Bill Text: DE HB330 | 2015-2016 | 148th General Assembly | Draft


Bill Title: An Act To Amend Title 13 Of The Delaware Code Relating To Child Support Enforcement.

Spectrum: Bipartisan Bill

Status: (Engrossed - Dead) 2016-05-17 - Defeated by Senate. Votes: Defeated 7 YES 13 NO 1 NOT VOTING 0 ABSENT 0 VACANT [HB330 Detail]

Download: Delaware-2015-HB330-Draft.html


SPONSOR:

Rep. Heffernan & Rep. Bentz & Sen. Hall-Long

 

Reps. Baumbach, Briggs King, Dukes

HOUSE OF REPRESENTATIVES

148th GENERAL ASSEMBLY

HOUSE BILL NO. 330

AN ACT TO AMEND TITLE 13 OF THE DELAWARE CODE RELATING TO CHILD SUPPORT ENFORCEMENT.


BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:


Section 1.Amend §2215(g), Title 13 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows:

§ 2215 Child support liens.

(g) Where an obligor has been ordered by the Court to pay child support and owes arrears or retroactive support in a case enforced by the Division of Child Support Enforcement pursuant to Title IV-D of the Social Security Act (42 U.S.C. §651, et seq.), the Director of the Division of Child Support Enforcement may:

(1) Cause a lien for arrears or retroactive support to be placed upon the obligor's distributive share of a decedent's estate by filing notice of a child support lien with the Register of Wills of the county in which the decedent's estate is being administered and by sending copies of the notice by certified or registered regular first class mail to the obligor and to the personal representative of the decedent. The notice shall contain the obligor's name and address, the obligor's social security number, if known, the name of the obligee and the amount of arrears or retroactive support as of a specified date. The lien shall attach to the obligor's distributive share upon the filing of the notice of the lien with the Register of Wills. Thereafter, the personal representative of the decedent shall pay to the Director the lesser of the obligor's distributive share or the amount of arrears or retroactive support. If the personal representative fails to pay the Director in accordance with the lien, the personal representative shall be liable on the personal representative's bond to the Director, as the payee of the child support obligation;

(2) Cause a lien for arrears or retroactive support to be placed upon any claim, counterclaim, cross-claim, action or suit, at law or in equity, of the obligor by filing notice of a child support lien with the Prothonotary or clerk of the court in which the claim, counterclaim, cross-claim or other action or suit is pending and by sending a copy of the notice by certified or registered regular first class mail to the obligor. The notice shall contain the obligor's name and address, the obligor's social security number, if known, the name of the obligee, and the amount of arrears or retroactive support as of a specified date. Upon the filing of the notice, the Prothonotary or clerk of the court shall mail a copy of the notice to the obligor and to all attorneys and insurance carriers of record, if known, each of whom shall be deemed to have received the notice 5 days after the Prothonotary or clerk mailed the notice. Any person, firm or corporation, including an insurance carrier, making any payment or settlement in full or partial satisfaction of any claim, counterclaim, cross-claim or other action or suit after the receipt of the notice of lien shall be liable to the Director, as payee of the child support order, in an amount equal to the lesser of the payment or settlement or the child support arrears or retroactive support; and the Director may enforce the child support lien in an action in the Family Court against any person, firm or corporation, including an insurance carrier, making the payment or settlement;

(3) Cause a lien for arrears or retroactive support to be placed upon any demand or cause of action for negligence or personal injury of the obligor by sending notice of a child support lien by certified or registered regular first class mail to the obligor, to the party or parties alleged to be liable to the obligor, if known, and to their attorneys of record, if known. The notice shall contain the obligor's names and address, the obligor's social security number, if known, the name of the obligee, and the amount of arrears or retroactive support as of a specified date. The notice shall also instruct the party to whom it is directed to deliver a copy of the notice to the party's insurance carrier, if any. The lien described in this paragraph shall attach to any payment or settlement, after deducting expenses of recovery and attorneys' fees, made more than 5 days after the notice is mailed. Any person, firm or corporation, including an insurance carrier, making any payment or settlement in full or partial satisfaction of any claim, counterclaim, cross-claim or other action or suit after the receipt of the notice of lien shall be liable to the Director, as payee of the child support order, in an amount equal to the lesser of the payment or settlement or the child support arrears or retroactive support; and the Director may enforce the child support lien in an action in the Family Court against any person, firm or corporation, including an insurance carrier, making the payment or settlement;

(4) Cause a lien for arrears or retroactive support to be placed upon any workers' compensation benefits payable to the obligor by filing notice of a child support lien with the Secretary of the Industrial Accident Board and by sending a copy of the notice by certified or registered regular first class mail to the obligor. The notice shall contain the obligor's name and address, the obligor's social security number, if known, the name of the obligee, and the amount of arrears or retroactive support as of a specified date. Upon the filing of the notice, the Secretary of the Industrial Accident Board shall mail a copy of the notice to the obligor and to all attorneys and insurance carriers of record, each of whom shall be deemed to have received the notice 5 days after the date of mailing by the Secretary. The lien described in this paragraph shall attach to any Industrial Accident Board award or any payment or settlement, after deducting expenses or recovery and attorney's fees, made more than 5 days after the Secretary of the Industrial Accident Board mailed the notice. The lien described in this paragraph shall not take priority over liens created by §2363 of Title 19. Any person, firm or corporation, including an insurance carrier, making any payment or settlement in full or partial satisfaction of any claim, counterclaim, cross-claim or other action or suit after the receipt of the notice of lien shall be liable to the Director, as payee of the child support order, in an amount equal to the lesser of the payment or settlement or the child support arrears or retroactive support; and the Director may enforce the child support lien in an action in the Family Court against any person, firm or corporation, including an insurance carrier, making the payment or settlement. This paragraph shall not apply to periodic workers' compensation payments from which child support is paid by income attachment under §513(b) of this title;


SYNOPSIS

All Notices of Intent issued by the Division of Child Support Enforcement are sent regular mail except for the insurance lien notices.This Act removes the requirement that notice to non-custodial parents for insurance settlement liens taken for child support arrears be sent by certified mail and, instead, substitutes notification to the non-custodial parent via regular first-class mail.  This legislation will allow for this section of code to become uniform and reflect more recent administrative enforcement notice requirements such as State and Federal Tax Refund Intercept, Notice of Income Withholding, Passport Denial, Lottery Offset, and Credit Bureau Reporting.

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