Emoluments Attachment Order Archives - Ashersons Attorneys

01 May 2017

Collecting Arrear Levies: A New Risk for Your Body Corporate

Levy collections are the life blood of sectional title schemes, and collecting them is likely to get harder with the economic fallout from our downgrade to junk status. So if you own property in a scheme, and particularly if you are a trustee of your body corporate, you need to know about the new SCA (Supreme Court of Appeal) decision in Body Corporate of Empire Gardens v Sithole and Another (240/2016) [2017] ZASCA 28 which puts at risk the body corporate’s right to apply for sequestration of levy defaulters. Why apply for sequestration? Applying for the sequestration of a recalcitrant debtor’s…

01 Oct 2016

By Andrew Goldschmidt

Garnishee Orders: A 7-Point Practical Guide to New Rules for Lenders, Debtors and Employers

On 13 September 2016, the Constitutional Court handed down judgment in a matter concerning an application for confirmation of an order of invalidity made by the Western Cape Division of the High Court and an appeal against certain parts of that order that declared certain specified words in section 65J(2) of the Magistrates’ Courts Act (Act) inconsistent with the Constitution and invalid to the extent that they fail to provide for judicial oversight over the issuing of an emoluments attachment order against a judgment debtor. The garnishee orders The judgment is the matter of University of Stellenbosch Legal Aid Clinic and Others v…

29 Jul 2015

By Ashersons Attorneys

Garnishee Orders – Are 2 million of them now invalid?

“The ability of people to earn an income and support themselves and their families is central to the right to human dignity” (Extract from judgment below) “Garnishee” orders (more properly “Emoluments Attachment Orders” or EAOs) are often used by creditors to attach a debtor’s earnings. The debtor’s employer is served with a court order to deduct specified amounts from the debtor’s salary or wages. The employer pays those deductions over to the creditor until the debt and legal costs are settled in full. Misuse! The facts that alarmed the High Court Supporters of this process argue that, fairly obtained and…

09 Jul 2015

By Ashersons Attorneys

Another step in the right direction in the protection of vulnerable consumers against unscrupulous lenders

There has for some time been a problematic and worrying trend of unscrupulous lenders preying on the uneducated and financially unsophisticated consumers. In such situations consumers are lured into borrowing money or entering into purchase plans on terms which anyone with financial literacy would never agree to. (more…)