Local Rule LCvR 17.1: MINORS OR INCOMPETENT PERSONS -- COMPROMISE SETTLEMENT, DISCONTINUANCE AND DISTRIBUTION

LCvR 17.1 MINORS OR INCOMPETENT PERSONS -- COMPROMISE SETTLEMENT, DISCONTINUANCE AND DISTRIBUTION A. Court Approval Required. No action to which a minor is a party shall be compromised, settled, discontinued or dismissed except after approval by the Court pursuant to a petition presented by the guardian of the minor or the natural guardian of the minor, such as the circumstances might require.

B. Contents of Petition. In all such cases, the minor's attorney shall file with the Clerk of Court, as part of the record, a petition containing (1) a statement of the nature of the evidence relied on to show liability, (2) the elements of damage, (3) a statement of the services rendered by counsel, (4) the expenses incurred or to be incurred and (5) the amount of fees requested. The petition shall contain written statements of minor's attending physicians, setting forth the nature of the injuries and the extent of recovery. If required by the Judge, such statements of attending physicians shall be in affidavit form. The petition shall be verified by the affidavit of the minor's counsel. In claims for property damage, the extent of the damage shall be described and the statement shall be supported by the affidavit of the person who appraised the damage or made the repairs.

C. Contents of Court Order. When a compromise or settlement has been so approved by the Court, or when a judgment has been entered upon a verdict or by agreement, the Court, upon petition by the guardian or any party to the action, shall make an order approving or disapproving any agreement entered into by the guardian for the payment of counsel fees and other expenses out of the fund created by the compromise, settlement or judgment; or the Court may make such order as it deems proper fixing counsel fees and other proper expenses. The Court shall then order the balance of the fund to be paid to the guardian of the estate of the minor qualified to receive the fund except that if the amount payable to the minor does not exceed the sum of one hundred thousand dollars ($100,000.00), the Court may order the monies deposited in a federally insured bank or savings and loan in an account to be marked "not to be withdrawn until majority has been attained or further order of Court." If the amount of anticipated interest would cause the account to exceed $100,000.00, then the Court may order the deposit to be made in two or more savings institutions. If the minor has no guardian of his or her estate and the balance does not exceed ten thousand dollars ($10,000.00), the Court on its own motion or upon petition of any person entitled to apply for the appointment of a guardian for the minor may authorize the amount of the judgment to be paid to the guardian of the person, the natural guardian, the person by whom the minor is maintained, or the minor.

D. Payment of Funds. When a judgment has been entered in favor of a minor plaintiff and no petition has been filed under the provision of Subparagraph C of this rule, the amount of the judgment shall be paid only to a guardian of the estate of the minor qualified to receive the fund. If the minor has no such guardian and the judgment does not exceed ten thousand dollars ($10,000.00), the Court on its own motion or upon petition of any person entitled to apply for the appointment of a guardian for the minor may authorize the amount of the judgment to be paid to the guardian of the person, the natural guardian, the person by whom the minor is maintained, or the minor.