New Jerseys Child Support Legislation

New Jerseys Child Support legislation, N.J.S.A. 2A:17-56.23(b), is one of the strongest in the country. It was precipitated by the Federal welfare reform legislation (PRWORA) that required all States to intercept and seize lump sum payments from settlements, judgments, and workers compensation awards by imposing priority liens for unpaid child support judgments.

In just the first full year of affect, child support payment collections increased over 40% and helped put owed money back in the hands of the primary caregivers responsible for raising their children.

However; even with this success, in the State of New Jersey alone, there is over $1.25 billion in past-due child support and an estimated $300 million in child support which goes unpaid each year. There is still more work to done. The New Jersey law requires New Jersey attorneys, executors, insurance companies, and others representing prevailing parties to determine whether their clients have child support judgments and to satisfy these claims before releasing a monetary award or settlement. To view a complete copy of the law, please visit:

Questions and Answers

Can you summarize the legislation?

New Jersey State Legislation requires attorneys in civil actions to ascertain whether their clients are child support judgment debtors before releasing a monetary award or settlement.

What is the scope of the legislation?

Basically, it states that a judgment for child support... docketed with the Clerk of the Superior Court shall be a lien against the net proceeds of any settlement negotiated prior or subsequent to the filing of a lawsuit, civil judgment, civil arbitration award, inheritance, or workers compensation award.

What does the legislation require?

The only means of complying with this legislation is to order a child support judgment search from a private judgment search company that will certify the results of the search.

Who is affected by N.J.S.A. 2A:17-56.23(b)?

The legislation impacts those distributing proceeds in one or more of the following:

• Settlements;
• Arbitration and mediation awards;
• Inheritances;
• Civil judgments;
• Workers Compensation awards (an exception has been made for the insurance industry).

What is the threshold with compliance?

The law applies only if the net proceeds (after court costs, attorneys fees, medical costs, etc.) exceed $2,000 to any individual prevailing party or beneficiary.

What type of information needs to be supplied in order to determine if a client is a child support debtor?

According to the legislation, The prevailing party or beneficiary shall provide the attorney, insurance company or agent responsible for the final distribution of such funds with a certification that includes the prevailing party's or beneficiary's full name, mailing address, date of birth and Social Security number; and the attorney representing the prevailing party or beneficiary shall initiate a search of child support judgments, through a private judgment search company that maintains information on child support judgments, to determine if the prevailing party or beneficiary is a child support judgment debtor.