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But not all that money may be yours to spend. Many parents are surprised to find that if they win a personal injury settlement and are behind on child support, that money can be taken to back pay any owed child support or be held in contempt of a court order or other charges.
If you are going to be receiving a Personal Injury Settlement and if you owe Back Child Support, the County may try garnishing up to 100% of your share of the settlement.
Some collection agencies are extremely aggressive and use questionable tactics to recover money from debtors, such as calling at inconvenient times. Fortunately, personal injury settlements in New York are exempt to a degree from the hands of creditors.
In Pennsylvania, the law requires lawyers to forward verdict or settlement proceeds exceeding $5,000 to the proper child support enforcement authority to pay off child support arrears.
A personal injury settlement has no impact on those who make their child support payments on time. In this scenario, the former spouse of the individual who receives the personal injury settlement cannot demand additional money based on this total.