More Information on Accidents Involving Children
Many people are not aware that there is a special procedure for claiming compensation for a ‘protected party’.
A protected party is defined as:-
‘a party, or an intended party, who lacks capacity to conduct the proceedings’.
It applies to children because of their age or someone who does not have the mental capacity.
It is with a view to protecting the party from being taken advantage of, ensuring that they get the compensation that they rightly deserve.
If the money were to be paid directly to the child’s parents, for example, there is no certainty that the money will be used by the child and not the parent.
Someone has to conduct the proceedings on their behalf. That person is known as a ‘litigation friend’.
In the case of children, it can be a parent. If there is no one appropriate, the Court of Protection can become involved and appoint a deputy to deal with the claim.
There are special proceedings which apply to protected parties to ensure that the case is dealt with properly and that the settlement is appropriate.
No settlement, compromise or payment (including any voluntary interim payment) and no acceptance of money paid into court shall be valid without the approval of the court.
When the court approves the settlement, the money will be paid into the court funds office until the child’s majority or in cases of mental incapacity, the fund should be administered as a protected beneficiary’s fund.
The Court of Protection has jurisdiction to make decisions in the best interests of a protected beneficiary. Fees may be charged for the administration of funds and these must be provided for in any settlement.
There are various types of investment options and they are set out in the Court Funds Office leaflet. Follow the link below to the Court Funds Office Website.
Bartletts are specialist personal injury solicitors with specialist experience in acting for protected parties. Please call us for further information.
More Information on Accidents Involving Children
