Termination of Garnishment:

Question: Once my small claims court judgment is paid in full, how do I stop a wage or bank garnishment in Ontario?

Answer: After the creditor receives full satisfaction of the judgment, the creditor must “immediately” terminate the garnishment by serving a Notice of Termination of Garnishment (Form 20R) on the garnishee and on the court clerk in line with Rules of the Small Claims Court, O. Reg. 258/98, 20.08(20.2).  Defend-it Legal Services can assist Ontario debtors with confirming the payoff amount, tracking the remaining balance, and preparing next steps to ensure the garnishment stops fairly and without overpayment.  For paralegal services plus background searches and fingerprinting support where relevant, call (289) 275-3513 to get practical guidance tailored to your situation.

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:

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.