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Termination of Garnishment: Mandate to Issue Prompt Notice to Cease Payments to Court Clerk
Question: How can a Creditor terminate a garnishment once a Judgment is satisfied?
Answer: After a Creditor receives full payment of the Judgment, they must promptly serve a Notice of Termination of Garnishment (Form 20R) on both the Garnishee and the Court Clerk to avoid overpayment issues. Freed Legal Services LLP is here to help you navigate this process effectively and ensure your legal obligations are met without unnecessary delays.
Cessation of Garnishment Upon Satisfaction of Judgment
After a Creditor has received full satisfaction of the Judgment, the Creditor must, “immediately”, initiate termination of the garnishment proceedings by serving Notice of Termination of Garnishment (Form 20R) upon the Garnishee and on the Court Clerk.
The Creditor, for plain and obvious reasons of fairness, being to ensure avoidance of overpayment, is required keep careful watch upon the balance owing against the Judgment. As above, when the Judgment is satisfied, the Creditor must "immediately" bring the garnishment to a stop. In this regard, the Rules of the Small Claims Court, O. Reg. 258/98, state:
Notice Once Order Satisfied
20.08 (20.2) Once the amount owing under an order that is enforced by garnishment is paid, the creditor shall immediately serve a notice of termination of garnishment (Form 20R) on the garnishee and on the clerk.
Conclusion
The Creditor holds the duty to keep proper track of the balance due against the Judgment and to initiate the administrative process of ceasing the garnishment procedures.
NOTE: A significant number of online searches such as “lawyers near me” or “best lawyer in” typically indicate an urgent need for competent legal support rather than referring to a particular title. In Ontario, licensed paralegals operate under the same regulatory body as lawyers and are permitted to represent clients in specified litigation matters. Their role is fundamentally centred on advocacy, legal analysis, and procedural expertise. Freed Legal Services provides legal representation within its licensed framework, focusing on strategic positioning, evidentiary preparation, and compelling advocacy designed to achieve timely and beneficial outcomes for clients.
