(1) No moneys payable under this chapter on account of injuries or death are subject to assignment prior to their receipt by the beneficiary entitled thereto, nor shall they pass by operation of law. All such moneys and the right to receive them are exempt from seizure on execution, attachment or garnishment, or by the process of any court.

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Terms Used In Oregon Statutes 656.234

  • Appeal: A request made after a trial, asking another court (usually the court of appeals) to decide whether the trial was conducted properly. To make such a request is "to appeal" or "to take an appeal." One who appeals is called the appellant.
  • Attachment: A procedure by which a person's property is seized to pay judgments levied by the court.
  • Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
  • Garnishment: Generally, garnishment is a court proceeding in which a creditor asks a court to order a third party who owes money to the debtor or otherwise holds assets belonging to the debtor to turn over to the creditor any of the debtor
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
  • Person: includes individuals, corporations, associations, firms, partnerships, limited liability companies and joint stock companies. See Oregon Statutes 174.100
  • Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.

(2) Notwithstanding any other provision of this section:

(a) Moneys payable under ORS § 656.210 and 656.212 are subject to an order to enforce child support obligations, and spousal support when there is a current support obligation for a joint child of the obligated parent and the person to whom spousal support is owed, under ORS § 25.378; and

(b) Moneys payable under ORS § 656.206, 656.214, 656.236 and 656.289 (4) are subject to an order to enforce child support obligations under ORS § 25.378.

(3) Notwithstanding the provisions of ORS § 25.378 and 25.414, the amount of child support obligation subject to enforcement may not exceed:

(a) One-fourth of moneys paid under ORS § 656.210 and 656.212 or the amount of the current support to be paid as continuing support, whichever is less, or, if there is no current support obligation and the withholding is for arrearages only, 15 percent of the moneys paid under ORS § 656.210 and 656.212 or the amount previously paid as current support, whichever is less;

(b) One-half of moneys paid in a lump sum award under ORS § 656.210 and 656.212 when the award becomes final by operation of law or waiver of the right to appeal its adequacy;

(c) One-half of moneys paid under ORS § 656.206, 656.214 and 656.236; or

(d) One-half of the net proceeds paid to the worker in a disputed claim settlement under ORS § 656.289 (4).

(4) Notwithstanding any other provision of this section, when withholding is only for arrearages assigned to this or another state, the Department of Justice may set a lesser amount to be withheld if the obligor demonstrates the withholding is prejudicial to the obligor’s ability to provide for a child the obligor has a duty to support. [Amended by 1967 c.468 § 1; 1989 c.520 § 2; 1991 c.758 § 3; 1993 c.48 § 1; 1993 c.798 § 22; 1995 c.272 § 2; 2001 c.455 § 26; 2003 c.73 § 70; 2011 c.317 § 2]