Insurance settlement in Child's name

[delmaster]

Dear Soc,

Thanks in advance for reading and answering my questions.

I am a nc father of an 11 year old girl. I have parenting time with child 2 weeks per month and cp has parenting time with child the other two weeks. I also have six week extended visitation. We have 50/50 joint legal and physical. We both reside in GA.

During the 6 week summer visitation the child was riding in a car with my wife and 2 other children. I was following in my car behind the car they were riding in. A drunk, uninsured driver hit the car my wife was driving and injured my wife and my daughter. My other children were not injured.

The car was totalled and we have filed a claim on our uninsured motorist coverage. Wife and child have undergone medical treatment and are slowly recovering. My wife has contacted a lawyer since her medical bills alone have been over $25,000. My daughters medical bills are about $10,000.

The lawyers said that we should expect no less that $40,000 for my daughter's settlement.  The lawyer charges 25% plus expenses, we have not signed a contract with the lawyer yet. The settlement would be aprox. $10,000 for lawyer and $10,000 for paying medical bills leaving $20,000 in compensatory damages.

I would like the lawyer to set up a trust fund or some other such fund to insure that my daughter will have the money for any recurring medical problem that she might have throughout her life. Or if no medical problem present themselves the child can use it for her education or to make a down-payment on a homeafter she reaches about 25 years old.

My exwife does not want to save the money for the child. The ex says that she should be able to have all the money since she is the cp. She said that she would take me to court to get the entire sum of the insurance settlement in the child's name.

She refuses to tell me what she plans to spend the money on and says it's none of my business. The money is being paid out of my own insurance policy not someone elses. Ex does not think she should have to pay for a lawyer since she is not a party to the lawsuit/settlement and is not/will not be contracted with the lawyer.

1. Can I stipulate that ex gets half of settlement after lawyers fees and medical bill are paid? if so, how?

2. Can I compell ex to put the money into a trust fund with an independent trustee with stipulations for removing money from the trust, such as educational or medical expenses caused from her injuries as a result of the accident?

3. What are my options to insure that ex uses the money as a benefit for the child and not for heself, such as buying a new automobile?

4. Should I just give ex half of the excess and not worry about it?

5. Would it be better to just settle with the insurance company for medical expenses and not pain and suffering with out using a lawyer for the child?

6. If we do use a lawyer for the child's settlement can we split the money after all the fee have been paid?

7. Are there any other things we can do or be aware of before settlement to avoid this turing into a mess?


Thanks for your help!

Del

[socrateaser]

>1. Can I stipulate that ex gets half of settlement after
>lawyers fees and medical bill are paid? if so, how?

First off, this is NOT really a family law issue, so your ex is about to get a rude surprise. You can stipulate to whatever you can agree upon with the other parties.

>
>2. Can I compell ex to put the money into a trust fund with an
>independent trustee with stipulations for removing money from
>the trust, such as educational or medical expenses caused from
>her injuries as a result of the accident?

It's not up to your ex to decide.

>
>3. What are my options to insure that ex uses the money as a
>benefit for the child and not for heself, such as buying a new
>automobile?

La la la la la la...

>
>4. Should I just give ex half of the excess and not worry
>about it?

La la la la la la...

>
>5. Would it be better to just settle with the insurance
>company for medical expenses and not pain and suffering with
>out using a lawyer for the child?

Don't be an idiot. A good lawyer should be able to get you the maximum amount of liability coverage that the person who caused the accident had on their auto policy PLUS all of the child's medical expenses, plus and other reasonable out-of-pocket costs, flowing naturally from the accident and reasonably foreseeable as a consequence.

>
>6. If we do use a lawyer for the child's settlement can we
>split the money after all the fee have been paid?

Um...yeah.

>
>7. Are there any other things we can do or be aware of before
>settlement to avoid this turing into a mess?

OK, I'm playing with you. First, ALL of the damages awarded to your child as a consequence of the accident are the CHILD'S separate property. At common law, parents are entitled equally to the earnings of a minor child, but other property, obtained by inheritence, or gift, or the result of compensation for a loss (like an injury due to a car accident) are the sole property of the child.

And, if you are concerned that the other parent will squander those assets or otherwise dispose of them for her own benefit, then you can ask the civil court to order the money placed in trust for the child for the purpose of paying for costs proximate to the accident, the remainder to be reserved for the child when the child becomes an adult.

As joint legal custodian, you have joint rights to make any major decision as to the child's long term health and welfare.

So, my advice is that you retain a good personal injury attorney, get as much money as you can. Tell that attorney that you want him to file a case, even though you plan to settle, because you want the CIVIL court judge to make orders to hold the money in trust for the child, until the child becomes a legal adultk and that no money shall be dispensed from the trust without the written consent of both parents.

I can't imagine a judge who wouldn't order this, for the child's protection.

However, in the event that you don't file a civil action, you can, and you should, go to family court and ask that court to restrain either parent from obtaining any settlement check from the insurance company until a trust is established for the child's benefit.

If you, at this moment, are being prevented from dealing with the insurance co's or the attorneys, then you need to get an attorney to get some temporary orders. Your facts suggest that the other parent has, in no uncertain terms, told you that she intends to use the money for whatever she wishes, and that is grounds for an emergency restraining order, because there is a likelihood of irreparable injury to the child's intetrests.

Go get her, tiger!