ILNews

COA: Bank not required to restrict withdrawals

Jennifer Nelson
January 1, 2008
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The Indiana Court of Appeals today reversed a small claims court ruling that held a bank in contempt for failing to restrict the withdrawal of funds from a garnishee's account, noting the bank followed procedure according to Indiana Code.

In JPMorgan Chase Bank, N.A. v. Laura and Dennis Brown, c/o Green, Richard & Trent and Rebecca Recht, No. 02A03-0801-CV-2, the appellate court had to interpret I.C. Section 28-9-4-2 to determine whether a depository financial institution that has received notice of garnishment proceedings is required to restrict the withdrawal of money that is subsequently deposited into the account.

The Court of Appeals concluded that JPMorgan was only required to restrict the withdrawal of funds in an amount equal to the balance of Rebecca Recht's account at the time the bank received the notice. The court made the decision after examining I.C. 28-9-4-2 before and after a 1998 amendment that deleted the words "or subsequently deposited into" from the statutory language.

When JPMorgan received notice of verified motion on behalf of the Browns for proceedings supplemental against Recht, she only had $20.61 in her account at the time, so the bank immediately restricted withdrawal of those funds. After receiving notice, four deposits totaling more than $1,000 dollars were deposited into the account, and the bank didn't restrict their withdrawal. The Browns filed a motion to hold JPMorgan in contempt for failing to honor the orders of the court for noncompliance of proceedings supplemental and/or the garnishment order.

"The legislature's decision to omit the words 'or subsequently deposited into' from Indiana Code section 28-9-4-2 is irrefutable and, as required by the rules of statutory construction, we will not reinsert the omitted language into the statute when construing the statute," wrote Chief Judge John Baker.
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  1. Good riddance to this dangerous activist judge

  2. What is the one thing the Hoosier legal status quo hates more than a whistleblower? A lawyer whistleblower taking on the system man to man. That must never be rewarded, must always, always, always be punished, lest the whole rotten tree be felled.

  3. I want to post this to keep this tread alive and hope more of David's former clients might come forward. In my case, this coward of a man represented me from June 2014 for a couple of months before I fired him. I knew something was wrong when he blatantly lied about what he had advised me in my contentious and unfortunate divorce trial. His impact on the proceedings cast a very long shadow and continues to impact me after a lengthy 19 month divorce. I would join a class action suit.

  4. The dispute in LB Indiana regarding lake front property rights is typical of most beach communities along our Great Lakes. Simply put, communication to non owners when visiting the lakefront would be beneficial. The Great Lakes are designated navigational waters (including shorelines). The high-water mark signifies the area one is able to navigate. This means you can walk, run, skip, etc. along the shores. You can't however loiter, camp, sunbath in front of someones property. Informational signs may be helpful to owners and visitors. Our Great Lakes are a treasure that should be enjoyed by all. PS We should all be concerned that the Long Beach, Indiana community is on septic systems.

  5. Dear Fan, let me help you correct the title to your post. "ACLU is [Left] most of the time" will render it accurate. Just google it if you doubt that I am, err, "right" about this: "By the mid-1930s, Roger Nash Baldwin had carved out a well-established reputation as America’s foremost civil libertarian. He was, at the same time, one of the nation’s leading figures in left-of-center circles. Founder and long time director of the American Civil Liberties Union, Baldwin was a firm Popular Fronter who believed that forces on the left side of the political spectrum should unite to ward off the threat posed by right-wing aggressors and to advance progressive causes. Baldwin’s expansive civil liberties perspective, coupled with his determined belief in the need for sweeping socioeconomic change, sometimes resulted in contradictory and controversial pronouncements. That made him something of a lightning rod for those who painted the ACLU with a red brush." http://www.harvardsquarelibrary.org/biographies/roger-baldwin-2/ "[George Soros underwrites the ACLU' which It supports open borders, has rushed to the defense of suspected terrorists and their abettors, and appointed former New Left terrorist Bernardine Dohrn to its Advisory Board." http://www.discoverthenetworks.org/viewSubCategory.asp?id=1237 "The creation of non-profit law firms ushered in an era of progressive public interest firms modeled after already established like the National Association for the Advancement of Colored People ("NAACP") and the American Civil Liberties Union ("ACLU") to advance progressive causes from the environmental protection to consumer advocacy." https://en.wikipedia.org/wiki/Cause_lawyering

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