CHAPTER 3. GARNISHMENT
IC 34-25-3
Chapter 3. Garnishment
IC 34-25-3-1
Officers subject to garnishment
Sec. 1. (a) This section applies to:
(1) all officers who may collect money by virtue of their office,including:
(A) clerks of the circuit and superior courts;
(B) sheriffs; and
(C) constables;
(2) executors;
(3) administrators;
(4) guardians; and
(5) trustees.
(b) Persons described in subsection (a) are subject to garnishmentat the suit of any creditor who has money or choses in action in thehands of the officer, executor, administrator, guardian, or trustee atthe time of the service of the garnishee process, in the same manneras and to the same extent that other persons are subject togarnishment.
As added by P.L.1-1998, SEC.20.
IC 34-25-3-2
Personal actions arising upon contract or judgment; affidavit;undertaking; summons
Sec. 2. (a) In all personal actions arising upon contract, express orimplied, or upon a judgment or decree of any court, if at the time theaction is commenced or at any time afterwards, whether a writ ofattachment has been issued or not, the plaintiff, or a personrepresenting the plaintiff, shall file with the clerk an affidavit that theplaintiff has good reason to believe, and does believe, that the personnamed in the affidavit:
(1) has property of the defendant in the person's possession orunder the person's control;
(2) is indebted to the defendant;
(3) has the control or agency of any property, money, credits, oreffects of the defendant; or
(4) has control over the defendant's share or interest in the stockof any association or corporation.
(b) The plaintiff shall file a written undertaking, as described inIC 34-25-2-5, payable to the defendant, with freehold surety to beapproved by the clerk, stating that the plaintiff will:
(1) prosecute the proceedings in garnishment to effect; and
(2) pay to the defendant all damages the defendant may sustainif the proceedings are wrongful and oppressive.
(c) The clerk shall issue a summons notifying the person,association, or corporation to appear at the court and answer asgarnishee in the action. The summons must contain the name andaddress of the defendant. The summons shall be served in the manner
provided by the Indiana rules of trial procedure.
As added by P.L.1-1998, SEC.20.
IC 34-25-3-3
Accountability of garnishee to plaintiff
Sec. 3. From the day of the service of the summons, the garnisheeis accountable to the plaintiff in the action for the amount of money,property, or credits in the garnishee's possession or due and owingfrom the garnishee to the defendant.
As added by P.L.1-1998, SEC.20.
IC 34-25-3-4
Certificate and examination of garnishee; enforcement
Sec. 4. (a) This section applies to an officer or agent of anassociation or corporation and every other person summoned as agarnishee.
(b) A person described in subsection (a) shall, when served, or notlater than five (5) days after being served the summons, furnish thesheriff with a certificate of:
(1) the number of shares or rights of the defendants in the stockof the corporation or association;
(2) a description of the property held by the corporation,association, or person that belongs to the defendant or is heldfor the benefit of the defendant; or
(3) the amount of the debt owing to the defendant by theassociation, corporation, or person, whether due or not.
The sheriff shall return the certificate with the summons.
(c) If the person refuses to provide the information set forth insubsection (b), the person may be required by the court to appear andbe examined under oath concerning the information. Obedience tothe orders may be enforced by attachment.
As added by P.L.1-1998, SEC.20.
IC 34-25-3-5
Garnishee's failure to appear or provide information; effect;procedure
Sec. 5. (a) This section applies to a garnishee who is summonedand:
(1) fails to appear and provide discovery as required by law; or
(2) fails to answer or demur to the matters set forth against thegarnishee in the affidavit, additional complaint, orinterrogatories.
(b) When a garnishee fails to provide information as described insubsection (a):
(1) the information may be taken as confessed;
(2) judgment may be entered by default; or
(3) the garnishee may be examined under oath concerning allthe matters charged in the affidavit or additional complaint.
(c) Proceedings, pleadings, and process under this section mustconform to the practice in other cases, as necessary to determine the
rights of the parties and render a final judgment.
As added by P.L.1-1998, SEC.20.
IC 34-25-3-6
Absconding garnishee; order of arrest
Sec. 6. If the plaintiff or person representing the plaintiff files anaffidavit with the clerk stating that the plaintiff or person:
(1) fears that the garnishee will abscond before judgment withintent to defraud the plaintiff; and
(2) believes that the garnishee:
(A) has money, things in action, goods, chattels, or effects ofthe defendant in the garnishee's possession; or
(B) is indebted to the defendant;
the clerk shall issue an order of arrest against the garnishee and holdthe garnishee to bail as in a civil action.
As added by P.L.1-1998, SEC.20.
IC 34-25-3-7
Final judgment against garnishee; discharge of garnishee; costs
Sec. 7. The court shall not render final judgment against thegarnishee until the action against the defendant has been determined.If the plaintiff fails to recover judgment either against the defendantor the garnishee, the garnishee shall be discharged and recover costs.
