February 10, 2000 - Introduced by Representatives Albers, Miller, Spillner,
Musser, Owens, Hundertmark
and Skindrud, cosponsored by Senators
Plache, Panzer and Schultz. Referred to Committee on Family Law.
AB740,1,5 1An Act to renumber 767.26; to amend 766.70 (4) (a) 3., 767.08 (2) (b), 767.255
2(3) (i) and 767.32 (1) (a); and to create 767.10 (2) (c), 767.10 (2) (d), 767.26 (2)
3and 767.32 (1) (ar) of the statutes; relating to: awarding or revising
4maintenance payments on the basis of debt discharge in bankruptcy and
5approving stipulations waiving maintenance.
Analysis by the Legislative Reference Bureau
Under current law, a court may order a party to pay maintenance (formerly
known as alimony) to the other party in an action for annulment, divorce or legal
separation. The court may revise the amount of maintenance after the action,
depending upon changed circumstances. If a party waived maintenance in the
action, however, the court is prohibited from revising the judgment in the action at
a later date to provide for maintenance to that party.
This bill provides that, in an action for annulment, divorce or legal separation,
the court may not approve a stipulation between the parties that waives
maintenance to either party unless the stipulation contains a statement by a party
waiving maintenance that he or she understands that, if the court approves the
stipulation, the court will not award the party maintenance payments in the future.
The bill provides that the court must approve a stipulation that conditionally waives
maintenance for either party if the party conditionally waiving maintenance is liable
for, or has property that could be used to satisfy, a debt that the court has assigned
to the other party; if the conditional waiver is based on the condition that the party

who is assigned the debt does not secure a discharge of the debt in bankruptcy; and
if the stipulation contains a statement by the party conditionally waiving
maintenance that he or she understands that, if the court approves the stipulation,
the court will not award the party maintenance in the future unless the other party
secures a discharge in bankruptcy of the debt for which the party conditionally
waiving maintenance may be held liable. The bill authorizes a court to award
maintenance after an annulment, divorce or legal separation to a party who
conditionally waived maintenance in the action by stipulation as described above if
the party seeking maintenance has not remarried and the other party has secured
a discharge in bankruptcy of a debt that was assigned to that party and for which the
party seeking maintenance may be held liable.
The bill also provides that, if a debt that was assigned to a party in an action
for annulment, divorce or legal separation is discharged in bankruptcy and the court
awarded maintenance to a party in the action, the discharge of the debt is sufficient
to justify a revision in the amount of maintenance that is paid or received by the party
who was assigned the debt.
For further information see the local fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB740, s. 1 1Section 1. 766.70 (4) (a) 3. of the statutes is amended to read:
AB740,2,42 766.70 (4) (a) 3. A division of the obligations of the spouses existing on the date
3of the request, after considering the classification of the obligation under s. 766.55
4and the factors specified under ss. 767.255 and 767.26 (1).
AB740, s. 2 5Section 2. 767.08 (2) (b) of the statutes is amended to read:
AB740,3,26 767.08 (2) (b) The court in the action shall, as provided under s. 767.25 or
7767.26 (1), determine and adjudge the amount, if any, the person should reasonably
8contribute to the support and maintenance of the spouse or child and how the sum
9should be paid. This amount may be expressed as a percentage of the person's income
10or as a fixed sum, or as a combination of both in the alternative by requiring payment
11of the greater or lesser of either a percentage of the person's income or a fixed sum.

1The amount so ordered to be paid may be changed or modified by the court upon
2notice of motion or order to show cause by either party upon sufficient evidence.
AB740, s. 3 3Section 3. 767.10 (2) (c) of the statutes is created to read:
AB740,3,94 767.10 (2) (c) A court may not approve a stipulation that waives maintenance
5payments for either party unless the stipulation contains a statement by the party
6waiving maintenance that he or she understands that, if the court approves the
7waiver of maintenance payments, the court will not award maintenance payments
8to the party under s. 767.26 or revise or alter a judgment or order with respect to
9maintenance payments to the party under s. 767.32.
AB740, s. 4 10Section 4. 767.10 (2) (d) of the statutes is created to read:
AB740,3,1211 767.10 (2) (d) A court shall approve a stipulation that conditionally waives
12maintenance payments for either party if all of the following apply:
AB740,3,1513 1. The court assigns to the other party under s. 767.255 responsibility for the
14repayment of any debt for which the party conditionally waiving maintenance has
15liability or property that is available under s. 766.55 to satisfy the debt.
AB740,3,1716 2. The waiver of maintenance is based on the condition that the party assigned
17a debt specified in subd. 1. does not secure a discharge in bankruptcy of the debt.
AB740,4,218 3. The stipulation contains a statement by the party conditionally waiving
19maintenance that he or she understands that, if the court approves the conditional
20waiver of maintenance payments, the court will not award maintenance payments
21to the party under s. 767.26 (1), the court will not award maintenance payments to
22the party under s. 767.26 (2) unless the other party secures a discharge in
23bankruptcy of a debt specified in subd. 1., and the court will not revise or alter a
24judgment or order with respect to maintenance payments to the party under s.

