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House Engrossed
limited jurisdiction courts; judgment assignment |
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State of Arizona House of Representatives Fifty-fifth Legislature First Regular Session 2021
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CHAPTER 172
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HOUSE BILL 2579 |
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AN ACT
amending title 22, chapter 2, article 3, Arizona Revised Statutes, by adding section 22-248; amending section 22-512, Arizona Revised Statutes; relating to civil judgments.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Title 22, chapter 2, article 3, Arizona Revised Statutes, is amended by adding section 22-248, to read:
22-248. Assignment of judgment for collection
A. Notwithstanding any other law, the prevailing party may assign a monetary judgment to another person that is licensed in this state to collect debts and that may appear in the justice court as the prevailing party only for the purpose of enforcing the judgment.
B. A person that is assigned a judgment for collection does not represent the prevailing party but shall be treated by the justice court as the prevailing party for all actions that relate to enforcing the judgment.
Sec. 2. Section 22-512, Arizona Revised Statutes, is amended to read:
22-512. Parties; representation
A. Any natural person, corporation, partnership, association, marital community or other organization may commence or defend a small claims action, but no an assignee or other person not a real party to the original transaction giving rise to the action may not commence such an action except as a personal representative duly appointed pursuant to a proceeding as provided in title 14.
B. In a small claims action:
1. An individual shall represent himself.
2. Either spouse or both may represent a marital community.
3. An active general partner or an authorized full-time employee shall represent a partnership.
4. A full-time officer or authorized employee shall represent a corporation.
5. An active member or an authorized full-time employee shall represent an association.
6. Any other organization or entity shall be represented by one of its active members or authorized full-time employees.
7. An attorney-at-law shall not appear or take any part in the filing or prosecution or defense of any matter designated as a small claim.
C. For an association as defined in section 33-1202 or 33-1802 that has employees or that is contracted with a corporation, limited liability company, limited liability partnership, sole proprietor or other lawfully formed and operating entity that provides management services to the association, the employees of the association and the management company and its officers and employees may lawfully act on behalf of the association and its board of directors by:
1. Recording a notice of lien or notice of claim of lien of the association against an owner's property in a condominium or planned community if all of the following apply:
(a) The association employee or the management company is specifically authorized in writing by the association to record notices of lien or notices of claim of lien on behalf of the association and the officer or employee is a certified legal document preparer as prescribed in the Arizona code of judicial administration.
(b) The association is the original party to the lien and the lien right is not the result of an assignment of rights.
(c) The lien right exists by operation of law pursuant to section 33-1256 or 33-1807 and is not the result of obtaining a final judgment in an action to which the association is a party.
2. Appearing on behalf of the association in a small claims action if all of the following apply:
(a) The employee of the association or the management company is specifically authorized in writing by the association to appear on behalf of the association.
(b) The association is an original party to the small claims action.
D. Notwithstanding subsection B of this section, at any time before the hearing, the parties may stipulate by written agreement to the participation of attorneys in actions designated as small claims.
E. This section is not intended to limit or otherwise interfere with a party's right to assign or to employ counsel to pursue the party's rights and remedies subsequent to the entry of judgment in a small claims action.
F. Attorneys-at-law may represent themselves in propria persona.
G. The prevailing party in a small claims action may assign a monetary judgment to another person that is licensed in this state to collect debts and that may appear in the small claims court as the prevailing party only for the purpose of enforcing the judgment. A person that is assigned a judgment for collection does not represent the prevailing party but shall be treated by the small claims court as the prevailing party for all actions that relate to enforcing the judgment.
APPROVED BY THE GOVERNOR APRIL 5, 2021.
FILED IN THE OFFICE OF THE SECRETARY OF STATE APRIL 5, 2021.