The Michigan Senate is expected to pass a pair of bills designed to utilize proceeds derived from lawsuits and casino winnings, to satisfy past-due child support. The new law will require the recipient to provide notice of the expected windfall to the custodial parent.In the case of lawsuit proceeds, the child support-payor's family court lawyer, or the litigator that obtains the proceeds for the payor, will be responsible to provide notice via ordinary mail of the payor's gains to the custodial parent. Gambling proceeds would be tapped when the casino checks a winner's name against a list of "deadbeats" supplied by the Michigan Support Disbursement Unit.
The bills, currently under consideration in the Senate's Family and Human Services Committee, may be submitted to Governor Granholm yet this legislative session.
The new provisions will provide modest indeterminate relief to the State of Michigan by replacing expenditures for other "means-tested" assistance programs. The proceeds gained from gambling and litigation windfalls are also expected to reduce administrative costs involved in tabulating and collecting child support.
If you are receiving child support or alimony, and are aware that the payor in your case has experienced a windfall, contact us to explore your rights to these proceeds.
