Settlements on behalf of minors require court approval, typically through a petition describing the claim, the settlement terms, attorney fees, and the proposed disposition of proceeds. A guardian ad litem may be appointed.
Proceeds are frequently placed in a restricted account or structure until majority.
Alternative Names:
Friendly Suit, Minor's Compromise
Why it Matters?
Approval is what makes the release binding, since a minor can otherwise disaffirm a settlement upon reaching majority and pursue the claim within the limitations period as extended by minority tolling. A defendant settling a minor's claim without court approval has purchased nothing durable. Courts also scrutinize attorney fees in these petitions more closely than in adult settlements.
Frequently Confused with
Related terms
Frequently asked questions
Why is court approval necessary?
How are proceeds handled?
