Creditor's attorney is ignoring court order

[jasonater]

Last year, after a judgement was entered against me, the creditor tried to garnish my our bank account. In Maryland, however, if the account is JOINT with a spouse, and established before the judgement, it is protected from garnishment. So the garnishment was lifted- no money was taken out, but I did have to pay my bank a 'legal fee' of $150 for the whole process.

Anyways, fast forward to last week- I get a notice from bank that this SAME attorney is trying to garnish this same account. It is locked up on me again- I cannot access it. As I see it, she is in violation of the court order from last year (and actually so is the bank).

Is she in contempt of court? Can I sue? Just curious.

[Bell30656]

Is there a possibility that the court order had an expiration date? Possibly to allow you to get the situation resolved?

[HHM]

Probably not. Usually, a garnishment is not issued to a specific "account", it is simply against the person (defendant) and issued to the bank. The bank then has to identify any account with that name. When the bank finds an account, it then freezes it. The burden is then on you to "prove" that the frozen account is somehow exempt from the garnishment.

Hate to say it, but until you resolve the judgement in some way, this will keep happening and it is perfectly legal.

[jasonater]

I am half way through my bankruptcy paperwork anyways....so it will resolve soon enough. It's just a pain....

[IamOld]

Sadly HHM is right - there is no EQUAL justice when we're up against businesses. The law may say one thing, but the system will and does bend over backward for the business. Can you move your account (once this is over)...by the way, DELAWARE STATE CHARTERED (small local DE banks) - there is NO garnishment of bank accts in DE if they're state chartered/small.

Having said that, the law firm is INTENTIONALLY doing this knowing full well that it is not allowed in MD. Perhaps you can search for a good consumer rights atty who may be interested in this for a contingent fee...the argument here is that they doing this for a SECOND time is done with clear and full knowledge that since the acct is joint (in MD) it is off limits, and, therefore, there is an intent there to violate MD law. (and to harrass you!)

[jasonater]

Having said that, the law firm is INTENTIONALLY doing this knowing full well that it is not allowed in MD. Perhaps you can search for a good consumer rights atty who may be interested in this for a contingent fee...the argument here is that they doing this for a SECOND time is done with clear and full knowledge that since the acct is joint (in MD) it is off limits, and, therefore, there is an intent there to violate MD law. (and to harrass you!)

Well I am partly to blame as I have been procrastinating this bankruptcy for a year- but you're right, they knew the account was off limits. I was a bit prepared this time though- I knew they were doing it a few days before the bank actually froze it- so I made sure there was only $0.28 in the account!

[IamOld]

excellent jasonater!!! Good for you - once you have your BK atty ask him or her if this creditor is worth going after...my BK atty has a partner that does nothing but FDCPA etc violations for the practice - some BK attys will tell you that you filed, that's it, don't worry about it...

[AngelinaCat]

Well I am partly to blame as I have been procrastinating this bankruptcy for a year- but you're right, they knew the account was off limits. I was a bit prepared this time though- I knew they were doing it a few days before the bank actually froze it- so I made sure there was only $0.28 in the account!

Then I think I would just abandon the account and move to another bank or CU...

[kornellred]

Everyone should take note that banks will charge a fee to the account holder when they are ordered to freeze an account. The circumstances or the ultimate legality of the account levy is of no interest to the bank.

[tammygirl1]

Our account with Chase was frozen and levied. It was eventually lifted without any money removed. Chase didn't charge us a fee. It must depend on state and/or bank?