Commingling Issue?

[ByeByeCCs]

I am being sued by AMEX in Florida. All of my income is exempt, pension and unemployment compensation. Plan on answering the summons but not go crazy adding affirmative defenses etc. The purpose of answering is to get an opportunity to inform AMEX that the funds in my checking account are exempt in an effort to deter them from levying. It is also my understanding that a tort action can be brought against someone who knowingly garnishes exempt property.
I opened my current checking account about six months ago after closing an account at a bank I had credit cards with. Since then I have made two non-exempt deposits into the new account. The last one was on 7/27/10, about 700 bucks. If one reviews my account, pretty much that and the exempt direct deposits have come in and gone right back out. I know some courts, in determining if an amount in an account is exempt use the first in, first out rule. Other opinions from attorneys from other states (I haven’t found any Florida specific info yet) say any sort of commingling takes away the exempt status. So now I have to figure out whether to open another account at another bank and make sure there is absolutely no commingling.
If anybody has any experience with this, particularly in Florida, it would be appreciated.

[seFlaDude]

Yes you want to be very careful of commingling funds in your account/s, you could draw the funds down to 0 prior to the next deposit of protected funds and that would show that what was in there was only protected funds, If you are unable to do this I would, If it were me open a new account with only protected funds, as far as informing them of the protected status of your funds, doing it over the phone may not work as they can just say you did not, Informing them on a legal document would be better, for example if or when they win a judgement they most likely will send you a debtors exam for you to list all your assests and that would be a good place to list the exempt status of your accounts and the reason they are exempt, that would give you written proof on a legal document, This is not legal advise just information from my personal experience

[frogger]

The problem is more than the exemption of funds. Many times, even though the funds may be exempt, there is a shoot first and ask questions later policy.

If they get a judgment on you, they may well levy your bank account, creating you a world of grief. Then, you will have to prove that the funds were exempt.

Meanwhile, the account is frozen, checks bounce, debit cards don't work, etc.

Be careful.

[ByeByeCCs]

Thanks for the responses, you are right it will probably be wiser to play it safe and close the account when the judgment comes down .