Most employers receive a garnishment from time to time, and some employers receive a lot of them. It is the employer’s legal obligation to administer garnishments exactly, and liability arises for the employer for...more
The requirements and processes applicable to employers handling garnishments are primarily governed by state laws. Therefore, in addition to the federal Consumer Credit Protection Act (CCPA), multistate employers need to be...more
A wage garnishment is a court order that assists plaintiffs with the collection of judgments. Such an order requires an entity to withhold money (i.e., wages) owed to a judgment debtor and divert it to a judgment creditor in...more
An order for a wage garnishment is surprisingly complex to administer and very risky for employers. For instance, if an employer does not answer a garnishment within 14 days or do any other act required by the court, it is...more
In part one of this two-part series on garnishments, I discussed the consequences employers face if they mishandle garnishment orders. In part two, I address one of the hurdles that employers face when trying to comply with...more
Many employers aren’t aware that a failure to properly administer a garnishment of an employee’s wages can result in employer liability for a significant amount of money. In most states, an employer that makes even the...more