Garnishment Gurus

🌹 Happy Valentine’s Day! 🌹

Today, amidst the celebration of love, Garnishment Gurus wants to share a reminder about an important but often overlooked aspect of past relationships: family law judgments. Our experience has shown us the importance of addressing financial obligations from past relationships, including judgments for unpaid spousal support, property equalization payments, or attorney fees.

It’s worth noting that these judgments, while they may start small, can grow over time with accrued interest, potentially becoming a significant financial matter. Our aim is to assist individuals in navigating the process of collecting what is owed to them, while ensuring that all actions are conducted fairly and within the bounds of the law.

It's crucial to approach garnishment with a balanced perspective, especially considering the legal protections in place to prevent undue hardship. This includes prioritizing child support payments, which are paramount. However, this doesn’t mean other judgments should be neglected. It’s about finding the right timing and method to pursue what you’re owed, keeping in mind the broader financial picture.

As we reflect on the connections that have shaped our lives, let’s also remember the importance of addressing financial ties with clarity and action. Whether it’s a judgment that needs attention or a financial matter awaiting resolution, today serves as a reminder to address these issues with care and diligence.

Should you find yourself needing guidance on how to proceed with a judgment from a past relationship, we’re here to provide support and share our experiences. Remember, addressing these matters sooner rather than later can make a significant difference in the long run.

Wishing everyone a day filled with love and a future of clear, resolved financial paths. 💖

Another unfortunately written "judgment." In this particular case the creditor obtained a judgment because the debtor improperly obtained many payments from the creditor. How much? WHO KNOWS?! Well, actually it is a mathematical certainty subject to calculation.

This is a meaningless judgment. It accomplishes nothing that a judgment should accomplish. As an order (not shown) it is "fine." It cannot be a basis for enforcement.

Also, to all practitioners: quit having interest commence at any time other than immediately. There is no coherent basis for offering a judgment debtor free money in the judgment. It only harms the creditor who can offer that free money later in exchange for payment.

Why Garnishment?

In debt collection and judgment enforcement, securing a client's funds is the main point. It isn't academic or "for the principle."

Our focus in garnishments isn’t purely preference—it’s a strategic decision aimed at maximizing results for our clients with minimal risk.

Reduced Risk, Accelerated Insight
Writs of garnishment stand out as a preferred mechanism for several compelling reasons. Foremost among these is the minimized risk to our clients. In instances where a debtor might be unemployed or their bank accounts yield little to no funds, the financial commitment from our clients remains minimal, typically under $50. Yet, the intelligence gathered through this process is invaluable, often within just a few weeks.

Strategic Advantage in Negotiations
A hidden power of garnishment lies in its ability to unveil the truth about a debtor’s financial situation. Frequently (far too frequently - debtor counsel: please stop doing this), a debtor claims an inability to pay, yet possesses a well-paying job or substantial bank assets.

Every year we see countless debtors have a judgment against them that they refuse to pay. Yet, it turns out that they simply want to finance their fun lifestyle on others. For those that are truly unable to pay no amount of garnishment will change that. For the others, it can be a burned bridge.

Why "Garnishment Gurus" and Not "Ex*****on Experts"?
While writs of ex*****on are another path to judgment enforcement, they are far less common and often misunderstood. Unlike writs of garnishment, a writ of ex*****on almost always has a long wait time and high costs.

We'll continue to beat this drum / dead horse: spell out what your judgment is for. No matter how obvious your judgment seems to be, in 8 years it will not be as obvious to the law firm that is finally able to collect on it.

Today we came across the standard form from Snohomish *Small Claims*. Though not perfect in all contexts, it will cover the bulk of cases. It won't cover personal injury matters with a more unique interest rate calculation being required. 3 cheers for Snohomish!

Every year there are updates to wages which create differences in how garnishments are calculated. Check out our latest blog post on these changes.

Washington State's 2024 Garnishment Exemptions Happy 2024 everyone! With the new year comes new minimum wage requirements across Washington State. These new requirements create new exemption amounts for garnishments. The exemption amount varies based on the type of debt being garnished. These amounts only apply to wage garnishments and are irrel...

🎄 Merry Christmas from Garnishment Gurus! 🎁

As the holiday season is upon us, we want to take a moment to extend our warmest wishes to you and yours. May your holidays be filled with joy, laughter, and cherished moments that become the memories of tomorrow.

At Garnishment Gurus, we're reflecting on the year gone by and the relationships we’ve built and nurtured. It's been a year of unique challenges and significant victories, and we couldn't have done it without the trust and partnership of our clients and goats.

We're grateful for the opportunity to have served you and look forward to supporting our clients and the larger legal community's effort to ensure when a judge orders payment that it is meaningful.

