Download the Amendments to the Magistrates Courts Act
The recent changes to the Magistrates Courts Act, as signed off by the President, allow for refinement of procedures surrounding things like consent to jurisdiction (regional or district), recission of judgements where the debt is paid up, clarifies the process of debtors making offers after a judgment has been issued on a debt and adds in fines and penalties relating to emolument attachment orders or EAOs (commonly called “garnishee orders” by most people).
The amendments really attempt to reshape the past EAO (Garnishee) practices and hope to ensure an end to abuses in this regard by adding limits and ensuring proper oversight.
There are also some refinements to the definitions section to add greater clarity. It also adds that orders in terms of section 55 should be just and equitable and allow the consumer enough to cover necessary costs and obligations while taking into account their income. This is something that was often overlooked in the past.
Amending EAOs – It Can Be Done An Emolument Attachment Order or EAO is when a creditor gets a court to give them permission to take part of your salary to pay off a debt. Most people refer to this as … read more
New Laws To Protect Consumers There is currently a net of tighter regulation and legislation closing around those who are taking advantage of vulnerable consumers. Now, while more regulation and more laws are not always the best way to attack … read more
W Cape Employers do not have to make Salary Deductions A recent ruling in the Western Cape High Court in regard to Garnishee Orders has once again changed the garnishee order (EAO) collections landscape. When Mr. Tinus Slubbert heard that a … read more
Flemix EAOs Thrown Out Judge Siraj Desai has ruled in the Western Cape High Court that 15 salary attachment orders (EAOs) which were brought by Flemix & Associates were obtained unlawfully. Judge Desai has thrown them out and ordered the … read more
Credit & Debt Law Conference Hungry for information regarding the National Credit Amendment Act, prescribed debt, credit amnesty and more? The attending the Credit & Debt Law Conference – which is set to take place on 1 July 2014 at … read more
Coombe & Associates come under fire In recent months there has been much discussion over garnishee (or EAO) abuse. In the forefront of many of the stories is the firm Coombe & Associates. So bad was the publicity that there … read more
2013 annual budget speech Minister Pravin Gordhan presented the 2013 annual budget speech to parliament yesterday. The budget speech sets out the governments spending and income plan for the next 12 months (and beyond). This year special mention was made during the … read more