Third-party debt order

A third-party debt order, sometimes still called garnishee proceedings in Malaysia, is a court order redirecting money a third party owes the defendant, most commonly a bank holding the defendant’s account balance, to pay off a judgment debt instead.

This is one of the more direct enforcement tools available once a judgment is obtained, since it can capture funds sitting in a known bank account without needing to physically seize property.

It only works if the third party, such as a bank, actually holds money belonging to the defendant at the time the order is made, so identifying where a defendant banks matters.

When it matters

If a defendant’s bank account is known, a third-party debt order can be a faster way to collect a judgment than other enforcement routes.