LB 341 — Adopt the Nebraska Statutory Thresholds for Settlements Involving Minors Act

LB341 LB341 2025 LEGISLATURELEGISLATIVE OFBILL NEBRASKA341 ONEApproved HUNDREDby NINTHthe LEGISLATUREGovernor FIRSTApril SESSION7, LEGISLATIVE2025 BILL 341 FINAL READING   Introduced by Hallstrom, 1.

Read  firstA timeBILL JanuaryFOR 16,AN 2025ACT Committee:relating to settlements;

Judiciary A BILL FOR AN ACT relating to settlements;

Be it enacted by the people of the State of Nebraska, -1- LB341 LB341 2025 Section 1.

 (1)(1) A person having legal custody of a minor may enter into a settlement agreement with a person against whom the minor has a claim if:

(a) If the minor or person entering into the settlement agreement on -2- LB341 LB341 2025 behalf of the minor is represented by an attorney and the settlement is paid in cash, by check, by draft, or by direct deposit, then payment shall be made into the attorney's trust account maintained pursuant to the rules of the Supreme Court to be held for the benefit of the minor.

and (d) If the minor is a ward of the state and the settlement is paid in cash, by check, by draft, or by direct deposit, then payment shall be made into a trust account, or subaccount of a trust account, established by the Department of Health and Human Services for the purpose of receiving money payable to the ward under the settlement agreement and that earns interest for the benefit of the ward and the department shall provide notice of the deposit to the ward by personal service or first-first-class class mail.

(4) The money in the minor's savings account, trust account, or trust subaccount described in subsection (3) of this section shall not be withdrawn, removed, or paid out or transferred to any person, including -3- LB341 LB341 2025 the minor, except as follows:

(5) If a settlement agreement is entered into in compliance with subsection (1) of this section, the signature of the person entering into the settlement agreement on behalf of the minor is binding on the minor without the -1- LB341 LB341 2025 need for further court approval or review and has the same force and effect as if the minor were a competent adult entering into the settlement agreement.

(8) For the purposes of this section, minor means a person under -4- LB341 LB341 2025 nineteen years of age.

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