How to Terminate Garnishment and Close Enforcement in Ontario

You Must Close Enforcement Yourself

When the debtor finally pays the judgment in full — through garnishment installments, a lump sum, or a combination — enforcement doesn't end automatically. Just as you had to initiate enforcement, you must formally terminate it. An active garnishment continues siphoning the debtor's wages or bank account even after the debt is satisfied unless you file the proper termination documents.

Failing to terminate promptly isn't just unfair to the debtor — it can expose you to liability. Rule 20.08(20.2) requires immediate termination once the judgment is paid.

Step 1: Serve the Notice of Termination of Garnishment (Form 20R)

If you had an active garnishment running (wage or bank), you must serve Form 20R on:

1. The garnishee (the employer or bank) — this tells them to stop deducting or freezing funds
2. The court clerk — this officially closes the garnishment in the court file

Service must be immediate once you know the judgment is fully satisfied. Don't wait days or weeks — every extra paycheque deduction that happens after full payment was unnecessary, and the debtor can demand the overpayment back.

If you had garnishments running against multiple garnishees (e.g., the debtor's employer and their bank), you need to serve Form 20R on each one.

Step 2: Withdraw Active Writs

If you registered writs of seizure and sale — against personal property (Form 20C) or land (Form 20D) — you must withdraw them from the bailiff (personal property) or sheriff (land) handling the writ.

For a land writ, file a formal withdrawal request with the sheriff who registered the writ. The sheriff removes the registration from the land titles system (OnLand/Teraview), clearing the charge against the debtor's property. Until you do this, the debtor cannot sell or refinance their property free of your encumbrance.

For a personal property writ, notify the bailiff handling it that the judgment is satisfied and the writ should be terminated.

Step 3: Issue a Satisfaction Piece or Receipt

Provide the debtor with written proof that the judgment has been paid in full. This can be:

• A signed receipt or letter confirming full satisfaction of the judgment
• A formal Satisfaction Piece for court filing

This documentation matters for the debtor's financial records. A satisfied judgment is different from an outstanding one, and the debtor may need proof of satisfaction for mortgage applications, credit checks, or business dealings.

Step 4: Return Unused Enforcement Deposits

If you paid an advance deposit to the bailiff or sheriff's Enforcement Office for seizure and sale, and it wasn't fully consumed by execution fees and disbursements, request a refund of the unused balance. Contact the accounting department of the office handling the writ.

What Happens If You Overshoot

If a garnishment collects more than the total judgment balance (principal + costs + interest), the excess is held by the court clerk and must be returned to the debtor. The clerk won't release surplus funds to you — they're tracked separately.

This happens most often with bank garnishments, where the full account balance is frozen at the moment of service. If the frozen amount exceeds what's owed, the difference goes back to the debtor after the statutory 30-day hold period.

Calculating the Final Balance

Before terminating, verify the total has been fully paid. Your final calculation should account for:

• Original judgment principal
• Costs awarded in the judgment
• Post-judgment interest accrued to the final payment date
• Enforcement costs (filing fees, service costs, bailiff or sheriff deposits) added to the balance
• Minus all payments received, properly allocated

If your running ledger has been maintained throughout the enforcement process, this is a straightforward reconciliation. If you haven't been tracking carefully, you'll need to reconstruct the payment history before you can confirm full satisfaction.

An honest accounting protects you. If the debtor later disputes that the judgment was satisfied and your termination numbers don't add up, you could face a motion to reopen enforcement or a separate claim.

Don't Skip Closure

Some creditors stop pursuing enforcement once they've collected enough and don't bother with the formal closure steps. This leaves the debtor with active writs on their property title, active garnishment orders with employers, and no proof that the judgment is satisfied.

It's unfair, and courts take a dim view of creditors who leave enforcement instruments running after full payment. The formal closure process takes an hour of paperwork. Do it.

For closure checklists and a payment reconciliation worksheet, see our Ontario judgment enforcement guide.

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