An infant compromise is a proceeding whereby you are asking the court’s permission to settle a child or a disabled person’s lawsuit. Before approving the settlement, the court reviews its terms and often recommends making specific changes. Our law firm can support your personal injury attorney in obtaining an infant compromise or a disabled person compromise.
Some ancillary issues may arise in an infant compromise or disabled person compromise. If the infant is receiving government benefits such as Medicaid or SSI, we may need to establish a Special Needs Trust, also known as the Supplemental Needs Trust, to allow the infant or disabled person to continue to be eligible for the government benefits.
Sometimes the best was to receive a settlement is in a structured settlement format, where the infant will be receiving a specific amount every month. The advantage of structured settlements is that they provide for a totally payout which can be much more then a lump sum payment that could have been obtained. If a structured settlement is involved, we will work with the personal injury attorney, the annuity company, and the structured settlement broker to draft a Supplemental Needs Trust, Compromise Order and possibly a Guardianship Order which will preserve the infant or disabled person’s eligibility for Medicaid.
Our Special Needs Trusts have been approved and accepted by the New York Courts, by the NYC DSS/HRA and by the Nassau County Department of Social Services.
Another proceeding is securing a Guardianship for the parents of the disabled person who reached majority. Without such guardianship, the court will not approve the compromise because parents of a disabled adult do not have the authority to settle a case. This firm can also assist you in connection with negotiating a Medicaid lien or other New York City liens on the proceeds of the lawsuit.