Extraordinary Collection Action + Colorado Bill SB-211

Our firm expects local, state and federal government efforts to remain active over the next six months as they seek ways to mitigate impact to those that have suffered a COVID-related life event. Here in Colorado,  a bill has been on the governor’s desk specifically pertaining to “Extraordinary Collection Action”, titled SB-211.

Extraordinary collection action is defined as any action or proceeding like an attachment, garnishment levy, or execution to collect or enforce a judgment on a debt. This bill, if signed, will essentially adopt a moratorium on these extraordinary collection actions until November 1, 2020, with an additional extension baked into the bill if deemed necessary. This bill is intended to address specific collection actions and does not pertain to regular collection activity that accounts for about 85% of transactions this firm sees . This bill has not been signed by the governor as of today, and the length of time it has been on his desk brings some question as to its likelihood of being executed.  Our firm is committed to keeping the management companies we support up-to-date as this and other legislative actions are introduced.