United States v. Ghassan Elashi
2015 U.S. App. LEXIS 9921
| 5th Cir. | 2015Background
- In 2009 Ghassan Elashi was convicted and sentenced to pay a $3,500 special assessment; as of late 2013 $2,912.88 remained unpaid.
- The Government filed for a writ of garnishment to collect the balance; the writ directed Salem’s employer to withhold 25% of her take-home pay.
- Salem (the non-debtor spouse) moved to quash, arguing Texas law and the Texas Constitution bar garnishment of her wages as solely managed community property.
- The district court denied the motion and entered a final order of garnishment; Salem appealed.
- The legal question is whether federal law (the MVRA) permits garnishment of a non-debtor spouse’s community wages despite state-law exemptions (and the FDCPA’s state-law incorporation).
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether state-law wage garnishment exemptions prevent the U.S. from garnishing a non-debtor spouse’s community wages to satisfy a criminal special assessment | Salem: Texas statutory and constitutional protections against garnishing wages (and FDCPA’s state-law rule) bar garnishment of her solely managed community earnings | Government: MVRA authorizes enforcement against “all property or rights to property” notwithstanding other federal law; MVRA treats special assessments like tax liens so state exemptions do not apply | The MVRA controls; federal criminal debt may reach the debtor’s one-half interest in non-debtor spouse’s community wages; affirm garnishment |
Key Cases Cited
- Medaris v. United States, 884 F.2d 832 (5th Cir. 1989) (IRS entitled to attach debtor’s one-half interest in wife’s income under federal tax lien principles)
- United States v. Loftis, 607 F.3d 173 (5th Cir. 2010) (MVRA permits enforcement against community property interests, including non-debtor spouse’s solely managed assets)
- United States v. DeCay, 620 F.3d 534 (5th Cir. 2010) (MVRA authorizes garnishment of criminal debt from retirement benefits despite other exemptions)
- United States v. Rodgers, 461 U.S. 677 (1983) (state law defines property interests; federal law determines consequences for federal liens)
- Drye v. United States, 528 U.S. 49 (1999) (look to state law for rights, then federal law to determine whether those rights are reach of federal lien)
- United States v. Craft, 535 U.S. 274 (2002) (federal tax lien attaches to state-law created property interests)
- United States v. Mitchell, 403 U.S. 190 (1971) (state-law exemptions ineffective against enforcement of federal tax lien)
- United States v. Nat’l Bank of Commerce, 472 U.S. 713 (1985) (statutory phrase “all property and rights to property” is broad for federal liens)
- Novak v. United States, 476 F.3d 1041 (9th Cir. 2007) (MVRA’s notwithstanding clause overrides conflicting federal protections such as ERISA)
- Cisneros v. Alpine Ridge Grp., 508 U.S. 10 (1993) (notwithstanding clauses signal intent to override conflicting provisions)