Garnishment lets a creditor with a judgment collect money that someone else owes to the debtor, most often wages from an employer or funds held by a bank. We act for creditors garnishing judgments, and for debtors and third parties responding to garnishments.
Common situations
A creditor with an unpaid judgment who knows where the debtor works or banks
A debtor whose wages or account have been garnished
An employer or bank unsure of its obligations as a garnishee
A dispute about exemptions or about who owns funds in a joint account
How garnishment works, in outline
The creditor obtains a notice of garnishment from the court, naming the debtor and the third party (the garnishee).
The notice is served on the garnishee and the debtor.
The garnishee pays the required amounts into court or as directed, subject to any exemptions.
Disputes go to a hearing, where the court can decide what is owed or vary the garnishment.
For debtors
Exemptions apply to part of a debtor’s wages and to certain other income. A debtor can ask the court to reduce a wage garnishment in some circumstances, and a negotiated payment arrangement can resolve it. If the underlying judgment was obtained by default, it may be possible to set it aside.
Questions we are often asked
How much of my wages can be garnished?
For most ordinary debts in Ontario, a portion of net wages is exempt from garnishment, so only a limited share can be taken, commonly 20 per cent. A higher share can be taken for support orders, and the court can vary the amount in some circumstances.
Can a bank account be garnished?
Yes. Funds in the debtor's account when the garnishment is served can be garnished. A debtor facing hardship can ask the court for relief.
What if an employer or bank does not comply?
A garnishee that fails to pay as required can be ordered to pay the amount itself. The creditor can bring the matter back to court.
Can garnishment happen before judgment?
Generally no. Garnishment is a tool for enforcing a judgment. Different and more demanding remedies apply where a creditor fears assets will disappear before judgment.
General information about Ontario law, not legal advice about your situation. Time limits can be short; if you are unsure, speak with a lawyer promptly.
Speakwithusaboutyoursituation.
Request a consultation online, or call or email us directly.