Garnishee order.

The Garnishee order is order of the Court, Obtained by judgment creditor attaching funds in the hand of third party who owes the judgment creditor money, warning the third party the garnishee not to release the money attached until directed by the court to do so. See Sheldon’s Practice and Law of Banking, page 195. 

(Simply: Garnishee Order is the Order of Court served on a Garnishee attaching a debt in his hands. Garnishee is a person who has been warned by a Court to pay a debt to a third party rather than to the owner). 

Notes: Banker and Customer – duty of secrecy. The guiding case on this subject is Tounier vs. National Provincial Bank (1923) in this case the court held that the banker’s obligation secrecy regarding his Customer’s affairs was a legal one arising out of contract implied in the relation of Banker and customer, but that the duty of secrecy is not absolute but is qualified. The Court cited the following qualifications as examples: 

a). where the disclosure is under compulsion by law; 

b). where there is a duty to public to disclose; 

c). where there is interest of the Bank require disclosure; and 

d). where disclosure is made by express or implied consent of customer.