Colorado § 13-54.5-108 - Judgment debtor to file written objection or claim of exemption.

§ 13-54.5-108. Judgment debtor to file written objection or claim of exemption.

(1) (a) In a case of continuing garnishment where the judgment debtor objects to the calculation of the amount of exempt earnings, the judgment debtor shall have seven days from receipt of the copy of the writ of continuing garnishment required by section 13-54.5-105 within which to resolve the issue of such miscalculation, by agreement with the garnishee, during which time the garnishee shall not tender any money to the clerk of the court or judgment creditor. If such objection is not resolved within seven days and after good faith effort, the judgment debtor may file a written objection with the clerk of the court in which the judgment was entered setting forth with reasonable detail the grounds for such objection. The judgment debtor may also file a written objection with the clerk of the court in which the judgment was obtained pursuant to section 13-54-104 (2)(a)(I)(D). The judgment debtor shall, by certified mail, return receipt requested, deliver immediately a copy of such objection to the judgment creditor or his or her attorney of record.

(b) In a case where a garnishee, pursuant to a writ of garnishment, holds any personal property of the judgment debtor other than earnings which the judgment debtor claims to be exempt, said judgment debtor, within fourteen days after being served with the notice of exemption and pending levy required by section 13-54.5-106, shall make and file with the clerk of the court in which the judgment was entered a written claim of exemption setting forth with reasonable detail a description of the property claimed to be exempt, together with the grounds for such exemption. The judgment debtor shall, by certified mail, return receipt requested, deliver immediately a copy of such claim to the judgment creditor or his or her attorney of record.

(2) Upon the filing of a written objection or claim of exemption, all further proceedings with relation to the sale or other disposition of said property or earnings shall be stayed until the matter of such objection or claim of exemption is determined.

(3) Notwithstanding the provisions of subsection (1) of this section, a judgment debtor failing to make a written objection or claim of exemption may, at any time within one hundred eighty-two days from receipt of a copy of the writ of continuing garnishment required by section 13-54.5-105 or from service of the notice of exemption and pending levy required by section 13-54.5-106 and for good cause shown, move the court in which the judgment was entered to hear an objection or a claim of exemption as to any earnings or property levied in garnishment, the amount of which the judgment debtor claims to have been miscalculated or which the judgment debtor claims to be exempt. Such hearing may be granted upon a showing of mistake, accident, surprise, irregularity in proceedings, newly discovered evidence, events not in the control of the judgment debtor, or such other grounds as the court may allow.

Source: L. 84: Entire article added, p. 473, § 1, effective January 1, 1985. L. 2012: (1) and (3) amended, (SB 12-175), ch. 208, p. 827, § 16, effective July 1. L. 2019: (1)(a) amended, (HB 19-1189), ch. 214, p. 2229, § 6, effective August 2.

ANNOTATION

There is no provision by statute for oral amendment of a claim of exemption. In re Nye, 210 B.R. 857 (Bankr. D. Colo. 1997).

Court must hold a hearing to determine validity of defendant's claim of exemption prior to allowing garnishment to proceed. Summarily denying a claim of exemption based on a finding that the defendant was in contempt of another court order is insufficient. Borrayo v. Lefever, 159 P.3d 657 (Colo. App. 2006).