Child support liens are legal notices that are placed on a person’s property to secure the payment of overdue child support. Instituted under Chapter 157 of the Texas Family Code, these liens are designed to ensure that parents fulfill their financial obligations towards their children. Child support liens attach to any settlement or claim proceeds, including personal injury claims.
The underlying premise is simple: if a parent falls behind in their child support payments, the Office of the Attorney General (OAG) has the mandate to place a lien on the person’s property. This means that the property cannot be sold until the child support arrears are settled. It’s a method for the state to collect past-due child support, thus ensuring the financial security of the child involved.
Child support liens are typically filed by the OAG. The process begins when a parent defaults on their child support payments. The OAG, having judicial authority to enforce child support orders, can then initiate the lien process. They do this by filing a notice of lien in the county where the debtor’s property is located.
The lien notice includes vital information such as the name of the obligor (the person who owes the child support), the amount of child support owed, and a statement indicating that the information is accurate. The lien applies to all types of property, including real estate, vehicles, and personal property, including personal injury settlements. The lien stays in place until the child support arrears are fully paid, ensuring that the child’s financial needs are met.
Insurance companies find out about child support liens through a thorough either the Insurance Reporting and Intercept Program, the US Insurance Match program, or through an investigation process. When a personal injury claim is filed, insurance companies will conduct a background search on the claimant. As part of their due diligence, they will review public records and databases that track liens, including those associated with child support. This way, they can determine if there are any child support liens attached to the claimant’s name.
In case a lien is discovered, the insurance company is legally obligated to recognize it and include it in the settlement process. This means a portion, or in some cases all, of the settlement may be directed towards the child support lien before the claimant receives any funds.
The OAG can also communicate directly with the insurance company to ensure that any child support liens are paid from the settlement or award. This way, the state ensures that parents meet their financial obligations, and the child’s financial security is not compromised.
Yes, it is possible to negotiate a child support lien related to personal injury claims. However, it’s important to note that this is not a straightforward process. The OAG holds the discretion to reduce the amount of the lien based on various factors. These may include the nature of the injury, the amount of the settlement, the needs of the child, and other considerations such as:
To initiate the negotiation process, the debtor or their legal representative must directly reach out to the OAG. It’s highly advisable to involve an attorney experienced in such matters to ensure a proper understanding and handling of the negotiation process. Ultimately, the goal is to reach a mutually agreeable resolution that ensures the child’s needs continue to be met.
Yes, your attorney has an ethical and legal responsibility to ensure that a child support lien is paid from the settlement of your personal injury claim. If child support liens are not paid, they can result in significant consequences for both the debtor (client) and their attorney.
In essence, it is in the best interest of everyone involved that child support liens are satisfied. Not only does it ensure attorneys adhere to their legal obligations, but it also guarantees that the child at the heart of the matter receives the financial support they are owed.
The use of personal injury claim proceeds to satisfy child support liens offers several benefits to all parties involved, such as:
In conclusion, using personal injury claim proceeds to pay off child support liens is not just a viable option, but also a beneficial one. It not only helps clear existing debts, but also paves the way for the debtor to better deal with their future financial responsibilities towards their child.
If you’ve been involved in an accident and are currently dealing with a child support lien, our skilled injury lawyers are here to assist you. We are experienced in navigating the complexities of personal injury claims and child support liens, ensuring the best possible outcome for you and your child.
We’ll work diligently on your behalf to negotiate with the OAG to reduce the lien amount and expediting the resolution of your personal injury claim. Don’t struggle through this process alone — contact us today for a FREE CONSULTATION. Take the first step towards resolving your legal and financial challenges, and secure a brighter future for you and your child.
Thompson Law charges NO FEES unless we obtain a settlement for your case. We have put over $1.9 billion in cash settlements into our clients’ pockets.
Contact us today for a free, no obligation consultation to discuss your accident, get answers to your questions, and understand your legal options. State law limits the time you have to file a claim after an injury accident, so call today.