Legal News for Credit Union Managers Since 1990

Archive for Employees


07
Mar
2025

Garnishment Protection Lifted At Deposit

In some states, a debtor’s wages are generally not subject to garnishment. Here, however, debtor’s wages were directly deposited into the debtor’s account at I.B.M. Employees Southwest Federal Credit Union. A judgment creditor thereafter garnished debtor’s account at the credit union and debtor brought an action to dissolve the garnishment, arguing that the funds in […]

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27
May
2024

Credit Union Employee’s Post-Traumatic Workers Compensation Claim Denied

Here, a 34 year old credit union loan officer submitted a Workers’ Compensation claim against her employer credit union for post-traumatic stress disorder. The claim was denied and on appeal the credit union prevailed. The Court of Appeals of Oregon found the credit union employee had been exposed to an armed robbery at another credit union […]

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03
Jan
2024

Credit Union Employee: Failure-to-Promote

Here, a Federal Court granted the credit union’s motion for summary judgment and dismissed Plaintiff’s claim that the credit union had discriminated against her by failing to promote her to a higher position. This case had traveled extensively throughout various federal courts and was previously sent back to this court from the U.S. Supreme Court. In […]

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26
Dec
2023

Garnishment Funds: Property of Bankruptcy Estate

In this case, a creditor obtained a state court judgment against Dodds and garnished her wages. The garnishment was issued by the state court prior to debtor’s filing bankruptcy. In addition, the garnishment was served and debtor’s employer withheld $214.78 from her wages. Eleven days after the funds were withheld from debtor’s paycheck, Dodds filed […]

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21
Nov
2023

Preferential Transfer: Creditor Retains Debtor Garnishment Funds Received within 90-Days of Bankruptcy Filing

Creditor retains garnishment funds received within two weeks before debtor filed bankruptcy. Court ruled in this case that date garnishment was “served” on garnishee defendant placed garnished funds outside of 90-day window for Trustee to set aside transfer to creditor. Here, the bankruptcy trustee sought to compel First of America Bank to return garnishment funds received […]

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14
Nov
2023

Automatic Wage Deposit Garnishment

In some states such as Texas, a debtor’s wages are generally not subject to garnishment. Here, however, this Texas debtor’s wages were directly deposited into the debtor’s account at I.B.M. Employees Southwest Federal Credit Union.    A judgment creditor thereafter garnished debtor’s account at the credit union and debtor brought an action to dissolve the garnishment, […]

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05
Sep
2023

Credit Union Employee Policies

A 56 million dollar plus Texas credit union adopted a personnel policy manual which included an internal grievance procedure. The manual contained a specific assurance that: [n]o employee shall be penalized for using the grievance procedure. A veteran credit union employee of eight years filed an internal grievance when she and three other employees were […]

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01
Sep
2023

“Investment” Information Provided to Member

Here, credit union member, Randy Pieper, was discussing possible financing for the purchase of an apartment building with a loan officer of Melrose Credit Union.   The loan officer told Pieper that a local gas station was for sale and the purchase of the gas station would be a better investment than the apartment building. […]

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08
Aug
2023

Garnishee Defendant Judgment: No Violation of Automatic Bankruptcy Stay

In this case, a creditor proceeded to collect on judgment against garnishee defendant even though principal defendant filed Chapter 7 bankruptcy. The Court found no violation of automatic stay. Judgment against garnishee defendant was on debtor’s wages.   Here, the creditor held a judgment against debtor and sought to collect the judgment with a garnishment on debtor’s wages. […]

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24
Jul
2023

Credit Union Employee – Sex Discrimination

Wadsworth Federal Credit Union was previously sued by a former assistant manager who alleged that she was terminated because of her gender and replaced by the all male board of directors with a male counter part. The woman discharged assistant manager had been a 10 year veteran employee at the credit union. Price initially filed […]

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