Conservators and Protective Orders for a Child's Settlement in South Carolina

By the FigureMyTax Editorial Team · How we calculate

Over $25,000, South Carolina requires payment through a conservator or under a probate court protective order. Under section 62-5-103, a payer may pay up to a net aggregate of $15,000 a year to a custodian, guardian or insured savings account in the child's name; above that a protective proceeding is required if a conservator is appointed or pending.

Large settlements

S.C. Code 62-5-433(B)(3) says the order authorizing a settlement over $25,000 must require payment or delivery through the conservator or under a probate court protective order. If neither exists, the petitioner pays the money to the court pending appointment of a conservator or issuance of a protective order.

The $15,000-a-year rule

Section 62-5-103 lets a payer pay up to a net aggregate of $15,000 each year to a person with care and custody with whom the minor lives, a guardian, or a federally insured savings account in the minor's sole name or a Uniform Transfers to Minors Act account with notice to the minor. If a conservator has been appointed or is pending, the payer pays the conservator, and over $15,000 in a year a protective proceeding is required.

Duties of recipients

Persons receiving money for a minor, other than a financial institution, are fiduciaries and must apply it for the minor's benefit with due regard to the size of the estate, the minor's accustomed standard of living, and other resources available for support.

What we did not find

We found no statute on structured settlements for minors. We did not read the protective order rules or local probate rules. Then read why and when a court approves and what we found about attorney fees, and see what is left in the South Carolina minor's settlement calculator.

This is general information, not legal advice, and the state comparisons above are illustrative, not an exhaustive survey. Confirm how South Carolina's rules apply to your specific case with a licensed South Carolina attorney.