Setting Aside a Wrongful Garnishment Order in Ontario

Discovering that a chunk of your paycheque, or your bank account, has been garnished can be alarming enough on its own. It is worse when the garnishment itself looks wrong: maybe the underlying judgment was never properly obtained, the amount is incorrect, or the funds targeted should have been protected in the first place.

Ontario law does not treat a garnishment order as untouchable. If a garnishment was obtained improperly or reaches money it should not, there are steps available to challenge it, but timing and evidence both matter.

Common Reasons a Garnishment Might Be Wrongful

• The underlying judgment was never validly obtained — for example, you were never properly served with the original claim
• The amount being withheld exceeds what the Wages Act allows for the type of debt involved
• The garnishment is reaching funds that should be exempt or protected
• The debt has already been paid, settled, or discharged
• The wrong person's wages or account was targeted entirely

Steps to Challenge a Wrongful Garnishment

1. Get the paperwork. Request or locate the underlying judgment, the notice of garnishment, and any court file information connected to the case.
2. Identify the specific problem. Is it about how the judgment was obtained, how much is being withheld, or what kind of funds are being reached? The right response depends on which one applies.
3. Gather your evidence. Pay stubs, bank statements, proof of payment, or proof of the funds' source can all matter, depending on the issue.
4. Bring the issue to the court. Ontario's courts have the authority to review, and where appropriate vary or set aside, a garnishment that was improperly obtained or is reaching the wrong money.
5. Ask about a stay while the issue is resolved. Depending on the circumstances, it may be possible to pause further deductions while the challenge is being decided, rather than waiting until after more money has already been withheld.

Evidence Checklist

• [ ] Copy of the original claim and proof of how (or whether) you were served
• [ ] Copy of the judgment being enforced
• [ ] Copy of the notice of garnishment
• [ ] Recent pay stubs showing the amount withheld
• [ ] Bank statements showing the source of any garnished funds
• [ ] Any proof of prior payment, settlement, or discharge of the debt

Acting Quickly Matters

The longer a wrongful garnishment continues, the more money is withheld before the problem is corrected. Ontario's enforcement system allows for review and correction, but it does not automatically undo deductions that have already been paid out — so raising the issue promptly, rather than waiting, puts you in a stronger position.

What the Court Can Do About It

If a court agrees that a garnishment was improperly obtained or is reaching money it should not, it generally has a range of options available — from adjusting how much can be withheld going forward, to setting the garnishment aside entirely, to addressing what should happen with funds already collected. Exactly which remedy fits depends heavily on what went wrong and how far the garnishment has already progressed, which is part of why gathering clear evidence early makes such a difference.

None of this happens automatically simply because you believe the garnishment is unfair. The court needs to be asked, and shown why, before it can act.

Frequently asked questions