Current through P.L. 171-2024
Section 31-16-15-5.5 - Income withholding order; lifting stay of implementation(a) An obligor or an obligee may file a petition to lift a stay of implementation of an income withholding order.(b) If an obligee files a petition under subsection (a), the court shall: (1) set a date for a hearing on the petition; and(2) send a written notice of the hearing to lift the stay of implementation of the income withholding order to the obligor in accordance with subsection (c). The court must set a date for the hearing that is not more than twenty (20) days after the date the petition is filed.
(c) The notice under subsection (b)(2) must include the following:(1) A statement as to whether the obligor is delinquent in the payment of child support.(2) If applicable, the amount of child support the obligor is in arrears.(3) A statement that if the petition is granted, the obligor's income shall be:(A) withheld by the court for the payment of child support; and(B) forwarded to the state central collection unit with a statement identifying:(i) the cause number for each obligee;(ii) the name of each obligor;(iii) the name of each obligee with the amount of the withheld income forwarded by the income payor;(iv) the Social Security number of each obligor; and(v) the Indiana support enforcement tracking system (ISETS) or its successor statewide automated support enforcement system number for each obligee.(4) The following statements: (A) That the total amount of income to be withheld under an income withholding order from the obligor's income is the sum of:(i) the obligor's current child support obligation; plus(ii) the amount of arrearage payment ordered by the court; plus(iii) a fee of two dollars ($2), which must be paid at the income payor's option to the income payor each time the income payor forwards income to the state central collection unit.(B) That the total amount of income withheld may not exceed the maximum amount permitted by 15 U.S.C. 1673(b).(C) That the income withholding order applies to the receipt of any current or subsequent income.(D) That the only basis for contesting the petition to lift the stay of implementation of the income withholding order is a mistake of fact.(E) That an obligor may contest the court's lifting the stay of the income withholding order by appearing at the hearing scheduled by the court on the petition to lift the stay.(F) That if the obligor does not appear at the hearing, the court shall implement the income withholding order.(G) That an income payor shall: (i) begin withholding income not later than the first pay date after fourteen (14) days following the date the income withholding order is received by the income payor; and(ii) report to the state central collection unit the date on which the income was withheld from the obligor's income.(H) That if an income payor is required to withhold income from more than one (1) obligor, the income payor may combine the withheld amount of income into a single payment for all obligors who are required to make payments to the state central collection unit if the income payor identifies the part of the single payment that is attributable to each individual obligor.(I) That if an obligor has: (i) more than one (1) income withholding order against the obligor; and(ii) insufficient disposable earnings to pay the amount of income withholding for all income withholding orders; the income payor shall distribute the withheld income pro rata among the persons entitled to receive income under the income withholding orders, giving priority to a current income withholding order.
(J) That an income payor shall honor all withholding to the extent that the total amount withheld does not exceed limits imposed under 15 U.S.C. 1673(b).(K) That the income withholding is binding upon the income payor until further notice by the court.(L) That an income payor that: (i) discharges the obligor from employment;(ii) refuses to employ the obligor;(iii) takes disciplinary action against the obligor employed by the income payor; or(iv) otherwise discriminates against the obligor; because of the existence of an income withholding order or the obligations imposed upon the income payor by the income withholding order, is subject to a penalty not to exceed five thousand dollars ($5,000) payable to the state and recoverable in a civil action.
(M) That if the income payor fails to withhold income in accordance with the income withholding order, the income payor is liable for:(i) the accumulated amount the income payor should have withheld from the obligor's income; and(ii) any interest, attorney's fees, and costs.(N) That an income withholding order under this chapter has priority over any secured or unsecured claim on income, except for claims for federal, state, and local taxes.(O) That the income payor must notify the court if the obligor: (i) ceases employment with; or(ii) no longer receives income from; the income payor not later than ten (10) days after the date the obligor's employment or income ceases and provide the obligor's last known address and the name and address of the obligor's new income payor, if known, to the court.
(d) At a hearing under this section, the court shall grant the petition to lift the stay of implementation of the income withholding order if the obligor has failed to comply with the provisions of the support order, unless the court finds that the conditions under section 0.5(c)(2) of this chapter have been met.(e) If the obligor files a petition to lift the stay of implementation of the income withholding order: (1) a hearing is not required; and(2) the court shall grant the petition.(f) If the court grants the petition to lift the stay of implementation of the income withholding order, the court shall:(1) implement the income withholding order; and(2) send the income withholding order to the obligor's income payor.Amended by P.L. 128-2012, SEC. 41, eff. 7/1/2012.As added by P.L. 103-2007, SEC.31.