDGMENT DEBTOR'S EARNINGSUNDER ANY ORDERS FOR ALIMONY, SUPPORT OR MAINTENANCE FOR FAMILY MEMBERSOR FORMER SPOUSES, AND THOSE DEDUCTIONS EQUAL OR EXCEED TWENTY-FIVEPERCENT (25%) OF THE JUDGMENT DEBTOR'S DISPOSABLE EARNINGS, NO DEDUCTIONCAN BE MADE FROM THE JUDGMENT DEBTOR'S EARNINGS UNDER THIS INCOMEEXECUTION.E. IF DEDUCTIONS ARE BEING MADE FROM A JUDGMENT DEBTOR'S EARNINGSUNDER ANY ORDERS FOR ALIMONY, SUPPORT OR MAINTENANCE FOR FAMILY MEMBERSOR FORMER SPOUSES, AND THOSE DEDUCTIONS ARE LESS THAN TWENTY-FIVEPERCENT (25%) OF THE JUDGMENT DEBTOR'S DISPOSABLE EARNINGS, DEDUCTIONSMAY BE MADE FROM THE JUDGMENT DEBTOR'S EARNINGS UNDER THIS INCOMEEXECUTION. HOWEVER, THE AMOUNT ARRIVED AT BY ADDING THE DEDUCTIONSFROM E JUDGMENT DEBTOR'S DISPOSABLE EARNINGS, DEDUCTIONSMAY BE MADE FROM THE JUDGMENT DEBTOR'S EARNINGS UNDER THIS INCOMEEXECUTION. HOWEVER, THE AMOUNT ARRIVED AT BY ADDING THE DEDUCTIONSFROM CPLR § 5231 Page 2 --- NEW YORK CIVIL PRACTICE LAW AND RULES (CPLR) New York State | For Informational Purposes Only EARNINGS MADE UNDER THIS EXECUTION TO THE DEDUCTIONS MADE FROMEARNINGS UNDER ANY ORDERS FOR ALIMONY, SUPPORT OR MAINTENANCE FOR FAMILYMEMBERS OR FORMER SPOUSES CANNOT EXCEED TWENTY-FIVE PERCENT (25%) OF THEJUDGMENT DEBTOR'S DISPOSABLE EARNINGS.NOTE: NOTHING IN THIS NOTICE LIMITS THE PROPORTION OR AMOUNT WHICH MAYBE DEDUCTED UNDER ANY ORDER FOR ALIMONY, SUPPORT OR MAINTENANCE FORFAMILY MEMBERS OR FORMER SPOUSES.II. EXPLANATION OF LIMITATIONSDEFINITIONS:DISPOSABLE EARNINGSDISPOSABLE EARNINGS ARE THAT PART OF AN INDIVIDUAL'S EARNINGS LEFTAFTER DEDUCTING THOSE AMOUNTS THAT ARE REQUIRED BY LAW TO BE WITHHELD(FOR EXAMPLE, TAXES, SOCIAL SECURITY, AND UNEMPLOYMENT INSURANCE, BUTNOT DEDUCTIONS FOR UNION DUES, INSURANCE PLANS, ETC.).GROSS INCOMEGROSS INCOME IS SALARY, WAGES OR OTHER INCOME, INCLUDING ANY AND ALLOVERTIME EARNINGS, COMMISSIONS, AND INCOME FROM TRUSTS, BEFORE ANYDEDUCTIONS ARE MADE FROM SUCH INCOME.ILLUSTRATIONS REGARDING EARNINGS: AMOUNT TO PAY OR DEDUCT FROM EARNINGS UNDER THIS INCOMEIF DISPOSABLE EARNINGS IS: EXECUTION IS:(a) 30 TIMES FEDERAL MINIMUM NO PAYMENT OR DEDUCTION ALLOWED WAGE ( ) OR LESS(b) MORE THAN 30 TIMES FEDERAL THE LESSER OF: THE EXCESS OVER MINIMUM WAGE ( ) AND 30 TIMES THE FEDERAL MINIMUM LESS THAN 40 TIMES FEDERAL WAGE ( ) IN DISPOSABLE MINIMUM WAGE ( ) EARNINGS, or 10% OF GROSS EARNINGS(c) 40 TIMES THE FEDERAL THE LESSER OF: 25% OF DISPOSABLE MINIMUM WAGE ( ) OR MORE EARNINGS OR 10% OF GROSS EARNINGS.III. NOTICE: YOU MAY BE INIMUM WAGE ( ) EARNINGS, or 10% OF GROSS EARNINGS(c) 40 TIMES THE FEDERAL THE LESSER OF: 25% OF DISPOSABLE MINIMUM WAGE ( ) OR MORE EARNINGS OR 10% OF GROSS EARNINGS.III. NOTICE: YOU MAY BE ABLE TO CHALLENGE THIS INCOME EXECUTION THROUGH THE PROCEDURES PROVIDED IN CPLR § 5231 (i) AND CPLR § 5240IF YOU THINK THAT THE AMOUNT OF YOUR INCOME BEING DEDUCTED UNDER THISINCOME EXECUTION EXCEEDS THE AMOUNT PERMITTED BY STATE OR FEDERAL LAW,YOU SHOULD ACT PROMPTLY BECAUSE THE MONEY WILL BE APPLIED TO THEJUDGMENT. IF YOU CLAIM THAT THE AMOUNT OF YOUR INCOME BEING DEDUCTEDUNDER THIS INCOME EXECUTION EXCEEDS THE AMOUNT PERMITTED BY STATE ORFEDERAL LAW, YOU SHOULD CONTACT YOUR EMPLOYER OR OTHER PERSON PAYINGYOUR INCOME. FURTHER, YOU MAY CONSULT AN ATTORNEY, INCLUDING LEGAL AIDIF YOU QUALIFY. NEW YORK STATE LAW PROVIDES TWO PROCEDURES THROUGH WHICHAN INCOME EXECUTION CAN BE CHALLENGED:CPLR § 5231(i) MODIFICATION. AT ANY TIME, THE JUDGMENT DEBTOR MAY MAKE AMOTION TO A COURT FOR AN ORDER MODIFYING AN INCOME EXECUTION.CPLR § 5240 MODIFICATION OR PROTECTIVE ORDER: SUPERVISION OFENFORCEMENT. AT ANY TIME, THE JUDGMENT DEBTOR MAY MAKE A MOTION TO ACOURT FOR AN ORDER DENYING, LIMITING, CONDITIONING, REGULATING,EXTENDING OR MODIFYING THE USE OF ANY POST-JUDGMENT ENFORCEMENTPROCEDURE, INCLUDING THE USE OF INCOME EXECUTIONS.