Frequently Asked Questions

Can bankruptcy protect my workers' compensation settlement funds?

A seriously injured worker can accumulate significant debt while out of work. Even if the Employer pays the required workers compensation benefits, the amount is often far less than the worker was earning prior to the injury. It is sometimes necessary to consider a bankruptcy case in order to protect any settlement amount from claims by creditors. Careful consideration of the client’s financial situation and the applicable bankruptcy law is critical in this situation.

If the injured worker has resided in Georgia for more than two years, it is likely that a bankruptcy case can be used to get debt relief and protect a workers compensation settlement. The Georgia bankruptcy exemptions are found in Section 44-13-100 of the Georgia Code. There is an exemption for payment on account of personal injury of up to $10,000. There is also an exemption for payment in compensation for loss of future earnings to the extent reasonably necessary for the support of the debtor and his/her dependents. So, in most cases the combination of these exemptions will fully protect a workers compensation settlement in a bankruptcy case.

If the worker has not resided in Georgia for more than two years, he/she may be required to use another State’s exemption code, which could be less generous in protecting settlement funds.

In either case, it is critical that the client get personal and specific advice from a bankruptcy specialist before filing a case.

Other Frequently Asked Questions:

Client Testimonials

Attorney Jason Braswell & Lisa LaCount are just wonderful...not one time have I call the office that I didn’t get a chance to speak directly to Jason or Lisa, or receive an immediate return call/email with a response. Thanks to this attorney team, my mind and our finances are in order. - C.P.

Catherine Pettit

Morgan & Morgan worked on disability benefits for my unemployed 50-year old brother who was homeless and suffering from autism/Asperger’s syndrome. We all knew nothing (!) and Mr. Morgan was a breath of fresh air.

Disability client

My experience with Morgan & Morgan was exceptional!!! I was very well informed about their procedures and felt comfortable about going forth with my case. Everything was handled with importance. - C.J.

Casmin Jones

We were fully enlightened about our situation which helped us choose our best choice concerning a problem. We would recommend Mr Braswell to our friends. - H.A.

Harold Andrews

A very respectful law firm that has very good customer service which is job one in the human world. Thank you Morgan and Morgan of Athens, GA. - W.S.

W.S.

Jason is the best lawyer ever. I appreciate everything he's done in my case. I could never thank him enough.

Bobby

Dedicated to providing superior service not found elsewhere.

Morgan & Morgan attorneys can help settle your debts such as credit card debt, auto loans and mortgage debt. Contact us if you need assistance with baknruptcy or have any questions about the process. No problem is too big or too small for us to help.