Vermont Procedural Requirements for Wage Garnishment

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Vermont Procedural Requirements

Trustee process may be used in any civil action commenced in a superior court or the district court except in actions for malicious prosecution, libel, slander or alienation of affections. Vt. Statute. Ann. art. 12, _ 3011. A person or corporation, or the Statutee of Vermont by service upon the Statutee treasurer, may be summoned as a trustee of the defendant. The goods, effects or credits of the defendant which are in the hands of such trustee at the time of service of the writ upon the trustee, or which come into the trustee's hands or possession before disclosure, shall thereby be attached and held to respond to final judgment in the cause. Vt. Statute. Ann. art. 12, _ 3013.

Where issuance of post judgment trustee process is authorized by law, the judgment on which execution has issued shall be deemed an order of approval authorizing the clerk to issue one or more summons to any trustee specified by the judgment creditor, provided that no such summons shall be issued with respect to earnings and the sum of the amounts for which the goods, effects or credits of the debtor attached on trustee process does not exceed the amount that may be collected in levying execution. The judgment creditor also shall serve on the trustee and the debtor a disclosure form and list of exemptions. Vt. R. Civil. P. 4.2(k).

Each summons to a trustee shall be filled out and issued to the plaintiff's attorney by the clerk of the court in the county where the judgment was entered or the trustee resides. Vt. R. Civil. P. 4.2(b)(1). The summons to a trustee shall be dated and signed by the clerk. It shall contain the name of the court, the names of the parties, and the order of approval (the judgment on which execution has issued). It shall be directed to the trustee, Statutee the name and address of the plaintiff's attorney, the amount for which the goods, effects, or credits of the defendant are attached, and the time within which these rules require the trustee to make disclosure. It shall notify the trustee that in case of the trustee's failure to do so the trustee will be defaulted and adjudged trustee as alleged. The amount so attached shall not exceed the amount specified in the order of approval. Vt. R. Civil. P. 4.2(c).

The plaintiff's attorney shall deliver to the person who is to make service the original trustee summons upon which to make his or her return of service and two copies thereof for service upon the defendant and trustee. The trustee summons shall be served in like manner and with the same effect as other process. Plaintiff's attorney shall also serve a disclosure form on the trustee along with the summons (personal service or first class mail, postage prepaid with a notice and acknowledgment and a return envelope, postage prepaid, addressed to sender). If the answer on the disclosure form do not provide adequate information, plaintiff may submit interrogatories to the trustee pursuant to Rule 33, but such interrogatories must be concise. A list of exemptions shall also be served on the defendant and the trustee. Vt. R. Civil. P. 4.2(d).

When a person is adjudged a trustee, his costs and charges shall be retained out of the goods, effects and credits in his hands, and he shall be chargeable on execution for the balance. Vt. Statute. Ann. art. 12, _ 3084. When a person is adjudged a trustee on account of specific articles of personal property, he shall not be obliged to deliver the same to the officer serving the execution, until his costs and charges are fully paid or tendered. Vt. Statute. Ann. art. 12, _ 3085.

When the trustee is discharged, he shall recover judgment against the plaintiff for his costs and charges and have execution thereof. Vt. Statute. Ann. art. 12, _ 3086. The plaintiff in a trustee process shall give security for costs to the trustee by way of recognizance by some person other than the plaintiff. The security shall be in the sum of $10 for a summons returnable before the district court and in the sum of $50 for a summons returnable to a superior court. If trustee process issues without a minute of the recognizance, with the name of the surety and the sum in which he is bound, signed by the clerk, thereon, the trustee shall be discharged. Vt. Statute. Ann. art. 12, _ 3087.

Interest Rate at which Judgments Accrue

In the writ of execution, the clerk shall set forth the amount of post judgment interest due per day, calculated on the full amount of principal included in the judgment at the maximum rate allowed by law. Vt. R. Civil. P. 69. The legal rate of interest shall be twelve percent per annum. Vt. Statute. Ann. tit. 9, _ 41a. Applicable Forms Notice and Acknowledgment, Vt. R. Civil. P., Form 1B or 1C. List of exemptions, Vt. R. Civil. P., Form 34. Summons to Trustee, Vt. R. Civil. P., Form 2A. Trustee's Disclosure, Vt. R. Civil. P., Form 21A. 4.0.