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  #1  
Old 11-03-2009, 11:40 AM
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garnishment paid in error


What is the name of your state (only U.S. law)? Michigan

We terminated an employee, but due to a clerical error, an additional garnishment was paid to his creditor (civil case). The employee never received any wages from which the garnishment was withheld. The creditor's attorneys are refusing to refund the money. Do I have any recourse to retrieve the funds? If not, how do I account for the payout (through payroll, AP, etc)?

Thanks in advance.
  #2  
Old 11-03-2009, 11:58 AM
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Quote:
Originally Posted by Haggleboz View Post
What is the name of your state (only U.S. law)? Michigan

We terminated an employee, but due to a clerical error, an additional garnishment was paid to his creditor (civil case). The employee never received any wages from which the garnishment was withheld. The creditor's attorneys are refusing to refund the money. Do I have any recourse to retrieve the funds? If not, how do I account for the payout (through payroll, AP, etc)?

Thanks in advance.
You need to seek repayment from your former employee.
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  #3  
Old 11-03-2009, 11:59 AM
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Originally Posted by Zigner View Post
You need to seek repayment from your former employee.
he he...good luck to the OP. That may be a tough one.
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  #4  
Old 11-03-2009, 12:44 PM
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If I were the ex-employee, I wouldn't pay it.

Account for it in the boy-did-we-make-a-mistake-and-it's-not-worth-pursuing account.
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  #5  
Old 11-03-2009, 12:49 PM
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IF the employer really wants the money back, seeking repayment from the former employee is the only avenue. Anything beyond that is a business decision, not a legal decision
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The information I gave is based on my 7 seconds of research on Google. Review the information yourself to make an informed decision.

Communication is KEY - 10 mins of talking now can save you months of headaches later!

Masterfully stating the obvious to the oblivious! (Thanks SP!)

Tell it like it is! When all else fails, make up a statistic!

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  #6  
Old 11-03-2009, 02:28 PM
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Originally Posted by Zigner View Post
IF the employer really wants the money back, seeking repayment from the former employee is the only avenue. Anything beyond that is a business decision, not a legal decision
And just how do you believe the ex-employee is liable to repay since the garnishment was made after they terminated employment? This is clearly the employer's mistake, not the ex-employee.
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  #7  
Old 11-03-2009, 03:10 PM
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Agree with mlane. The employer was ordered to pay over what had been withheld from the employee's wages to the court (or whomever). The employee had nothing to do with it.

As previously stated, write it off to dumb mistake and poor audit procedures and fix the procedures going forward.
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