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garnishment and now bankruptcy

GLCGLC 174 Posts
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We have an EE who has had her check garnished since 2001. Now, she has filed bankruptcy and wants us to stop the garnishment. She brought in a form showing us where she filed bankruptcy. Do we need to stop the garnishment now? What type of documentation is sufficient for us to stop? Does the court or attorney need to send us something?
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  • marcmarc 3,126 Posts
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    It will take a court order to stop the garnishments. It is likely that the company receiving the garnishment will get to regurgitate any dollars received after the filing. Then the courts will see that distribution takes proper legal priorities. but, you keep paying per the court order until you receive another advising you to change.
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  • E WartE Wart 719 Posts
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    Don't stop garnishment until you get written word from the garnishee...
    I know of a situation where employer stopped when bankruptcy, but employee forgot to list this person on his bankruptcy (Has to list folks he owes money to.) It turned out he would still owe that company the money since they were not on the "list".
    You could even call the garnishee to try to confirm something with them and speed it along. They could fax you something if it should stop.

    E Wart
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