Workers’ Compensation

ORS 656.234
Compensation not assignable nor to pass by operation of law

  • certain benefits subject to support obligations

(1)

No moneys payable under this chapter on account of injuries or death are subject to assignment prior to their receipt by the beneficiary entitled thereto, nor shall they pass by operation of law. All such moneys and the right to receive them are exempt from seizure on execution, attachment or garnishment, or by the process of any court.

(2)

Notwithstanding any other provision of this section:

(a)

Moneys payable under ORS 656.210 (Temporary total disability) and 656.212 (Temporary partial disability) are subject to an order to enforce child support obligations, and spousal support when there is a current support obligation for a joint child of the obligated parent and the person to whom spousal support is owed, under ORS 25.378 (Payment of support by income withholding); and

(b)

Moneys payable under ORS 656.206 (Permanent total disability), 656.214 (Permanent partial disability), 656.236 (Compromise and release of claim matters except for medical benefits) and 656.289 (Orders of Administrative Law Judge) (4) are subject to an order to enforce child support obligations under ORS 25.378 (Payment of support by income withholding).

(3)

Notwithstanding the provisions of ORS 25.378 (Payment of support by income withholding) and 25.414 (Standard amount to be withheld), the amount of child support obligation subject to enforcement may not exceed:

(a)

One-fourth of moneys paid under ORS 656.210 (Temporary total disability) and 656.212 (Temporary partial disability) or the amount of the current support to be paid as continuing support, whichever is less, or, if there is no current support obligation and the withholding is for arrearages only, 15 percent of the moneys paid under ORS 656.210 (Temporary total disability) and 656.212 (Temporary partial disability) or the amount previously paid as current support, whichever is less;

(b)

One-half of moneys paid in a lump sum award under ORS 656.210 (Temporary total disability) and 656.212 (Temporary partial disability) when the award becomes final by operation of law or waiver of the right to appeal its adequacy;

(c)

One-half of moneys paid under ORS 656.206 (Permanent total disability), 656.214 (Permanent partial disability) and 656.236 (Compromise and release of claim matters except for medical benefits); or

(d)

One-half of the net proceeds paid to the worker in a disputed claim settlement under ORS 656.289 (Orders of Administrative Law Judge) (4).

(4)

Notwithstanding any other provision of this section, when withholding is only for arrearages assigned to this or another state, the Department of Justice may set a lesser amount to be withheld if the obligor demonstrates the withholding is prejudicial to the obligor’s ability to provide for a child the obligor has a duty to support. [Amended by 1967 c.468 §1; 1989 c.520 §2; 1991 c.758 §3; 1993 c.48 §1; 1993 c.798 §22; 1995 c.272 §2; 2001 c.455 §26; 2003 c.73 §70; 2011 c.317 §2]

Notes of Decisions

Workers compensation award which had been paid to worker and deposited by him in bank account was not exempt from attachment and garnishment. McCabe v. Fee, 279 Or 437, 568 P2d 661 (1977)

Attorney General Opinions

Wage assignments of workers compensation for child support, (1978) Vol 38, p 1690

Source

Last accessed
May 30, 2023

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