Ogletree Deakins: Michigan Governor Signs New Amendments to Wage Garnishment Process | Practical Law

Ogletree Deakins: Michigan Governor Signs New Amendments to Wage Garnishment Process | Practical Law

This wage and hour Law Firm Publication by Ogletree, Deakins, Nash, Smoak & Stewart, P.C. discusses two recent laws amending the wage garnishment process in Michigan that are designed to make the administrative process less burdensome for employers and reduce the financial risks employers face when responding to an order to withhold money from an employee's wages. The amendments, which were signed by Michigan Governor Rick Snyder on April 14, 2015, streamline the wage garnishment process to reduce the number of garnishment orders that employers must administer, require proper service of wage garnishment orders on employers, expand the process creditors will have to follow to hold an employer liable for failing to comply with a wage garnishment order, and increase the administrative fee creditors must pay employers to process a wage garnishment. The amendments allow employers to withhold money from employees' wages without their consent in order to cover the cost of a default judgment obtained as a result of failing to comply with a wage garnishment. The amendments take effect on September 30, 2015.

Ogletree Deakins: Michigan Governor Signs New Amendments to Wage Garnishment Process

Practical Law Legal Update 5-609-0087 (Approx. 3 pages)

Ogletree Deakins: Michigan Governor Signs New Amendments to Wage Garnishment Process

by Ogletree, Deakins, Nash, Smoak & Stewart, P.C.
Published on 14 Apr 2015Michigan, United States
This wage and hour Law Firm Publication by Ogletree, Deakins, Nash, Smoak & Stewart, P.C. discusses two recent laws amending the wage garnishment process in Michigan that are designed to make the administrative process less burdensome for employers and reduce the financial risks employers face when responding to an order to withhold money from an employee's wages. The amendments, which were signed by Michigan Governor Rick Snyder on April 14, 2015, streamline the wage garnishment process to reduce the number of garnishment orders that employers must administer, require proper service of wage garnishment orders on employers, expand the process creditors will have to follow to hold an employer liable for failing to comply with a wage garnishment order, and increase the administrative fee creditors must pay employers to process a wage garnishment. The amendments allow employers to withhold money from employees' wages without their consent in order to cover the cost of a default judgment obtained as a result of failing to comply with a wage garnishment. The amendments take effect on September 30, 2015.