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ORDER 24
GARNISHEE PROCEEDINGS
Order
for examination
1. (1)
Where a person obtains a judgment or
order for the payment of money by
another person, referred to in this
Order as the judgment debtor, the Court,
on an application made ex parte
by the person entitled to enforce the
judgment or order, may order the
judgment debtor or, where the judgment
debtor is a body corporate, an officer
of that body corporate to attend the
Court and be orally examined on
(a)
whether
any debts are owing to the judgment
debtor, and (b) whether the
judgment debtor has any property or
other means of satisfying the judgment
or order.
(2) The
Court may also order the judgment debtor
or where the judgment debtor is a body
corporate the officer of the judgement
debtor to produce, at the time and place
appointed for the examination, any books
or documents in the possession of the
judgment debtor relevant to these
questions.
Examination of party liable to satisfy
the judgment
2.
Where
there is difficulty with the enforcement
of any judgment or order, other than a
judgment or order under rule 1, the
Court may make an order under rule 1 to
require the party liable to satisfy the
judgment or order to attend the Court
and be examined on questions specified
in the
order
and rule I shall apply according! y with
the necessary modifications .
Attachment of debt owed to judgment debtor
3.
(1) Where a person, in this Order referred
to as the judgment creditor obtains a
judgment or order for the payment of money
by the judgment debtor and
(a) the judgment or order is
not for the payment of money into Court, and
(b)
another
person referred to as the garnishee is
indebted to the judgment debtor,
the Court
may, subject to the provisions of this Order
and of any other relevant enactment, order
the garnishee to pay to the judgment
creditor,
(c)
the amount of any debt due or accruing
to the judgment debtor from the garnishee,
or
(d)
as much of the debt as is sufficient to satisfy that judgment or order
and the costs of the garnishee proceedings.
(2) In
furtherance of this rule a bank is a debtor
to a customer who has a credit balance in an
account kept with the bank and the credit
balance is .
(a)
the debt owed by the bank to the customer,
and
(b)
subject to garnishee proceedings.
(3) An order
under this rule shall
(a)
in the first instance be an order to show
cause,
(b)
specify the time for further consideration
of the matter, and
(c)
attach the debt or as much of the debt as is
specified in the order, to satisfy the
judgment or order and the costs of the
proceedings.
Application for order
4.
An application for an order under rule 3 may
be made ex parte and shall be
supported by an affidavit that
(a)
identifies the judgment or order to be
enforced and states the amount remaining
unpaid under it at the time of the
application,
(b)
states that
to the best of the information or belief of
the deponent, the garnishee is indebted to
the judgment debtor, and
(c)
states the
sources of the deponent's information or the
grounds for the deponent's belief.
Service
and effect of order to show cause
5.
(1) An
order under rule 1 to show cause as set out
in Form 16 of the First Schedule
shall be served, at least seven days
before the time appointed for the further
consideration of the matter, on
(a)
the garnishee personally; and
(b)
the judgment
debtor unless the Court otherwise directs,
(2) Service of
the order on the garnishee shall bind the
garnishee as regards the debt or the part of the
debt specified in the order from the date of
service on the garnishee.
No attendance or
dispute of liability by garnishee
6.
(1) Where
at the further consideration of the matter, the
garnishee does not attend or does not dispute
the debt due or claimed to be due from the
garnishee to the judgment debtor, the Court may,
subject to rule 7, make an order absolute
under rule 1 against the garnishee.
(2) An order
absolute under rule 1 against the garnishee
may be enforced in the same manner as any other
order for the payment of money, except that in
the case of a garnishee bank the Court may order
the bank to pay the judgment creditor the credit
balance or as much of it as is necessary to
satisfy the judgment debt and costs.
Dispute of
liability by garnishee
7. Where at the
further consideration of the matter the
garnishee disputes liability to pay the debt
due or claimed to be due to the judgment debtor,
the Court may summarily determine the question
in issue or order that any'" question necessary
for determining the liability of the garnishee
be tried in the manner in which a question or
issue in an action may be tried.
Claims of third
person
8.
(1) If in
garnishee proceedings it is brought to the
notice of the Court that some person other than
the judgment debtor is or claims to be entitled
to the debt sought to be attached or has or
claims to have a charge or lien on the debt, the
Court may order that other person to attend the
Court and state the nature of the claim, with
particulars of the claim.
(2) After
hearing a person who attends the Court in
compliance with an order under subrule (1), the
Court may
(a) summarily determine the
questions in issue between the claimants, or
(b)
make another order as it considers Just,
including an order that the question or issue
necessary for determining the validity of the
claim of that person be tried in a manner a
question or an issue in an action may be tried
Discharge of garnishee or judgment
debtor
9.
(1) A payment made by a garnishee in compliance
with an
order absolute
under this Order and any execution
levied against
the garnishee under this order is a valid
discharge of the liability of the garnishee to
the judgment debtor to the extent of the amount
paid or levied, even if the garnishee
proceedings are subsequently set aside or the
judgment or order from which they arose are
reversed.
(2) A payment
made by a garnishee in compliance with an
order absolute under this Order and an
execution levied against the garnishee in
furtherance of the order shall also be a valid
discharge of the liability of the judgment
debtor to the judgment creditor to the extent of
the amount paid or levied despite the subsequent
setting aside of the garnishee proceedings or
reversal of the judgment or order from which
they arose are reversed.
Money in Court
10.
(1) Where
money stands to the credit of a judgment debtor
in Court, the judgment creditor is not entitled
to take garnishee proceedings in respect of that
money but may apply to the Court for an order
that the money or so much of it as is sufficient
to satisfy the judgment or order sought to be
enforced, together with the costs of the
application be paid to the judgment creditor.
(2) Notice of
the application shall be served on the judgment
debtor at least seven days before the day named
in the application for hearing the application.
(3) The money to
which the application relates shall not be paid
out of Court until after the determination of
the application unless the Court directs
otherwise
(4) The Court
which hears the application may make any order
that it considers just as regards the money in
Court.
Costs
11.
The costs
of an application for an order under rule 1 or
8, and of any proceedings arising from or
incidental to the application shall, unless the
Court otherwise directs, be retained by the
judgment creditor out of the money recovered by
the judgment creditor under the order and in
priority over the judgment debt.
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