Westmoreland Cnty. C.P. Orphans' Rules RULE WO 5.18

A petition to compromise and settle a minor’s claim shall contain, at minimum, the following averments of fact:

(a) Description of the factual circumstances of the case. These should include the date of the accident or injury, how the accident or injury occurred, the age of the minor at the time of the accident or injury, and identification of the defendant. If the case involves an automobile accident, the accident report should be attached.

(b) Type of injury suffered. Medical documentation (e.g. hospital records or a physician’s report) should be attached to the petition in order to advise the court of the extent and effect of the injuries. If the medical documentation indicates there are residual effects, the petition should refer to the specific portions of the medical documentation which contain such opinions.

(c) Medical expenses incurred. If any portion of the medical expenses is to be deducted from the minor’s share of the settlement, the petition should contain an affirmation that the parents or guardians will not be reimbursed for such expenses from any other source.

(d) Amount and terms of the proposed settlement. The petition should clearly identify whom the attorney bringing the petition represents (i.e., the insurance company or the parent or guardian of the minor).

(e) Statement regarding the efforts made to secure the best settlement. Where appropriate, the petition should inform the court whether there is a question of liability and should briefly address any legal/factual issues which may impede successful litigation.

(f) An affirmation by petitioner’s counsel that the settlement is the best settlement that could be obtained. (Note: This could also be in the form of an attached affidavit.)

(g) The attorney fee arrangement. A copy of the written fee agreement must be attached. In structured settlements, the fee must be based on the present value of the annuity.

(h) A list of any other expenses which will be deducted from the minor’s share of the settlement (e.g. costs advanced for medical reports, hospital records, filing fees, etc.).

(i) The exact portion the minor is to receive.

(j) The proposed order should provide in detail the proposed distribution of funds. The proposed distribution shall conform to the distribution procedures used in the civil division, under the Pennsylvania Rules of Civil Procedure.

(k) A separate petition shall be filed for each minor, and the Clerk of the Orphans' Court shall assign separate file numbers to each such petition.

CROSS REFERENCES: Under Pa.R.C.P. Nos. 2039 and 2206, the following distribution procedures are used in the civil division.

1. Pursuant to Pa.R.C.P. No. 2039(b), the court shall order the proceeds paid to the guardian of the estate of the minor.

2. If there is no court-appointed guardian of the estate and the amount is not more than $25,000, Pa.R.C.P. No. 2039(b)(1) provides that the court may (but is not obligated to) release the proceeds directly to “the guardian of the person or to the natural guardian or to the person or agency by whom the minor is maintained or to the minor.”

3. If there is no court-appointed guardian of the estate and the amount is more than $25,000, Pa.R.C.P. No. 2039(b)(2) requires that the proceeds be deposited in a federally insured savings account in the minor’s name with a stipulation that no withdrawals can be made until the child reaches the age of eighteen (18) except upon prior order of court.

4. The order must include a provision that proof of the sequestered account shall be promptly filed of record.

EXPLANATORY COMMENTS: Despite the discretionary language contained Pa.R.C.P. No. 2039(b)(1), the court generally does not release the proceeds directly to the minor or guardian. Except in cases involving extremely small damages or unique circumstances, the court routinely requires that the funds be deposited in a federally insured savings account in the minor’s name with a stipulation that no withdrawals can be made until the child reaches the age of eighteen (18) except upon prior order of court.

Adopted February 1, 1996, effective May 1, 1996. Revised December 3, 2003, effective January 19, 2004. Rule WO602 Cross References rescinded November 4, 2005; new Rule WO602 Cross References adopted November

4, 2005, effective December 25, 2005. Rule WO602 renumbered April 6, 2017, effective May 29, 2017.