{"id":4169,"date":"2025-09-16T09:49:46","date_gmt":"2025-09-16T06:49:46","guid":{"rendered":"https:\/\/pathlawfirm.gr\/en\/?p=4169"},"modified":"2026-01-15T16:36:48","modified_gmt":"2026-01-15T13:36:48","slug":"third-party-garnishment-greece","status":"publish","type":"post","link":"https:\/\/pathlawfirm.gr\/en\/third-party-garnishment-greece\/","title":{"rendered":"Garnishment in the Hands of a Third Party: Rights of Creditor and Debtor"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"4169\" class=\"elementor elementor-4169\">\n\t\t\t\t<div class=\"elementor-element elementor-element-ac1aa91 e-flex e-con-boxed e-con e-parent\" data-id=\"ac1aa91\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-a5b342 elementor-widget elementor-widget-text-editor\" data-id=\"a5b342\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\n<h2 class=\"wp-block-heading\">Garnishment as an Enforcement Tool for the Creditor and the Debtor\u2019s Defense<\/h2>\n\n<p>Garnishment in the hands of a third party is the most common form of enforcement in Greece, particularly when it involves freezing (compulsory or precautionary) bank accounts. The third party is usually a <strong><a href=\"https:\/\/pathlawfirm.gr\/en\/trapeziko-dikaio\/\">bank<\/a><\/strong>, but in principle it can be any debtor of the judgment debtor \u2013 that is, anyone who owes money to the main debtor.<\/p>\n\n<p>Freezing funds in a bank account is a powerful tool for the creditor, as it directly affects the debtor\u2019s liquidity and business operations. This allows the creditor to secure payment quickly and effectively. On the other hand, the debtor often sees his financial activity paralyzed, which forces him to react.<\/p>\n\n<p>Below we present the process from both perspectives: the creditor\u2019s actions and the debtor\u2019s defenses.<\/p>\n\n<h3 class=\"wp-block-heading\">Enforceable Title: The Precondition for Garnishment<\/h3>\n\n<p>To initiate compulsory garnishment, the creditor must hold an enforceable title \u2013 for example, a court judgment, a payment order, or a notarial deed with enforceability.<\/p>\n\n<p>Without such a title, there can be no enforcement. In practice, creditors often begin with a payment order, which provides a fast-track way to move against the debtor\u2019s bank accounts.<\/p>\n\n<p><em>Example:<\/em> A supplier obtains a payment order for an unpaid invoice of \u20ac50,000. With this document, he can proceed to garnish the debtor\u2019s bank accounts.<\/p>\n\n<h3 class=\"wp-block-heading\">The Garnishment Writ<\/h3>\n\n<p>The garnishment writ is the document that triggers the process. It is served both to the bank and to the debtor, and it must state:<\/p>\n\n<ul class=\"wp-block-list\">\n<li>the amount of the claim,<\/li>\n\n<li>the enforceable title,<\/li>\n\n<li>the order to the bank to freeze funds,<\/li>\n\n<li>the details of the debtor.<\/li>\n<\/ul>\n\n<p>Once served, the funds in the debtor\u2019s accounts are frozen up to the claimed amount. The debtor cannot withdraw them, while the bank is obliged to hold them.<\/p>\n\n<h3 class=\"wp-block-heading\">Duties and Liability of the Third Party<\/h3>\n\n<p>The bank must respond with a third-party declaration within 8 days, indicating whether funds exist and in what amount.<\/p>\n\n<ul class=\"wp-block-list\">\n<li>If it confirms, the procedure continues.<\/li>\n\n<li>If it fails to respond or makes a false declaration, it may be held liable to the creditor.<\/li>\n<\/ul>\n\n<h3 class=\"wp-block-heading\">Consequences for the Debtor<\/h3>\n\n<p>The impact of garnishment is immediate:<\/p>\n\n<ul class=\"wp-block-list\">\n<li>frozen bank accounts,<\/li>\n\n<li>inability to meet obligations,<\/li>\n\n<li>disruption of business transactions,<\/li>\n\n<li>damage to credibility.<\/li>\n<\/ul>\n\n<p>The measure is strict, but precisely for this reason it is effective. In many cases, freezing a bank account pushes the debtor towards settlement.<\/p>\n\n<h3 class=\"wp-block-heading\">Precautionary Garnishmen<\/h3>\n\n<p>Under Article 724 of the Greek Code of Civil Procedure, the creditor may seek precautionary garnishment even before a final judgment is issued or before the debtor is informed. This is a preventive measure to ensure that funds are not transferred or hidden before the case is decided.<\/p>\n\n<p><em>Example:<\/em> A supplier with a payment order for \u20ac50,000 can serve a precautionary garnishment on the debtor\u2019s bank accounts even before the debtor becomes aware of the payment order, thereby immediately freezing the accounts.<\/p>\n\n<p>Precautionary garnishment may also be imposed within the framework of interim relief proceedings.<\/p>\n<hr \/>\n<p>\u00a0<\/p>\n<h3 class=\"wp-block-heading\">B. The Debtor\u2019s Defense<\/h3>\n\n<h3 class=\"wp-block-heading\">Objection (Annulment Action)<\/h3>\n\n<p>Within the statutory time limits after service, the debtor may file an objection (\u03b1\u03bd\u03b1\u03ba\u03bf\u03c0\u03ae). Grounds may include:<\/p>\n\n<ul class=\"wp-block-list\">\n<li>the claim does not exist or has already been paid,<\/li>\n\n<li>the garnishment writ is invalid,<\/li>\n\n<li>the garnishment is abusive or disproportionate.