Gunther wins a $25, 000 judgment against Krissa.Krissa refuses to pay the amount of the judgment to Gunther.Krissa works for Iniversal Electronics.Gunther obtains a postjudgment writ of garnishment from the court whereby the court orders Iniversal Electronics to pay 25 percent of Krissa's weekly disposable earnings directly to Gunther.However, Gunther is not satisfied with the verdict and tries to motion the court to increase Krissa's pay deduction to 50 percent, but his request is denied.Which federal Act allows Krissa to retain 75 percent or more of her earnings in a writ of garnishment?

Question

Quizplus · Accepted Answer

Title III of the Consumer Credit Protection Act limits the amount of money that can be garnished for unpaid debts, including judgments. It states that a person cannot be garnished for more than the lesser of 25 percent of their disposable earnings or the amount by which their earnings exceed 30 times the federal minimum wage. Therefore, Krissa can retain at least 75 percent of her earnings in the writ of garnishment. The other options listed (A, B, and D) do not pertain to wage garnishment limitations.

Gunther Wins a $25, 000 Judgment Against Krissa