Legal Question in Credit and Debt Law in Maryland

Third party levy of an independent contractor

In attempting to collect a judgment via wage garnishment, the employer advised that judgment debtor held "independent contractor status", ie, real estate agent paid on commission with no withholdings. What other means do I have through the employer such as Execution Garnishment of Funds (or Third Party Levy) do I have to collect?


Asked on 8/03/00, 10:53 am

2 Answers from Attorneys

Daniel Press Chung & Press, P.C.

Re: Third party levy of an independent contractor

In such a case, the "employer" should have withheld ALL amounts due to the "employee." The proper course of action would be to file a traverse of the garnishee's answer. If it is too late, there is nothing to prevent you from trying again. Have a lawyer do it, though, as you may be in for a fight.

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Answered on 9/12/00, 10:10 pm
J Stephen Simms Simms Showers LLP

Re: Third party levy of an independent contractor

Actually, the garnishment approach that you should take is alot easier than duking through with the employer/broker the agent's status.

What you should do, is simply run on the employer's web site (most real estate brokers have one) or the agent's site (many have one, too) the agent's listings. Using one of the reverse directories on the web, you then can find the home owners with the listings. Serve the garnishment writs directly on the home owners (who have the listing contracts with the supposedly "independent contractor" agent), and serve as many writs as you can find listings. The home owners will have to pay you first when there is a closing - - and well before that, we'd expect - - the agent not wanting the further embarassment of having his/her customers know of an outstanding judgment, will satisfy the judgment directly. We do quite alot of recovery work and enjoy executing on judgments; if we can help further please phone; our toll-free number is 800-537-6930.

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Answered on 9/13/00, 11:27 am


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