Termination of Garnishment:

Question:If I paid the full amount under a Small Claims Court judgment, how do I stop an active garnishment in Ontario?

Answer:Once the amount owing under an order enforced by garnishment is paid, the creditor must immediately serve a Notice of Termination of Garnishment (Form 20R) on the garnishee and on the court clerk, and you should keep careful track of the judgment balance to avoid overpayment.   If you need help coordinating the termination paperwork or checking your next steps, Ajodhia Legal Services can guide you as a paralegal in Ontario.   Call (647) 882-8205 for support.

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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.

Note: Please contact Ajodhia Legal Services by phone at: (647) 882-8205 to discuss any specific questions that you may have.

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:

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.