What Happens If I Don't Comply With a Garnishment?

When a debtor fails to pay a credit on time, the creditor may undertake a number of different actions with the intention of receiving payment on the outstanding debt. One collection action a creditor can take is wage garnishment. After receiving a legal judgment for the money owed, the creditor can petition the judge to allow him to confiscate a portion of the employee's wage directly from his employer. Employers are required to comply with a garnishment order or face severe legal penalties.

Legal Garnishments

An employer is legally obligated to comply with a order of garnishment. Under U.S. law, a creditor must first inform the employer of the garnishment order. An employer is not obligated to comply with a garnishment order that he has not been formally served with. Also, an employer is not obligated to comply with an extra-judicial garnishment order. Only garnishment orders issued by a judge are legal; attempts to garnish wages without a judge's consent are illegal.

Penalties

If an employer fails to comply with a legally mandated garnishment order, he can face stiff penalties. Because the employer is violating a judge's orders, the employer can be held in contempt of court. Penalties for contempt of court are left to the discretion of the judge, but can range from fines to imprisonment. In some cases, an employer who fails to comply with a garnishment order may become liable for the debtor employee's debt.

Size of Garnishment

Although employers must comply with garnishment orders, they cannot garnish more than a certain amount of an employee's wages. According to the U.S. Department of Labor, the maximum amount of wages that can garnished in any pay period is 25 percent of disposable earnings or the amount by which the employee's disposable earnings are 30 times larger than the federal minimum hourly wage -- whichever number is smaller.

Considerations

While some garnishments are straightforward, employers may face legal complications if served with more than one garnishment order simultaneously, as this may place the employer in position in which he is being legally ordered to garnish more from the employee's wages than federal law permits. In this case, the employer should contact an employment law attorney. In addition, all employers should consult state laws regarding garnishment before fulfilling an order, to make sure that they are in compliance.