As added by P.L.1-1998, SEC.20.
IC 34-25-3-8
Return of "no property found"
Sec. 8. The return of "no property found" upon the order ofattachment does not affect the proceedings against the garnishee.
As added by P.L.1-1998, SEC.20.
IC 34-25-3-9
Judgment recovered; liability of defendant or garnishee for costs
Sec. 9. (a) If the plaintiff wins judgment against the defendant andbefore the judgment the garnishee:
(1) delivers to the sheriff:
(A) all the defendant's goods and chattels, or other effects inthe garnishee's possession subject to execution; or
(B) an inventory of the items described in subdivision(1)(A); and
(2) pays to the sheriff or into court all money due from thegarnishee or belonging to the defendant;
the costs in the proceeding against the garnishee shall be paid by thedefendant.
(b) If the garnishee does not appear or appears and refuses toaccurately confess the matter alleged and at the trial:
(1) the plaintiff recovers judgment against the garnishee; or
(2) the garnishee admits to having possession of money, credits,or effects belonging to the defendant and refuses to pay ordeliver the money, credits, or effects;the garnishee shall pay costs.
As added by P.L.1-1998, SEC.20.
IC 34-25-3-10
Compelling garnishee to pay or perform contracts
Sec. 10. The garnishee may not be compelled to pay or performany contract in any other manner or at any other time, than thegarnishee would be bound to do for the defendant.
As added by P.L.1-1998, SEC.20.
IC 34-25-3-11
Payment to sheriff or court; discharge of garnishee
Sec. 11. A garnishee may pay money the garnishee owes to thedefendant to the sheriff or into court and is discharged from liabilityto the defendant for the amount of money paid to the sheriff or intocourt that does not exceed the plaintiff's claim.
As added by P.L.1-1998, SEC.20.
IC 34-25-3-12
Examination of garnishee; delivery of property and payment;undertaking
Sec. 12. (a) This section applies to a garnishee or an officer of acorporation summoned as a garnishee.
(b) Five (5) or more days after being served with the summons,the garnishee may be examined under oath in open court.
(c) If the examination reveals that at the time the summons wasserved, or after the service of the summons upon the garnishee, thegarnishee or the corporation possessed any property of the defendantor was indebted to the defendant, the court may order:
(1) the delivery of the property and the payment of theindebtedness into court; or
(2) the execution of a written undertaking by the garnishee, withsufficient sureties, to be approved by the court, payable to theplaintiff, to the effect that the indebtedness shall be paid or theproperty forthcoming as the court shall direct.
As added by P.L.1-1998, SEC.20.
IC 34-25-3-13
Creditor of defendant; intervention in action
Sec. 13. At any time before the final judgment in the suit, anycreditor of the defendant, upon filing an affidavit and writtenundertaking, as required of an attaching creditor, may do thefollowing:
(1) Become a party to the action, file a complaint, and prove theclaim or demand against the defendant.
(2) Have any person summoned as garnishee or held to bail whohas not before been summoned or held to bail.
(3) Propound interrogatories to the garnishee and enforceanswers to the interrogatories in like manner, as the creditorwho is plaintiff.As added by P.L.1-1998, SEC.20.
IC 34-25-3-14
Judgment for plaintiff or creditor; execution
Sec. 14. (a) If:
(1) judgment in the action is rendered for the plaintiff, or one(1) or more of several plaintiffs; and
(2) sufficient proof is made of the goods, chattels, rights,credits, money, and effects in the possession of the garnishee;
the court shall also give judgment in favor of the plaintiff or creditorsagainst the garnishee, or the property of the defendant, or both, as thecase may require.
(b) A judgment described in subsection (a) may be enforced byexecution.
As added by P.L.1-1998, SEC.20.
IC 34-25-3-15
Procedurally defective order; immunity of person who complies
Sec. 15. (a) In addition to other proceedings, this section appliesto proceedings supplementary to execution involving a depositoryfinancial institution under IC 28-9.
(b) A person, whether designated as a garnishee defendant, anincome payor, or otherwise, who complies with what purports to bea garnishment, an income withholding order, or a hold or restrictionon withdrawal order issued under:
(1) the Indiana Rules of Trial Procedure;
(2) this article (or IC 34-1-11 before its repeal);
(3) IC 31-16-15 (or IC 31-2-10 before its repeal) or a similarlaw of Indiana or another state pertaining to support ormaintenance of any person; or
(4) IC 34-55-8-7 (or IC 34-1-44-7 before its repeal) concerningproceedings supplementary to execution;
is not personally liable for the amounts withheld if, for any reason,the order is determined by a court to be procedurally defective.
As added by P.L.1-1998, SEC.20.