Effective: April 1, 2018
Applicable FAM Policies: 775 - Disbursements
Applicability: GNWT Departments and Public Agencies

INTERPRETATION

This interpretation bulletin controls the payment of third party demands by a Federal or Territorial statutory authority against a debt owed by the Government.

The Comptroller General shall honour the following third party demands only.

• Canada Revenue Agency demands;
• Court garnishments (garnishee summons) against salary or wages, pursuant to the Public Service Garnishee Act;
• Maintenance enforcement demands, pursuant to the Maintenance Enforcement Act;
• Workers' Safety and Compensation Commission demands pursuant to the Workers' Safety and Compensation Commission Act; and
• Labour Standards Board demands, pursuant to the Labour Standards Act.

The Comptroller General may honor third party demands by Public Boards and Agencies, after a judgment has been obtained for payroll recoveries. For accounts payable recoveries the Comptroller General may honor a written request to place a vendor on hold for the Boards and Agencies.

The Comptroller General shall forward any rejected third party garnishment to the Department of Justice for review. The Department of Justice shall, if required, file a Notice of Objection with the court or, otherwise, provide demand payment instructions to the Comptroller General.

The Comptroller General shall determine the order of settlement of multiple third party demands against a single debt owed by the Government. Where the total amount of the demands exceeds the debt, the Comptroller General may request payment instructions from the Department of Justice.