Why Nobody Cares About Veterans Disability Litigation

How a Veterans Disability Settlement Can Affect a Divorce Case

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

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

Can I claim compensation for an accident?

If you have served in the military and are permanently disabled as a result of injuries or illnesses, you could be eligible for a veterans disability settlement. This settlement will pay you for medical expenses, lost income and other expenses that resulted from your injury or sickness. The kind of settlement you'll be able to receive will depend on whether your condition is service-connected or not connected, the VA benefits you qualify for, as well as the amount your injury or accident will cost to treat.

For example, Jim is a 58-year veteran who was diagnosed with permanent disabilities following two years of service during the Vietnam War. He does not have enough working space to be eligible for lawsuit Social Security disability benefits but he does have a VA Pension benefit, which offers medical care and cash that is based on financial need. He would like to understand how a personal injury lawsuit will affect his eligibility to get this benefit.

The answer will depend on whether the settlement is a lump-sum or a structured one. Structured settlements are based on the payment of over time rather than a single payment. The amount paid by the defendant is calculated to offset existing VA benefits. A lump sum payout is likely to affect any existing benefits because the VA considers it to be income and will annually calculate it. If Jim has extra assets after the settlement is annualized the applicant can apply again to be eligible for the pension benefit. However, his assets must be below a threshold the VA has set that establishes financial necessity.

Do I need to hire an attorney?

Many spouses, members of the military, and former spouses are concerned about VA disability payments and their impact on money issues during divorce. Some people think, for instance, that the Department of Veterans Affairs compensation payments can be split like a military retirement in divorce cases, or that they're "off limits" when it comes to calculating child support and alimony. These misconceptions can result in financial mistakes which can have serious consequences.

It is possible to submit a claim for disability benefits on your own, but most disabled veterans would require the help of a skilled lawyer. A skilled veteran's disability lawyer can review your medical documents and gather the required evidence to present a strong case at the VA. The lawyer will also be able to submit any appeals you require to secure the benefits you're entitled.

The majority of VA disability lawyers don't charge for consultations. The government also pays the lawyer directly from your award of retroactive benefits. This is an advantage of the Equal Access to Justice Act. Your fee agreement should clearly state the amount of retroactive benefits to be paid to your lawyer. For instance an agreement on fees could stipulate that the government will pay the attorney up to 20% of retroactive benefits or pay. Any additional amounts will be your obligation.

Can I Garnish My VA Benefits?

When disabled veterans disability lawsuit receive compensation from the VA it is in the form of monthly payments. The purpose of the payments is to alleviate some of the effects of disability, illness or injuries that are sustained or aggravated by the veteran's military service. As with all income, veterans disability benefits are subject to garnishment.

Garnishment is a court-ordered procedure that an employer or government agency withhold funds from the paycheck of a person who has the debt and pay it directly to a creditor. In the event of divorce, garnishment could be used to pay spousal support or child support.

There are situations where veterans' benefits could be encashable. Most often, it is the case of a veteran who has renounced his military retirement in order to receive disability compensation. In these scenarios, the portion of pension that is allocated to disability compensation can be garnished to cover the obligations of family support.

In other cases the benefits of a veteran can be seized to pay medical expenses or past due federal student loans. In these situations, a court can go directly to the VA to obtain the information they need. The disabled veteran should consult an experienced lawyer to protect their disability benefits. This will prevent them from being forced to rely on payday and private loan lenders.

Can I Represent Myself in a Divorce Case?

VA disability settlements can be an enormous benefit for veterans and their families, however they don't come without their own set of challenges. If a veteran gets divorced and receives a VA settlement it is important to know what this will do to their benefits.

One of the major issues in this regard is whether or not the disability benefits are considered divisible assets in divorce. This question has been addressed in two ways. A Colorado court of appeals decision decided that VA disability payments were not property and could not be divided in this way. 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 related to this issue is the treatment of disability benefits to children for maintenance and support. The USFSPA and the Supreme Court both forbid states from counting disability payments as income to be used for this purpose. However, some states have taken an alternative approach. Colorado for instance, adds all income sources together to determine the amount required to support a spouse. The state then adds disability income in order to take into account their tax-free status.

Finally, it is important that veterans disability attorneys understand how their disability benefits will be affected if they are divorced and how their ex-spouses may take advantage of their benefits. By being aware of these issues, veterans can protect their compensation and avoid unwanted consequences.