1. (1) A court may impose sanctions against any person who files a challenge to a garnishment in bad faith. The sanctions a court may impose under this subsection are a penalty of not more than $100 and responsibility for attorney fees under ORS 20.105.

2. (2) The court shall order a creditor to return any property that is garnished under a writ of garnishment and that was exempt from garnishment or not subject to garnishment, and shall order the creditor to pay a penalty of $200 to the debtor in addition to all costs and reasonable attorney fees incurred by the debtor in recovering the property and penalty, if:

   1. (a) The creditor is the garnishor and fails to provide in the writ any address for the debtor that is known to the creditor; or
   2. (b) The creditor is not the garnishor and fails to provide to the garnishor any address for the debtor that is known to the creditor.
3. (3) The imposition of sanctions under this section does not limit any remedy otherwise available to the creditor or debtor.

[2001 c.249 §36]