Civil Procedure Act 2005 No 28
Current version for 28 February 2013 to date (accessed 24 May 2013 at 00:25)
Part 8Division 3Subdivision 3

Subdivision 3 General

123   Payments by garnishee

(cf Act No 9 1973, section 105; DCR Part 33, rule 7; Act No 11 1970, section 47D; LCR Part 29, rule 3)

(1)  A payment under a garnishee order must be made in accordance with, and to the judgment creditor specified in, the order.
(2)  Out of each amount attached under the garnishee order, the garnishee:
(a)  subject to payment of the balance being made within the time required by section 118 or 120, as the case may be, may retain up to the amount prescribed by the uniform rules to cover the garnishee’s expenses in complying with the garnishee order, and
(b)  must pay the balance to the judgment creditor.
(3)  A payment to the judgment creditor must be accompanied by a statement showing:
(a)  the amount attached under the garnishee order, and
(b)  how much of that amount has been retained by the garnishee, and
(c)  how much of that amount has been paid to the judgment creditor.
(4)  As between the garnishee and the judgment debtor, the amount attached under the garnishee order is taken, subject to any order of the court, to have been paid by the garnishee to the judgment debtor.
Note. Such an order may be made, for example, if the garnishee has failed to comply with the requirements of subsection (3).
(5)  As between the judgment creditor and the judgment debtor, the amount of the payment to the judgment creditor is taken to have been paid by the judgment debtor to the judgment creditor in satisfaction, to the extent of that amount, of the judgment.

124   Procedure where garnishee order not complied with

(cf Act No 9 1973, section 102; Act No 11 1970, section 52)

(1)  On the application of a judgment creditor who considers that a garnishee order has not been complied with, the court:
(a)  may hear and determine any question as to the liability of the garnishee to pay the debt, wage or salary sought to be attached by the garnishee order, and
(b)  if satisfied that the garnishee is so liable, may give judgment in favour of the judgment creditor against the garnishee:
(i)  for the amount of that debt, wage or salary, or
(ii)  for the unpaid amount of the judgment debt,
      whichever is the lesser.
(2)  The court may refuse to give such a judgment if it is of the opinion that such a judgment should not be given.
(3)  Without limiting subsection (2), the reasons that may lead the court to form such an opinion may include:
(a)  the smallness of the amount outstanding under the judgment, and
(b)  the smallness of the debt, wage or salary to be attached.
(4)  As between the garnishee and the judgment debtor, an amount paid to the judgment creditor by the garnishee under a judgment given under this section is taken to have been paid to the judgment debtor.

125   Repayment of excess amounts

(cf Act No 9 1973, section 106; Act No 11 1970, section 56)

(1)  If a judgment creditor receives an amount paid under a garnishee order in excess of the amount required to satisfy the judgment, the judgment creditor:
(a)  must forthwith notify the judgment debtor and the garnishee of that fact, and
(b)  on demand made by the judgment debtor, must repay the excess to the judgment debtor.
(2)  The amount of the excess is recoverable from the judgment creditor, by the judgment debtor or by the garnishee, as a debt in any court of competent jurisdiction.
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