As we wrap up this year's cases, we're also wrapping up gifts, embracing the spirit of the season, and gearing up for a fresh start in 2024.

🌟 Here's to a festive season and a New Year brimming with peace, prosperity, and successful garnishments!

Please note our office will be closed today, Christmas, and new years. We hope you are able to focus on family and friends as well. But we'll be back, ready to enforce and collect with renewed vigor!

Check out our blog post about the expected timeline for bank garnishments after they are received by the bank.

What happens after a bank is served a garnishment? Timelines for bank garnishments What happens after a bank is served a writ of garnishment in Washington State? It is easy to think that the process is basically over, and money will arrive any minute. Like many legal processes, there is some nuance to consider. In this article we address the timeline for writs of garnishment direc...

Exciting Legal Battle Alert! 🦃⚖️
"Will November Butterball Deliciousness III, a.k.a. NBD III, be pardoned this Thanksgiving? In an unusual turn of events, the State of Washington's appetite faces off against a turkey's fate in court! 🍗👨‍⚖️ Find out the amusing details of this unique trial in our latest blog post. It's not your typical courtroom drama! Read more: http://wix.to/ThvUvga "

People v. Turkey COMES NOW, the people of the State of Washington through their duly self-appointed counsel Baner and Baner Law Firm. Identification of parties Turkey, born Meleagris Gallopavo but known as November Butterball Deliciousness the third (NBD III), is a free range bird of limited domestic use. People of....

🥕 Carrot & Stick: The Essence of Debt Collection 🌩️

Navigating the complexities of debt recovery requires a careful balance. At Garnishment Gurus, we understand that our business clients often value their customer relationships deeply.

While the metaphorical "stick" represents the necessary legal measures we can employ, we always prefer leading with the "carrot" – fostering open communication and seeking collaborative solutions.

No business relishes the thought of pursuing legal action against its customers. That's why we aim to be an extension of your team, prioritizing dialogue and understanding. Our goal is to recover what's owed to you while preserving the valuable relationships you've built over the years when possible.

By choosing a balanced approach, we help ensure your debts are addressed, while also upholding the respect and trust integral to long-term business relationships.

Employers out there. Be alert of who is handling your answers to writs of garnishment. These are not fun to deal with, but they should be done correctly. Creditors are not going to go out of their way to verify if you wrote TOO MUCH down (or if someone did it on your behalf).

The process happens, not infrequently, where an employer tells the Court that they withheld more than they actually did on a garnishment. If this is caught quickly enough it is not a problem, but if it is something the employer is not paying attention to, then what happens is the employer becomes liable for the greater amount.

In the world of garnishments, we often talk about the relationship between the creditor, debtor, and court as if it’s a closed circuit. However, we’d be remiss if we didn't mention the often-overlooked garnishee. Typically a business or a bank, the garnishee is a neutral party mandated by the court to redirect owed money to the creditor.

👨‍⚖️ As attorneys representing creditors, our primary allegiance is to our client, advocating vigorously to secure what they're owed.

⚖️ Yet, we are also officers of the court. In that role, we must conduct ourselves with fairness, ensuring that the debtor is treated fairly, especially when they are not represented.

🏦 Then there’s the garnishee, a bystander roped into the legal proceedings. They have their own set of responsibilities and can be penalized for not adhering to them.

Mistakes can happen at every corner; whether it's a filing oversight from the court, a communication error between debtor and creditor, or even human errors from us attorneys. Keeping the entire ecosystem in mind helps us navigate these waters more efficiently.

Keeping all the players in mind is always important.

Mistakes are human nature; they happen everywhere—even in the highly structured world of garnishments. Whether you're the creditor, the debtor, a court official, or a garnishee, errors can and do occur.

📝 A creditor might forget a payment made against the judgment, altering the amount that should be sought.

🗂 A court clerk might misplace a document or miss something crucial in the case file, leading to an erroneous judgment.

💼 Unrepresented debtors often misunderstand legal notices and react in ways that may not be in their best interest.

🏦 Garnishees can sometimes misinterpret their responsibilities, resulting in a breakdown in the process.

👩‍⚖️ Even we, as seasoned attorneys, can make a slip despite our best efforts and layers of safeguards.

Every mistake has a ripple effect, affecting all parties involved. But acknowledging that everyone has a role and responsibilities can facilitate more amicable resolutions. While our primary duty is to our creditor-client, we navigate this space bearing in mind our broader responsibilities to the court, and the ethical requirements to treat all parties fairly.

