Veterans Disability Litigation: The Good The Bad And The Ugly

How a veterans disability law Disability Settlement Can Affect a Divorce Case

Jim's 58-year-old client is permanently disabled because of his military service. He receives a monthly pension benefit from the Department of Veterans Affairs.

He would like to know how the verdict of a jury will affect his VA benefits. It won't. However, it will have an impact on his other sources of income.

Can I Get Compensation for an accident?

If you have served in the military but are now permanently disabled because of injuries or illnesses, you may be eligible for a veterans disability settlement. This settlement will pay you for medical bills, lost income, and other expenses resulting from your injury or sickness. The type of settlement that you will receive will depend on whether or not your illness or injury is service-related, what VA benefits you are eligible for, as well as the cost to treat your injury or accident.

Jim, a 58-year veteran of the Vietnam war, was diagnosed as having permanent disabilities as a result of his two years of service. He doesn't have enough work quarters to be eligible for Social Security disability benefits but He does have a VA Pension benefit that offers cash and medical treatment for free that is based on financial need. He would like to understand how a personal injury lawsuit can affect his ability to be eligible for this benefit.

The answer will depend on whether the settlement is in the form of a lump sum or a structured settlement. Structured settlements are those that are made over a period of time rather than a single payment and the amount paid by the defendant is calculated to offset any existing VA benefits. In contrast, a lump sum settlement will probably affect any existing benefits because the VA considers it as income and will increase it. In either case, if excess assets are left over after the period of twelve months when the settlement is annualized, Jim could apply again for the Pension benefit but only if his assets are below a certain threshold that the VA agrees establishes financial need.

Do I really need to hire an Attorney?

Many spouses, service members and former spouses are confused about VA disability compensation and its impact on the financial aspects of divorce cases. Some people believe, for instance, that the Department of veterans disability law Affairs compensation payments can be split as an army retirement in divorce cases or that they're "off limits" when calculating child support and alimony. These misconceptions could lead serious financial errors.

It is possible to file an application for disability benefits on your own, but most disabled veterans disability claim will require the help of a professional lawyer. A veteran's disability attorney can review your medical records to gather the necessary evidence to make a strong case to the VA. The lawyer can also file any appeals that you might require to receive the benefits you are entitled to.

The majority of VA disability lawyers do not charge for consultations. Additionally the lawyer will typically be paid by the government directly from your award of retroactive past-due benefits. This is an advantage of the Equal Access to Justice Act. The amount of retroactive past-due benefits your lawyer will be paid should be outlined in your fee agreement. A fee agreement could say that, for example, the government would pay the attorney 20% of retroactive benefits. You will be accountable for any additional sums.

Can I Garnish My VA Benefits?

The VA offers monthly payments to disabled veterans disability lawyers. These payments are designed to compensate for the effects of diseases, injuries or disabilities that were sustained or veterans disability compensation aggravated during a veteran's time of service. The veterans disability attorney disability compensation (visit the next page) disability benefits are subject to garnishment as is any other income.

Garnishment lets a court order that an employer or a government agency withhold funds from the paycheck of a person who is in the process of paying an obligation and pay it directly to a creditor. In the event of a divorce the garnishment could be used for child or spousal maintenance.

However, there are some circumstances where a veteran's disability benefits are able to be repaid. The most frequent scenario involves the veteran who has waived their military retirement in order to claim disability compensation. In these cases the amount of pension that is devoted to disability pay can also be garnished in order to fulfill the family support obligations.

In other instances veterans' benefits could be garnished to pay for medical expenses or past-due federal student loans. In these cases, a court may be able to go straight to the VA to obtain the necessary information. A disabled veteran should hire an experienced attorney to secure their disability benefits. This can stop them from relying on payday lenders and private loans.

Can I Represent Myself in a Divorce Case?

VA disability settlements can be an enormous benefit for veterans and their families, however they come with their own set of challenges. If a veteran divorces and receives a VA settlement it is important to be aware of the implications to their benefits.

A major issue in this regard is whether disability benefits are considered divisible assets in a divorce. This issue has been addressed in a couple of ways. A Colorado court of appeals decision found that VA disability payments were not property and could not be divided in this manner. The U.S. Supreme Court ruled in Howell, that garnishing a veteran’s VA disability benefits for the purpose of alimony was in violation of USFSPA.

Another concern relating to this issue is the treatment of disability benefits for child support and maintenance. Both the USFSPA as well as the Supreme Court, prohibit states from utilizing disability benefits as income. Certain states use different methods. For instance, Colorado adds up all sources of income to determine the amount in support a spouse requires and then pluses up the disability payments to take into the fact that they are tax-free.

It is also crucial that veterans are aware of how divorce can affect their disability compensation and how their spouses who divorced could take advantage of their compensation. By being informed about these issues, vets can safeguard their benefits and veterans disability compensation avoid unintended consequences.