Termination of Garnishment:

Question: After a Small Claims Court judgment is fully paid in Ontario, how do I stop a garnishment and what notice must be served?

Answer: If you have fully satisfied the judgment, Civil Litigations Paralegal Services can help you stop the garnishment by preparing and serving the required Notice of Termination of Garnishment (Form 20R) immediately on the garnishee and the court clerk; under Rules of the Small Claims Court, O. Reg. 258/98, rule 20.08(20.2), the creditor must act “immediately” once the amount owing under the garnishment is paid and keep careful track of the balance to avoid overpayment.   For a quick next step in Ontario, call (416) 229-1479.

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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.

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.