garnishment


Also found in: Dictionary, Thesaurus, Legal, Encyclopedia, Wikipedia.
Related to garnishment: garnishment order

Garnishment

The withholding of a person's full salary or wages, especially in order to pay a creditor or the tax agency. For example, suppose one's regular paycheck would be $1500. Garnishment occurs when the person receives a check for only $1050 because the government is withholding $450 for taxes. Garnishment may also occur for other reasons, such as to pay child support, back taxes, or some debts.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

garnishment

A process involving three parties:

• Judgment creditor. The party who takes a judgment against a debtor (can also be the IRS or a state's Department of Revenue).

• Judgment debtor. The party who owes the debt.

• Garnishee A party who owes money or holds property belonging to the judgment debtor.

In this legal process, the judgment creditor obtains a court order requiring the garnishee to turn over funds or property to the judgment creditor instead of to the true owner, the judgment debtor. The most common garnishments are against employers, requiring them to withhold a portion of wages and salary and pay it to the creditor rather than to the employee. The second most common garnishment is against a bank, ordering it to turn over bank account funds to the judgment creditor or the IRS.

The Complete Real Estate Encyclopedia by Denise L. Evans, JD & O. William Evans, JD. Copyright © 2007 by The McGraw-Hill Companies, Inc.
References in periodicals archive ?
Unfortunately, the bank did nothing to stop this wire transfer, and there were no notes on the closed account that would have informed the teller that a garnishment had been served on the bank.
Finally, employers should be mindful that the majority of lump-sum payments made to employees are subject to the CCPA's garnishment limitations.
We also assume that he does not use a forbearance or deferment to postpone payments and that involuntary payments (such as wage garnishment and tax refund offsets) do not occur until the end of this period.
Further, considering the proximity of the post-petition garnishment to the date that notice was issued, the judge found that FAME had not violated the automatic stay, either by the garnishment itself or by the retention of the funds for 14 months.
When he hears about the former employee's whereabouts later, he said, his suspicions are almost always confirmed: The person found work as an independent contractor to avoid wage garnishment.
"I would hate to see them obtain employment, only for the new employer to receive a garnishment order,'' she said.
The Plaintiffs/Appellees alleged all four of [section] 201(a)'s elements were met: (1) the judgment being enforced was against a terrorist party--FARC; (2) the judgment was based on FARC's acts of terrorism; (3) Mercurio's assets were "blocked assets" within the meaning of the Terrorism Act; and (4) garnishment against Mercurio would partially satisfy an award of compensatory damages.
Missouri statutes normally protect public employees' retirement funds from any kind of attachment or garnishment, except in connection with cases involving matters such as fraud or child support.
The daughter of former Alaska governor Sarah Palin hasn't attempted to enforce the court's order by wage garnishment or other means.
Legal Aid lawyers throughout the nation have hundreds of similar stories to tell about the harsh effects of the garnishment of government benefits on their low-income clients.
The rest of the loan will be paid off through government garnishment of 25 percent of the debtor's wages.