Recently, I received a garnishment notice at my business for someone I’ve never employed and do not know. This individual claimed to work for my company, and as a result, the sheriff's office attempted to serve me with paperwork demanding that I withhold wages to satisfy a debt. I immediately called my Principal Attorney, Jennifer McCoy.
The Law Office of Jennifer McCoy, P.C., explained something I found shocking: if I didn’t formally respond to the notice, the court could issue a judgment against me, simply because I failed to dispute it. A few days later, the sheriff returned and confirmed the same thing: this wasn’t a scary tactic or a misunderstanding. This is how the law works in Tennessee.
Tennessee Law: Why Silence Can Cost You
Under Tennessee Rule of Civil Procedure 69.05, if you are served with a garnishment order as an alleged employer (known legally as the "garnishee"), you are legally required to:
- Verify within 1 business day whether you hold any wages or funds for the named person
- Notify the named individual
- File a written answer with the court within 10 days
- Turn over any non-exempt wages or funds within 30 days if the claim is valid
But here’s the part most people don’t know: if you fail to respond, even if the person is a stranger to you, the court can issue a conditional judgment against you. If that judgment goes unchallenged, it becomes final, and you can be held liable for a debt that was never yours to begin with.
Why This Matters to Every Business Owner
This wasn’t a phishing email or junk mail. This was a real, court-issued garnishment order—delivered by the sheriff’s office. If I had ignored it, or assumed it was a clerical error that didn’t need a response, I could have been on the hook for someone else’s debt.
As business owners, we’re busy. It’s easy to dismiss paperwork that seems irrelevant or obviously mistaken. However, in this case, ignoring the notice could have resulted in thousands of dollars being lost, with no real recourse to recover it.
What You Should Do Immediately If This Happens to You
- Call your attorney right away
- Respond to the court in writing within the deadline, even if the individual isn’t your employee
- Document everything: your call logs, the notice, the sheriff’s visit, and your response
- Train your team to escalate legal notices immediately, no matter who they’re addressed to
I’m sharing my experience because I don’t want this to happen to anyone else. The law is clear, but most people have never heard of it until it’s too late.
If you’re a small business owner, property manager, or HR professional in Tennessee, take this as your warning: respond to every garnishment notice. Verify the information and speak up quickly. Your silence could cost you.
Moren Adenubi is a real estate broker, educator, and investor in Middle Tennessee. She helps clients build wealth and create a legacy through informed real estate decisions. moren@crownrealtyexperts.com
