New South Wales Consolidated Acts

CIVIL PROCEDURE ACT 2005 - SECT 123

123 Payments by garnishee

(cf Act No 9 1973, section 105; DCR Part 33, rule 7; Act No 11 1970, section 47D; LCR Part 29, rule 3)

(1) A payment under a garnishee order must be made in accordance with, and to the judgment creditor specified in, the order.

(2) The garnishee may, after the payment of each amount attached under the garnishee order, retain up to the amount prescribed by the uniform rules to cover the garnishee's expenses in complying with the garnishee order. The amount retained by the garnishee is in addition to the amount attached under the order.

(2A) If sufficient funds are not available to cover the prescribed amount referred to in subsection (2), the garnishee may retain that amount as soon as sufficient funds become available.

(3) A payment to the judgment creditor must be accompanied by a statement showing--

(a) the amount attached under the garnishee order, and

(b) how much of that amount has been retained by the garnishee, and

(c) how much of that amount has been paid to the judgment creditor.

(4) As between the garnishee and the judgment debtor, the amount attached under the garnishee order is taken, subject to any order of the court, to have been paid by the garnishee to the judgment debtor.

Note--: Such an order may be made, for example, if the garnishee has failed to comply with the requirements of subsection (3).

(5) As between the judgment creditor and the judgment debtor, the amount of the payment to the judgment creditor is taken to have been paid by the judgment debtor to the judgment creditor in satisfaction, to the extent of that amount, of the judgment.