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Rule 2-645.1 – Garnishment of Account in Financial Institution

May 13, 2021 | Civil Prodcedure, Maryland

(a) Definitions. The definitions in 31 C.F.R. § 212.3 apply to terms used in this Rule.
(b) Scope. This Rule applies to the garnishment of an account that is subject to the requirements, prohibitions, and limitations of 31 C.F.R. § 212.
(c) Application of Rule 2-645. Rule 2-645 applies to a garnishment subject to this Rule, except that this Rule prevails over Rule 2-645 to the extent of any inconsistency and the requirements, prohibitions, and limitations not contained in Rule 2-645 also apply.

Committee note: Federal regulations found in 31 C.F.R. Part 212 contain requirements, prohibitions, and limitations applicable to the garnishment of accounts of a judgment debtor in a financial institution which prevail over any inconsistent State law. Relevant terms are defined in 31 C.F.R. § 212.3 including “account, “account review, “financial institution, and “protected amount. This Rule is intended to comply with the Federal requirements.

(d) Content of Writ.

(1)Directions to Financial Institution. Unless a Notice of Right to Garnish Federal Benefits that conforms with 31 C.F.R. § 212.4 and Appendix B to 31 C.F.R. Part 212 is attached, a writ of garnishment subject to this Rule shall direct the financial institution:

(A) not to hold property of the judgment debtor that constitutes a protected amount;
(B) not to hold property of the judgment debtor that may come into the garnishee’s possession following service of the writ if the account contains a protected amount; and
(C) to comply with other applicable requirements, prohibitions, and limitations contained in 31 C.F.R. Part 212.
(2)Notification to Judgment Debtor. A writ of garnishment subject to this Rule shall notify the judgment debtor that:

(A) some Federal benefit payments may be automatically protected from garnishment and will not be held in response to the writ of garnishment; and
(B) any claim for exemption for a non-protected amount must be filed with the court no later than 30 days after service of the writ of garnishment on the garnishee.
(e) Answer of Garnishee.

(1) The answer of the garnishee shall state, if applicable, that a protected amount is in the judgment debtor’s account but need not specify the amount.

Committee note: Subsection (e)(1) does not affect the requirement that the garnishee hold, subject to further proceedings, a non-protected amount that is in the garnishee’s possession on the date of the account review and specify that amount in its answer.

(2) If the answer of the garnishee states that the property held by the garnishee consists only of a protected amount, the garnishee shall include with the answer a request for a judgment in favor of the garnishee terminating the garnishment.

Md. R. Civ. P. Cir. Ct. 2-645.1

This Rule is new.

Adopted April 21, 2011, eff. May 1, 2011.