Difference between Garnishee Order and Attachment Order

Garnishee Order and Attachment Order are different in nature and in this article i will explain the difference between garnishee order and attachment order for your perusal.

Garnishee means a judgement debtor’s debtor (i.e. banker) and the order is issued for recover private dues by a competent court under section 60 of The Code Of Civil Procedure (CPC), 1908 at the request of a creditor to attach his debtor’s fund in the hand of garnishee (Order XXI and Rule 46).

Attachment order is issued by the Government authority say Income Tax, Sales Tax, Customs department for recovery of statutory dues from a person under the respective law which governs the concern department.

Following are the comparison/ difference of Garnishee order and Attachment order:

Particulars Garnishee Order
Attachment Order
Issuing Authority Competent Court of Law Government Department i.e. Income Tax, Sales Tax, Customs Department etc.
Under which Act Section 60 of Civil Procedure Code, 1908. Respective law governing the concerned department.
Depositor called Judgement debtor Assessee
Bank called Judgement debtor’s debtor Assessee’s debtor
Stages Involved First Order Nisi is issued and after that order absolute issued. Always issued in absolute form.
Issued to recover Recover of Private Due Recover of Statutory due
Amount May be mentioned specifically. Mentioned clearly in the Order.
Applicable to (Amount) On clear balance available with the garnishes at time of receipt of order. Amount in the account at the time of receiving order and future credit also attachable.
Applicable to (account) All demand deposit and Time deposit account. All demand deposit and Time deposit account.
Right of set off Available for lawful and due debts Available for lawful and due debts
Joint accounts, order single name Not Applicable Applicable pro-rata basis.
Account of ‘Devsena’, order issued in her name Applicable Applicable
Order in Partnership’s name and account in partner’s name Applicable Applicable
Joint account, order same joint names Applicable Applicable
Order in name of partner, trustee, executor, liquidator, director of a company, etc Not applicable for accounts in name of firm, trust, company i.e. accounts in fiduciary capacity etc. Not applicable for accounts in name of firm, trust, company i.e. accounts in fiduciary capacity etc.
Order in name of partnership/ company. Individual Account of partner/ director is attachable. Individual Account of partner/ director is attachable.
Deceased Applicable. Applicable
Insolvent Not applicable Not applicable
Undrawn CC or DD limit Not applicable Not applicable
FDR as collateral security Not applicable Not applicable
Failure to comply the order Contempt of court Assessee in default
Preference of Order, If received simultaneously or is pending for payment Attachment order will have the preference over Garnishee Order. However, bankers right of set-off is superior. Attachment order will have the preference over Garnishee Order. However, bankers right of set-off is superior.

I hope you have understand the difference/ comparison between Garnishee Order and Attachment Order. If you have any doubts fell free to ask in comment section.

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