(h) Levy upon money payable by municipal corporation or the state. Thelevy of an income execution served upon a municipal or public benefitcorporation, or board of education, shall be effective fifteen daysafter such service. Such an execution shall specify the title orposition of the judgment debtor and the bureau, office, department orsubdivision in which he is employed and the municipal or public benefitcorporation, or board of education, shall be entitled to a fee of twodollars upon being served. A levy upon money payable directly by adepartment of the state, the municipal or public benefitcorporation, or board of education, shall be entitled to a fee of twodollars upon being served. A levy upon money payable directly by adepartment of the state, or by an institution under its jurisdiction,shall be made by serving the income execution upon the head of thedepartment, or upon a person designated by him, at the office of thedepartment in Albany; a levy upon money payable directly upon the statecomptroller's warrant, or directly by a state board, commission, body oragency which is not within any department of the state, shall be made byserving the income execution upon the state department of audit andcontrol at its office in Albany. Service at the office of a departmentof the state in Albany may be made by the sheriff of any county byregistered or certified mail, return receipt requested.(i) Modification. At any time, the judgment creditor or the judgmentdebtor may move, upon such notice as the court may direct, for an ordermodifying an income execution.(j) Priority; delivery to another sheriff. Two or more incomeexecutions issued against the same CPLR § 5231 Page 3 --- NEW YORK CIVIL PRACTICE LAW AND RULES (CPLR) New York State | For Informational Purposes Only judgment debtor, specifying the sameperson or entity from whom the money is received and delivered to thesame or different enforcement officers shall be satisfied out of thatmoney in the order in which the executions are delivered to an officerauthorized to levy in the county, town or city in which the debtorresides or, in any county in which the person or entity from whom thejudgment debtor is receiving or will receive money has an office orplace of business, or where the judgment debtor is a non-resident, thecounty, town or city in which he or she is employed. If the applicableinterest rate changes pursuant to section five thousand four of thischapter while an dgment debtor is a non-resident, thecounty, town or city in which he or she is employed. If the applicableinterest rate changes pursuant to section five thousand four of thischapter while an execution is ongoing, the issuance of the amendedexecution pursuant to section five thousand two hundred thirty of thisarticle shall retain the priority of the ongoing execution. If an incomeexecution delivered to a sheriff is returned unsatisfied in whole or inpart because the sheriff to whom it was delivered is unable to findwithin the county the person or entity from whom the judgment debtor isreceiving or will receive money, the execution may be delivered to thesheriff of any county in which such person or entity has an office orplace of business. The priority of an income execution delivered to asheriff within twenty days after its return by each previous sheriffshall be determined by the time of delivery to the first sheriff.(k) Accounting by sheriff. It shall be the duty of the sheriff to whomsuch income execution shall be delivered, from time to time and at leastonce every ninety days from the time a levy shall be made thereunder, toaccount for and pay over to the person entitled thereto all moniescollected thereon, less his lawful fees and expenses for collecting thesame. Provided, however, that if a judgment creditor issues an amendedexecution pursuant to section five thousand two hundred thirty of thisarticle because the applicable interest rate changes pursuant to sectionfive thousand four of this chapter, any money collected in excess of thejudgment amount shall be promptly returned to the debtor. CPLR § 5231 Page 4