| 1 | A bill to be entitled |
| 2 | An act relating to judgment interest; amending s. 55.03, |
| 3 | F.S.; requiring quarterly adjustments to the rate of |
| 4 | interest payable on judgments; revising the calculation of |
| 5 | the interest rate; amending s. 717.1341, F.S.; conforming |
| 6 | provisions to changes made by the act; providing an |
| 7 | effective date. |
| 8 |
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| 9 | Be It Enacted by the Legislature of the State of Florida: |
| 10 |
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| 11 | Section 1. Subsections (1), (2), and (3) of section 55.03, |
| 12 | Florida Statutes, are amended to read: |
| 13 | 55.03 Judgments; rate of interest, generally.- |
| 14 | (1) On December 1, March 1, June 1, and September 1 of |
| 15 | each year, the Chief Financial Officer shall set the rate of |
| 16 | interest that shall be payable on judgments or decrees for the |
| 17 | calendar quarter year beginning January 1 and adjust the rate |
| 18 | quarterly on April 1, July 1, and October 1 by averaging the |
| 19 | discount rate of the Federal Reserve Bank of New York for the |
| 20 | preceding 12 months year, then adding 400 500 basis points to |
| 21 | the averaged federal discount rate. The Chief Financial Officer |
| 22 | shall inform the clerk of the courts and chief judge for each |
| 23 | judicial circuit of the rate that has been established for the |
| 24 | upcoming quarter year. The interest rate established by the |
| 25 | Chief Financial Officer shall take effect on the first day |
| 26 | January 1 of each following calendar quarter year. Judgments |
| 27 | obtained on or after January 1, 1995, shall use the previous |
| 28 | statutory rate for time periods before January 1, 1995, for |
| 29 | which interest is due and shall apply the rate set by the Chief |
| 30 | Financial Officer for time periods after January 1, 1995, for |
| 31 | which interest is due. Nothing contained herein shall affect a |
| 32 | rate of interest established by written contract or obligation. |
| 33 | (2) Any judgment for money damages or order for a judicial |
| 34 | sale and any process or writ directed to a sheriff for execution |
| 35 | shall bear, on its face, the rate of interest that is payable on |
| 36 | the judgment. The rate of interest stated in the judgment, as |
| 37 | adjusted in subsection (3), accrues on the judgment until it is |
| 38 | paid. |
| 39 | (3) The interest rate is established at the time a |
| 40 | judgment is obtained and such interest rate shall be adjusted |
| 41 | quarterly in accordance with the interest rate set each quarter |
| 42 | by the Chief Financial Officer remain the same until the |
| 43 | judgment is paid. |
| 44 | Section 2. Subsection (1) of section 717.1341, Florida |
| 45 | Statutes, is amended to read: |
| 46 | 717.1341 Invalid claims, recovery of property, interest |
| 47 | and penalties.- |
| 48 | (1)(a) No person shall receive unclaimed property that the |
| 49 | person is not entitled to receive. Any person who receives, or |
| 50 | assists another person to receive, unclaimed property that the |
| 51 | person is not entitled to receive is strictly, jointly, |
| 52 | personally, and severally liable for the unclaimed property and |
| 53 | shall immediately return the property, or the reasonable value |
| 54 | of the property if the property has been damaged or disposed of, |
| 55 | to the department plus interest at the rate set annually in |
| 56 | accordance with s. 55.03(1). Assisting another person to receive |
| 57 | unclaimed property includes executing a claim form on the |
| 58 | person's behalf. |
| 59 | (b)1. In the case of stocks or bonds which have been sold, |
| 60 | the proceeds from the sale shall be returned to the department |
| 61 | plus any dividends or interest received thereon plus an amount |
| 62 | equal to the brokerage fee plus interest at a rate set annually |
| 63 | in accordance with s. 55.03(1) on the proceeds from the sale of |
| 64 | the stocks or bonds, the dividends or interest received, and the |
| 65 | brokerage fee. |
| 66 | 2. In the case of stocks or bonds which have not been |
| 67 | sold, the stocks or bonds and any dividends or interest received |
| 68 | thereon shall be returned to the department, together with |
| 69 | interest on the dividends or interest received, at a rate set |
| 70 | annually in accordance with s. 55.03(1) of the value of the |
| 71 | property. |
| 72 | Section 3. This act shall take effect July 1, 2011. |