Wulco, Inc. v. O'Gara Group, Inc.

Citations

• 228 N.E.3d 167
• 2023 Ohio 4023

Syllabus

An earlier-in-time, perfected security interest in funds garnished from a bank account renders garnishment of the funds improper and is a valid defense to garnishment. A security interest in a bank account is perfected when the secured party takes control of the bank account under a proper control agreement. A clerk of courts does not become a \transferee of funds\ under R.C. 1309.322(B) when funds garnished from a bank account are paid to the clerk under a garnishment order and notice. This conditional and contingent arrangement is not the type of transfer contemplated by the statute.