Consumer Law
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Case Details
Alabama Court of Civil Appeals ruled in Merrida v. Credit Acceptance Corp. that creditors cannot garnish wages of lower-income earners (less than $1,000 per paycheck) if the money is used for living expenses.
Additional Notes
The ruling clarified that the $1,000 exemption from wage garnishment applies per paycheck, not as a one-time exemption, protecting individuals from garnishment if their paycheck is under $1,000 and used for necessities. Posted by Paul A. Seckel.