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blondeclan · Mar 17, 2013, 12:21 AM

Ok so I just got a notice that the government is going to take my income tax refund because of a judgement that was like 10 years ago. I had a house with my ex and my father co-signed. We split and I have a court order saying that he was responsible for the mortgage, property tax and upkeep until we sold. He would not sell. Then he decided that he would let go power of sale. The bank never notified me or my father about missed mortgage payments. The bank took it and we apparently got a judgement against us. We never got papers. My ex decided to go bankrupt so he is is no longer responsible I guess. This is crazy and I want to know if I can still fight it or what I can do. Any help would be appreicated cause I can't believe this. I live in ontario Canada and my court order was in superior court and the judgement is over 30000 dollars.

ScottGem · Mar 17, 2013, 05:55 AM

I'm not sure if Canadian law is the same but in the US, that court order is not binding on the lenders. You can try to have the garnishment vacated on the grounds of improper service, but since the judgment was so long ago it may be hard to prove. But even if you can they will just serve you again.

I would suggest contacting a lawyer to see if Canadian law makes a difference here.

AK lawyer · Mar 17, 2013, 07:19 AM

Originally Posted by ScottGem

I'm not sure if Canadian law is the same but in the US, that court order is not binding on the lenders. You can try to have the garnishment vacated on the grounds of improper service, but since the judgment was so long ago it may be hard to prove. But even if you can they will just serve you again.

I would suggest contacting a lawyer to see if Canadian law makes a difference here.

I agree with most of what you say, except the part about "binding on the lenders". The lenders are the judgment creditors.

Also, this appears to be different from the U.S. where income tax refunds cannot be levied upon except by the government. Was this a government-insured mortgage perhaps?

tickle · Mar 17, 2013, 07:31 AM

Revenue Canada does not take refunds in lieu of payment to satisfy a judgment unless it is a government funded loan. So there is something here the OP is missing and possibly does not have all the particulars.

blondeclan · Mar 17, 2013, 09:31 PM

Originally Posted by tickle

Revenue Canada does not take refunds in lieu of payment to satisfy a judgment unless it is a government funded loan. So there is something here the OP is missing and possibly does not have all the particulars.

Yes its CHMC Canada housing mortgage company. They insure mortgages. They are the ones coming after me for the money. Well through the government. I just dug up my papers for the house with my ex and it has an order that he was responsible for the mortgage taxes and utlities. I no longer lived there. This was in 2001. It was a supreme court order... does that help me?

Fr_Chuck · Mar 17, 2013, 09:41 PM

The divorce papers and the order there is not binding against the court for the judgement, they may still come after you, the divorce court order merely allows you to go back to court after him for repayment.

blondeclan · Mar 17, 2013, 09:54 PM

What if he went bankrupt... would I still be able to do that?

ScottGem · Mar 18, 2013, 03:01 AM

Originally Posted by blondeclan

What if he went bankrupt...would I still be able to do that?

Probably not. Depends on how the debts were treated in the bankruptcy.

tickle · Mar 18, 2013, 03:07 AM

Okay, now it makes sense CHMC (Cdn. Housing & Mortgage Corp) is a lender for low down payment loans and insurance; a Crown Corporation of the Government of Canada. If they have a judgment against you, it is binding as with any judgment awarded by the courts.

blondeclan · Mar 18, 2013, 07:18 AM

OK so can I still fight this?