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Garnishment Hearing Procedures: Court Review of Various Concerns Relating to Garnishment
Question: What is the purpose of a Garnishment Hearing?
Answer: A Garnishment Hearing addresses disputes related to garnishment issues among creditors, debtors, and others with a legal interest, allowing for the resolution of payments and rights in accordance with the Rules of the Small Claims Court.
Reviewing Garnishment Concerns
A Garnishment Hearing may be held for the purpose of addressing disputes arising from a garnishment issue of concern as relating to a Creditor, a Debtor, a Garnishee, a Co-Owner of Debt, or any other person with a genuine legal interest.
The request for a Garnishment Hearing, regardless of the person with standing seeking to initiate the hearing, occurs by issuing and the Notice of Garnishment Hearing (Form 20Q) and serving the Notice of Garnishment Hearing (Form 20Q) upon all proper persons. As above, the persons who may have proper standing to initiate a Garnishment Hearing, and the purpose of the hearing may vary. Specifically, the persons who may initiate a Garnishment Hearing, the purpose of the Garnishment Hearing, and the powers of a Judge at a Garnishment Hearing, are addressed by the Rules of the Small Claims Court, O. Reg. 258/98, wherein it is stated:
Garnishment Hearing
20.08 (15) At the request of a creditor, debtor, garnishee, co-owner of the debt or any other interested person, the clerk shall fix a time and place for a garnishment hearing.
Service of Notice of Garnishment Hearing
(15.1) After having obtained a hearing date from the clerk, the party requesting the garnishment hearing shall serve the notice of garnishment hearing (Form 20Q) in accordance with subrule 8.01 (9).
Powers of Court at Hearing
(15.2) At the garnishment hearing, the court may,
(a) if it is alleged that the garnishee’s debt to the debtor has been assigned or encumbered, order the assignee or encumbrancer to appear and state the nature and particulars of the claim;
(b) determine the rights and liabilities of the garnishee, any co-owner of the debt, the debtor and any assignee or encumbrancer;
(c) vary or suspend periodic payments under a notice of garnishment; or
(d) determine any other matter in relation to a notice of garnishment.
Time to Request Hearing
(16) A person who has been served with a notice to co-owner of debt is not entitled to dispute the enforcement of the creditor’s order for the payment or recovery of money or a payment made by the clerk unless the person requests a garnishment hearing within 30 days after the notice is sent.
Conclusion
A Garnishment Hearing may e used for various purposes including to vary the sum payable in the garnishment of wages, to determine the rights and duties of a garnishee including the seeking of a garnishment absolute Order against a Garnishee, among other things.