🔗 The High Cost of Poor Communication in Garnishment Cases: A Real-World Example

Last week, we discussed the web of relationships between creditors, debtors, courts, and garnishees in the world of garnishments. I emphasized the importance of each player understanding their role to make the process more efficient. 🎯

This week, we've been reminded of what can happen when things go awry.
🚨 We had a debtor choose an antagonistic path, making life harder for himself. From voicemails laced with threats to family members leaving online reviews, this approach only escalated the situation. 📈

🕊️ Goodwill Matters: We often recommend resolving your issues in an amicable way because it generates goodwill. Believe it or not, goodwill can be quantified. In this case, the debtor's aggressive stance will likely cost him several thousand dollars more than if he had simply opened a dialogue. 💵

📞 Open Lines, Better Outcomes: Communication isn’t just a cliché; it's an effective tool for resolution. By choosing not to communicate or, worse, by instigating conflicts, debtors can find themselves far from any beneficial resolution.

🛑 For years, we represented consumer debtors in thousands of cases. We had great relationships and successes with creditors even in cases that had to get dismissed because of creditor mistakes or where creditors had our clients dead to rights.

To put it plainly: confrontation and hostility won't make your debts go away. Open communication may very well reduce them.

Keep this in mind when you have a creditor-debtor conversation any side.

Wage garnishments are great at trickling in legal enforcement of judgments, but two things to keep in mind:

1. Only so much can be taken at a time. For most judgments it will be between 20-25% of disposable income. Disposable income is what is leftover after taxes and senior liens (child support usually).

2. It comes in slowly. In Washington State the process applies for 60 days. Then it must start again. At the end of the 60 day period there can be delay of several weeks if the Court is backlogged. The good news is that the funds should be secured, so it is a concern of time not amount.

We almost always recommend doing garnishments when settlements are being refused. The *almost* part can sometimes be enormous though.

The Next Step in Debt Collection - Choosing the Right Attorney

In our previous post, we discussed the origins of debt and the usual responses creditors get once they send out their invoices. While follow-up emails and calls are standard procedures, there comes a point when you realize you might need professional help to recoup what you're owed. That’s when the lawyer might be the next step—but which one should you choose?

Knowing When to Seek Legal Help

After repeated attempts to contact the customer have failed—phone calls ignored, emails unanswered, and letters collecting dust—you may decide it's time to take things up a notch. Here is where the choice of attorney can set the tone for your debt collection journey. While an AR professional or collection agency may be able to solve the problem with agreements (or badgering in some cases) if there is no agreement possible, then litigation is often the only way to compel payment.

Who Do You Turn To?
In-house Counsel: If your business has an in-house legal team, they should be the first point of contact of course.

Family Friend: Maybe you have a family friend who’s a lawyer. Most lawyers have a degree of focus in their practice. Even a general practice attorney is unlikely to be doing murder trials one week, drafting a SEC filing the next, and then wrapping the month up with some debt collection work. However, such a friend is a valuable source of information and maybe help or a referral.

Your business corporate Lawyer: Perhaps you turn to the attorney who helped you set up your LLC. Like the family friend, this is someone you have a relationship with and is likely to offer counsel or a referral to the right fit.

Choose According to Your Needs
Traditional Litigation Attorney: If you're dealing with a defendant that has claims against you as well, then a traditional litigation attorney experienced in your industry might be best suited for you. This comes up often when a large construction project encounters issues that cascade into a series of broken contracts across multiple businesses.

Debt Collection Focused Firms: If the debt is already a judgment or is unlikely to involve claims against you from the other side then a debt collection firm tends to be the most efficient choice.

At the end of the day, the key is to choose someone who understands not just the law, but your business and the specific challenges you face. The right attorney can make the debt collection process smoother, quicker, and ultimately more successful.
And of course, as professionals deeply embedded in this field, we hope you'll consider our services when seeking expert guidance. The right counsel is not just an attorney; they're a partner in securing your business's financial health.

The Genesis of Debt - Where Debt Collection Begins

In the world of debt collection, understanding how a debt originates is crucial to effectively managing it. Whether you're a creditor, debtor, or just curious, here's a glimpse into the very first stage: the creation of debt.

How Debt Gets Created: Real-world Examples

The Home Renovation Scenario: Imagine you're a plumber, and you've just installed a brand-new plumbing system for a residential project. You've done your job well and, naturally, you send an invoice.

Subcontractor and General Contractor: You're a subcontractor who has done specialized electrical work on a construction site. You send your bill to the general contractor after completing the project.

Unpaid Legal Fees: You're an attorney who has just wrapped up a month-long case. You've poured countless hours into ensuring the best outcome for your client. As per protocol, you send out your invoice for legal services rendered.

