FINAL BILL REPORT
SHB 2173



C 254 L 05
Synopsis as Enacted

Brief Description: Adopting the service members' civil relief act.

Sponsors: By House Committee on Judiciary (originally sponsored by Representatives Serben, Lantz, Curtis, Darneille, Williams, Rodne, Ahern, Sump, Sells, Woods, Dunn, Springer, Haler, Talcott, Wallace, Conway, O'Brien, Kenney and P. Sullivan).

House Committee on Judiciary
Senate Committee on Judiciary

Background:

The federal Servicemember's Civil Relief Act (SCRA) provides a number of protections to military personnel while on active duty. The SCRA was adopted by the Congress in 2003 and is a revision to the Soldiers' and Sailors' Civil Relief Act of 1940. The SCRA applies to all judicial and administrative proceedings in any federal or state court or agency. It does not apply to criminal proceedings.

The SCRA contains numerous protections for service members whose financial and legal obligations may be adversely impacted by active military duty. These protections include, among others, protecting service members from default judgments and staying court proceedings if the service member is unable to defend his or her interests in the proceeding.

Default Judgments

A court may not enter a judgment against an absent defendant until the plaintiff has filed an affidavit stating whether the defendant is in military service. If it appears that the defendant is in military service, the court may not enter a judgment until after the court appoints an attorney to represent the defendant.

The court must grant a stay of proceedings for a minimum of 90 days if the court finds there may be a defense to the action that cannot be raised without the service member's presence, or counsel has been unable to contact the service member to determine whether there is a valid defense.

A default judgment against a service member during military service, or within 60 days after termination of military service, may be reopened to allow the service member to defend the action if the military service materially affected the ability to raise a defense. The application to reopen the judgment must be filed no later than 90 days after the date military service ends.

Stay of Civil Proceedings

A service member whose military service materially affects his or her ability to appear at a civil proceeding and who is unable to receive military leave to appear at the proceeding is entitled to an automatic stay of the proceedings for a period of at least 90 days. The service member may apply for an additional stay if military service continues to materially affect the service member's ability to appear. If a court refuses to grant the additional stay, the court must appoint counsel to represent the service member.

Contract Fines and Penalties

A court may reduce or waive a penalty that accrues under a contract for nonperformance by a service member if the service member was in military service when the penalty was incurred and the military service materially affected the service member's ability to perform the contract obligation. In addition, a penalty for noncompliance with a contract cannot be imposed if an action on the contract has been stayed.

Statutes of Limitations

The period of a service member's military service is excluded from the calculation of any statute of limitation periods provided in law (except for federal internal revenue laws) regarding when an action or proceeding may be brought either by or against the service member.

Summary:

The Washington Service Members' Civil Relief Act (Act) is established to provide certain rights and protections in civil proceedings to service members called to active duty, and their dependents, during the period of military service or within 180 days after military service ends. The Act applies to all judicial and administrative proceedings, but does not apply to criminal proceedings.

"Service member" means a Washington resident who is a member of the Washington National Guard or a military reserve component. "Military service" means service under a call to service for a period of more than 30 consecutive days. "Dependent" means a spouse or child of the service member or a person for whom the service member provides more than one-half of the person's support for the six months prior to applying for relief under the Act.

Default Judgments

In a civil action where a defendant does not make an appearance, the plaintiff must file an affidavit stating whether or not the defendant is in military service or is a dependent of a service member in military service. A person who makes or uses such an affidavit knowing that it is false is guilty of a class C felony.

The court may not enter a judgment against an absent defendant who is a service member in military service, or who is a dependent of a service member in military service, until after the court appoints an attorney to represent the defendant. The actions of the attorney are not binding on the service member or dependent if the attorney is unable to locate the service member or dependent.

In a civil action where a service member or dependent is a defendant and does not make an appearance, the court must grant a stay of proceedings until 180 days after termination of or release from military service if the court finds:

A court may enter a temporary order in a domestic relations case despite the absence of the service member from the proceedings if delay would result in manifest injustice to other interested parties.

If a default judgment is entered against a service member or dependent during military service or within 180 days after military service ends, the service member or dependent is entitled to have the judgment reopened to allow for defense of the action if the service member or dependent:

Any default judgment that is vacated or set aside under this provision does not impair a right or title acquired by a bona fide purchaser for value.

Stay of Proceedings

A service member or dependent may apply for a stay of a civil proceeding in which the member or dependent is a defendant during military service or within 180 days after the termination of military service. The court must stay the proceedings until 180 days after termination of military service if the application contains:

A service member or dependent may apply for an additional stay based on the continuing impact of military duty on the ability to appear. If the court refuses to grant an additional stay, the court must appoint counsel to represent the service member or dependent in the action.

Contract Fines or Penalties

A court may reduce or waive a penalty that accrues under a contract for nonperformance by a service member or dependent if the service member was in military service when the penalty was incurred and the military service materially affected the ability to perform the contract obligation. In addition, a penalty for noncompliance with a contract may not be imposed if an action on the contract has been stayed.

Statutes of Limitations

The period of a service member's military service is excluded from the calculation of any statute of limitation periods provided in law (except for federal internal revenue laws) regarding when an action or proceeding may be brought either by or against the service member or a dependent of the service member.

Secondarily Liable Parties

Any relief granted under the Act may also be granted to any other person who may be primarily or secondarily liable upon the obligation at issue, such as a surety, guarantor, or endorser.

Miscellaneous Provisions

A service member may waive the rights granted under the Act by written agreement. If a court determines that any interest or right has been acquired or transferred with the intent to delay the enforcement of the right by taking advantage of the Act, the court must enter an appropriate judgment or order concerning the transfer or acquisition.

Votes on Final Passage:

House   93   0
Senate   48   0   (Senate amended)
House   96   0   (House concurred)

Effective: May 3, 2005