California Modifies Creditor Garnishment Rules for Employers

California has extended the effective date under which employers must implement garnishment orders to 30 days from 10, under provisions that went into effect Jan. 1.

The 30-day period before wages are withheld begins once an employer is served the creditor garnishment order, under AB 774. That period may be extended to 45 days if the employee subject to the garnishment files a claim of exemption with the levying officer and the employer is notified of that fact within 30 days of receiving the order. A claim of exemption is used to request a lower wage garnishment amount, according ...