In almost all these instances, the next logical step is issuing an invoice, sending an email, or employing some other means to request payment. The expectation is simple: you provided a service, and now it's time for the other party to fulfill their end of the bargain by making payment.

Common Responses to the Initial Invoice
What comes next can be a variety of reactions:

Refusal: Some clients or customers may outright refuse to pay, often challenging the quality of your work or the fairness of your charges.

Nonpayment: Despite acknowledging the debt, some parties will delay or neglect payment without giving any solid reason for doing so.

Partial Payment: Some might opt for partial payment, promising to settle the rest later—sometimes much later.

Ignorance is Bliss: Most commonly, the invoice is simply ignored, and follow-up emails or calls go unanswered.

In any of these scenarios, you as the creditor are left hanging. Your time, skills, and resources have been invested, yet you're not compensated as agreed.

So, what's next? It's not just about getting what you're owed; it's about understanding the mechanisms at play so that you can navigate the situation effectively at each stage. We'll go through the next normal stages in subsequent posts.

Until then, keep your invoices clear, your communication lines open, and your documentation robust. Because when it comes to debt collection, the devil is often in the details.

The Importance of a Well-Structured Judgment for Long-Term Recovery

In the world of debt collection, often the first legal milestone is securing a judgment. While this may feel like the end game, it's merely the start of a new chapter. Here's why it's crucial to ensure that the judgment is well-structured.

📄 Judgment Summary
By law, every judgment must have a judgment summary to be enforceable. This isn't just a legal nicety; it's a necessity for the creditor who might need to rely on this judgment for up to 20 years (yes, you read that right, two decades) for debt recovery.

Often a clerk's office will not permit writs of garnishment on orders for judgments that do not include a judgment. You can't fight city hall.

📚 What Should Be Included
Principal Amount: Clearly state the core debt amount.
Costs: These should almost always be awarded and included.
Attorney Fees: Include these if they are applicable and awarded.
Pre-Judgment Interest: This is a simple calculation based on the rate of interest applicable to the debt. (Principal * Interest Rate/365 = Per Diem). Multiply this by the number of days from the debt inception to judgment.

📈 Interest Rate
The judgment should clearly specify the interest rate. While the default is often 12%, relying on this is risky. A future attorney could improperly categorize the debt, causing unnecessary complications and huge drawbacks in some circumstances.

📌 Debtor's Last Known Address
For future reference, it would be beneficial to include the last known address of the debtor or their attorney. Typically, this will be the service of process address.

🔮 Why This Matters
It’s vital that the judgment serves as a reliable record that can be depended on for an extended period. Mistakes or omissions can lead to delays and even complications in the collection process, years down the line.

🌟 Final Thoughts
While it might be tempting to rush through this phase, especially if you’re handling the case pro se or if you’re an attorney not interested in debt collection, remember: a well-structured judgment will be relied on for years.

And of course, if you're navigating this terrain, we're here to help you at every step. A precise, well-documented judgment is your first step in securing what you're owed—today, tomorrow, and for years to come.

Worried about collecting a specific debt that may seem uncollectable? Each debt situation is unique and it's about recognizing when it might be better to pause or stop the collection process. We're here to help.

Concerned about changes in debtor's circumstances? Stay proactive and informed about your rights and options as a judgment creditor.

Is your debtor self-employed? It can make wage garnishment more difficult, but not impossible. Don't let this common concern deter you from pursuing what you're owed.

Judgment creditors may be concerned about the debtor moving, changing their name, or even filing for bankruptcy. These situations can be complex, but we're here to navigate these challenges with you.

Sometimes, creditors worry about the cost of pursuing debt collection. While there are fees associated with actions like garnishment, understanding these costs upfront can help in planning the best course of action.

Judgment creditors often worry about the longevity of their claims. Did you know in Washington state, judgments usually last for ten years and can often be extended for another ten? Stay informed, stay ahead.

One of the top concerns for judgment creditors is the ability of the debtor to pay. If they're currently unemployed or in financial hardship, collection can be challenging. But, don't lose hope. We're here to guide you through it.

Understanding the cost breakdown of a writ of garnishment can give you a clear picture of the process and help you make informed decisions.

If a debtor's circumstances change rapidly, it might impact your garnishment strategy. Staying informed and proactive is crucial in such situations.

Garnishment requires several significant steps, from obtaining a writ to finalizing the order with the court. We're here to guide you through each step of the way.

It's important to remember that not all debts are the same. Some debts may be temporarily or permanently uncollectable, and understanding this is key to effective debt collection. Often the hard unfortunate truths we tell our clients is the most important advice.

Garnishment laws vary from state to state, and understanding these nuances can be a game-changer in your debt collection process.