1767.32 unless the court awards maintenance payments to the party under s. 767.26
2(2).
AB740, s. 5 3Section 5. 767.255 (3) (i) of the statutes is amended to read:
AB740,4,74 767.255 (3) (i) The amount and duration of an order under s. 767.26 (1) granting
5maintenance payments to either party, any order for periodic family support
6payments under s. 767.261 and whether the property division is in lieu of such
7payments.
AB740, s. 6 8Section 6. 767.26 of the statutes is renumbered 767.26 (1).
AB740, s. 7 9Section 7. 767.26 (2) of the statutes is created to read:
AB740,4,1210 767.26 (2) After judgment has been granted in an action for annulment, divorce
11or legal separation, the court may award maintenance payments to a party, upon the
12petition, motion or order to show cause of the party, if all of the following apply:
AB740,4,1413 (a) The party seeking maintenance under this subsection conditionally waived
14maintenance under s. 767.10 (2) (d).
AB740,4,1515 (b) The party seeking maintenance under this subsection has not remarried.
AB740,4,1916 (c) The party from whom maintenance is sought under this subsection has
17secured a discharge in bankruptcy of a debt that was assigned to that party in a
18property division under s. 767.255 and for which the party seeking maintenance has
19liability or property that is available under s. 766.55 to satisfy the debt.
AB740, s. 8 20Section 8. 767.32 (1) (a) of the statutes is amended to read:
AB740,5,1621 767.32 (1) (a) After a judgment or order providing for child support under this
22chapter or s. 48.355 (2) (b) 4., 48.357 (5m), 48.363 (2), 938.183 (4), 938.355 (2) (b) 4.,
23938.357 (5m), 938.363 (2) or 948.22 (7), maintenance payments under s. 767.26 or
24family support payments under this chapter, or for the appointment of trustees
25under s. 767.31, the court may, from time to time, on the petition, motion or order to

1show cause of either of the parties, or upon the petition, motion or order to show cause
2of the department, a county department under s. 46.215, 46.22 or 46.23 or a county
3child support agency under s. 59.53 (5) if an assignment has been made under s.
446.261, 48.57 (3m) (b) 2. or (3n) (b) 2., 49.19 (4) (h) or 49.45 (19) or if either party or
5their minor children receive aid under s. 48.57 (3m) or (3n) or ch. 49, and upon notice
6to the family court commissioner, revise and alter such judgment or order respecting
7the amount of such maintenance or child support and the payment thereof, and also
8respecting the appropriation and payment of the principal and income of the
9property so held in trust, and may make any judgment or order respecting any of the
10matters that such court might have made in the original action, except that a
11judgment or order that waives maintenance payments for either party shall not
12thereafter be revised or altered under this section in that respect nor shall the
13provisions of a judgment or order with respect to final division of property be subject
14to revision or modification. A revision, under this section, of a judgment or order with
15respect to an amount of child or family support may be made only upon a finding of
16a substantial change in circumstances.
AB740,5,22 17In (am) Subject to par. (a), in any action under this section to revise a judgment
18or order with respect to maintenance payments, a substantial change in the cost of
19living by either party or as measured by the federal bureau of labor statistics may
20be sufficient to justify a revision of judgment or order with respect to the amount of
21maintenance, except that a change in an obligor's cost of living is not in itself
22sufficient if payments are expressed as a percentage of income.
AB740, s. 9 23Section 9. 767.32 (1) (ar) of the statutes is created to read:
AB740,6,524 767.32 (1) (ar) Subject to par. (a), in any action under this section to revise a
25judgment or order with respect to maintenance payments, a discharge in bankruptcy

1of a debt that was assigned to a party under s. 767.255, and for which the other party
2has liability or property that is available under s. 766.55 to satisfy the debt, is
3sufficient to justify a revision of the judgment or order with respect to the amount
4of maintenance payments that are received or paid by the party to whom the debt was
5assigned.
AB740, s. 10 6Section 10. Initial applicability.
AB740,6,9 7(1) The treatment of sections 767.10 (2) (c) and (d) and 767.26 (2) of the statutes
8first applies to stipulations that are approved by a court on the effective date of this
9subsection.
AB740,6,11 10(2) The treatment of section section 767.32 (1) (ar) of the statutes first applies
11to debts that are discharged in bankruptcy on the effective date of this subsection.
AB740, s. 11 12Section 11. Effective date.
AB740,6,14 13(1) This act takes effect on the first day of the 6th month beginning after
14publication.
AB740,6,1515 (End)
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