<\/li>\n<\/ul>\n\n<p>Thus, the objection is the debtor\u2019s primary tool to contest the enforcement.<\/p>\n\n<h3 class=\"wp-block-heading\">Application for Suspension \u2013 Temporary Relief<\/h3>\n\n<p>Until the objection is decided, the debtor may request a suspension of enforcement to mitigate the consequences of the garnishment. The court will grant suspension if it is convinced that irreparable harm would otherwise occur (e.g., business closure).<\/p>\n\n<p>If granted, enforcement is \u201cfrozen\u201d until the court rules on the objection, giving the debtor valuable time to prepare his defense strategy.<\/p>\n\n<h3 class=\"wp-block-heading\">Revocation or Restriction of Precautionary Garnishment<\/h3>\n\n<p>The debtor may request revocation or restriction of the precautionary garnishment when the measure is disproportionate or circumstances have changed \u2013 for example, if the garnishment covers more accounts than necessary compared to the amount of the claim, or if part of the debt has already been repaid.<\/p>\n\n<p>The court may lift the garnishment entirely or restrict it to achieve a balance between the creditor\u2019s protection and the debtor\u2019s ability to continue economic activity.<\/p>\n\n<h3 class=\"wp-block-heading\">Practical Impact and Strategy<\/h3>\n\n<p>Garnishment of bank accounts has both legal and practical implications:<\/p>\n\n<ul class=\"wp-block-list\">\n<li>salaries remain unpaid,<\/li>\n\n<li>contracts collapse,<\/li>\n\n<li>families face financial hardship.<\/li>\n<\/ul>\n\n<p>The debtor\u2019s strategy must therefore be immediate and well-planned, combining the appropriate remedies with the strongest possible arguments for annulment or suspension.<\/p>\n\n<h3 class=\"wp-block-heading\">Conclusion<\/h3>\n\n<p>Garnishment in the hands of a third party is a powerful weapon for creditors but also a serious threat for debtors:<\/p>\n\n<ul class=\"wp-block-list\">\n<li>The creditor must act swiftly and precisely.<\/li>\n\n<li>The debtor must respond quickly with objection and suspension measures.<\/li>\n<\/ul>\n\n<p>At <strong><a href=\"https:\/\/pathlawfirm.gr\/en\/\">Papatriantafyllou &amp; Thanasenari<\/a><\/strong>, we have extensive experience in handling <a href=\"https:\/\/pathlawfirm.gr\/en\/diekdikisi-ofeilon\/\"><strong>garnishment cases<\/strong><\/a>, acting both for creditors and for debtors. Our expertise in business litigation and enforcement enables us to provide strategic and practical guidance, ensuring the maximum possible protection of our clients\u2019 rights and interests.<\/p>\n\n<p><em>Related topics:<\/em><\/p>\n\n<ul>\n<li><em><strong><a href=\"https:\/\/pathlawfirm.gr\/en\/greek-payment-order-objection\/\" rel=\"bookmark\">Objection Against a Payment Order: The Debtor\u2019s Legal Defence<\/a><\/strong><\/em><\/li>\n<li><a href=\"https:\/\/pathlawfirm.gr\/en\/auction-annulment-in-greece-legal-standing-fund\/\"><strong><em>Auction Annulment in Greece \u2013 Legal Standing of a Fund<\/em><\/strong><\/a><\/li>\n<li><a href=\"https:\/\/pathlawfirm.gr\/en\/conservatory-attachment-of-bank-accounts\/\"><strong><em>Conservatory Attachment of Bank Accounts<\/em><\/strong><\/a><\/li>\n<li><a href=\"https:\/\/pathlawfirm.gr\/en\/attachment-of-the-limited-partners-assets-seizure-of-shares-in-a-s-a\/\"><strong><em>Seizure of a Limited Partner\u2019s Property &amp; Seizure of Shares in a Public Limited Company<\/em><\/strong><\/a><\/li>\n<\/ul>\n\n<p>\u00a0<\/p>\n\n<p><em><strong>Disclaimer:<\/strong>\u00a0This publication is intended for informational purposes only and does not constitute legal advice. Professional legal guidance should always be sought before acting on any information contained herein.<\/em><\/p>\n\n<p>\u00a0<\/p>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Garnishment as an Enforcement Tool for the Creditor and the Debtor\u2019s Defense Garnishment in the hands of a third party is the most common form of enforcement in Greece, particularly when it involves freezing (compulsory or precautionary) bank accounts. The third party is usually a bank, but in principle it can be any debtor of [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":4176,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[23],"tags":[],"class_list":["post-4169","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-articles-publications"],"blocksy_meta":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Garnishment in the Hands of a Third Party: Rights of Creditor and Debtor | Papatriantafyllou &amp; Thanasenari<\/title>\n<meta name=\"description\" content=\"Third-party garnishment in Greece explained: creditor enforcement tools, bank account freezes, and debtor legal defenses.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/pathlawfirm.gr\/en\/third-party-garnishment-greece\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Garnishment in the Hands of a Third Party: Rights of Creditor and Debtor | Papatriantafyllou &amp; 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