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Wage Assignment from Canada

pgcmlspgcmls 3 Posts
in Compensation Vote Up0Vote Down
We just got a package of info from a company in Canada called Sonic Payday LTD requesting us to withhold a payment from an ee's paycheck. Included was a Declaration of Wage Assignment and an electronic signature from the ee along with his SSN.

We always require a court order (or something from the IRS) before withholding payments. Do we just ignore this? Send them a letter saying we need a court order from our state (Maryland)?

We've never seen anything like this before. Any advice would be appreciated. Thanks.
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  • HRCalicoHRCalico 582 Posts
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    Before I ignored it, I would put in a call to my county court and ask them. In my limited garnishment experience, if you get a judgment in one county and want to garnish in another county, you have to go through that county's court. Let alone another COUNTRY! Depending on how you feel based on what your local court says, you could either ignore it or send them a letter identifying why you're ignoring it.

    Did you do an internet search? This sounds like a payday loan company (red flag), and the fact that they are in Canada sends up a whole flurry of flags. Yikes.
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