State Codes and Statutes

Statutes > North-carolina > Chapter_96 > GS_96-17

§96‑17.  Protection of rights and benefits; attorney representation;prohibited fees; deductions for child support obligations.

(a)        Waiver of RightsVoid. – Any agreement by an individual to waive, release, or commute his rightsto benefits or any other rights under this Chapter shall be void. Any agreementby any individual in the employ of any person or concern to pay all or anyportion of an employer's contributions, required under this Chapter from suchemployer, shall be void. No employer shall directly or indirectly make orrequire or accept any deduction from the remuneration of individuals in hisemploy to finance the employer's contributions required from him, or require oraccept any waiver of any right hereunder by any individual in his employ. Anyemployer or officer or agent of an employer who violates any provision of thissubsection shall, for each offense, be fined not less than one hundred dollars($100.00) nor more than one thousand dollars ($1,000) or be imprisoned for notmore than six months, or both.

(b)        Representation. –Any claimant or employer who is a party to any proceeding before the Commissionmay be represented by (i) an attorney; or (ii) any person who is supervised byan attorney, however, the attorney need not be present at any proceeding beforethe Commission.

(b1)      Fees Prohibited. –Except as otherwise provided in this Chapter, no individual claiming benefitsin any administrative proceeding under this Chapter shall be charged fees ofany kind by the Commission or its representative, and in any court proceedingunder this Chapter each party shall bear its own costs and legal fees.

(c)        No Assignment ofBenefits; Exemptions. – Except as provided in subsection (d) of this section,any assignment, pledge, or encumbrance of any right to benefits which are ormay become due or payable under this Chapter shall be void; and such rights tobenefits shall be exempt from levy, execution, attachment, or any other remedywhatsoever provided for the collection of debts; and benefits received by anyindividual, so long as they are not mingled with other funds of the recipient,shall be exempt from any remedy whatsoever for the collection of all debtsexcept debts incurred for necessaries furnished to such individual or hisspouse or dependents during the time when such individual was unemployed. Anywaiver of any exemption provided for in this subsection shall be void.

(d)        (1)        Definitions.– For the purpose of this subsection and when used herein:

a.         "Unemploymentcompensation" means any compensation found by the Commission to be payableto an unemployed individual under the Employment Security Law of North Carolina(including amounts payable by the Commission pursuant to an agreement under anyfederal law providing for compensation, assistance or allowances with respectto unemployment) provided, that nothing in this subsection shall be construedto limit the Commission's ability to reduce or withhold benefits, otherwisepayable, under authority granted elsewhere in this Chapter including but notlimited to reductions for wages or earnings while unemployed and for therecovery of previous overpayments of benefits.

b.         "Child supportobligation" includes only obligations which are being enforced pursuant toa plan described in section 454 of the Social Security Act which has beenapproved by the Secretary of Health and Human Services under Part D of Title IVof the Social Security Act.

c.         "State or localchild support enforcement agency" means any agency of this State or apolitical subdivision thereof operating pursuant to a plan described insubparagraph (B) above.

(2)        a.         Anindividual filing a new claim for unemployment compensation shall, at the timeof filing such claim, disclose whether the individual owes child supportobligations, as defined under subparagraph (1)b. of this subsection. If anysuch individual discloses that he or she owes child support obligations and isdetermined by the Commission to be eligible for payment of unemploymentcompensation, the Commission shall notify the State or local child supportenforcement agency enforcing such obligation that such individual has beendetermined to be eligible for payment of unemployment compensation.

b.         Upon payment by theState or local child support enforcement agency of the processing fee providedfor in paragraph (4) of this subsection and beginning with any payment ofunemployment compensation that, except for the provisions of this subsection,would be made to the individual during the then current benefit year and morethan five working days after the receipt of the processing fee by theCommission, the Commission shall deduct and withhold from any unemploymentcompensation otherwise payable to an individual who owes child supportobligations:

1.         The amount specifiedby the individual to the Commission to be deducted and withheld under thisparagraph if neither subparagraph 2. nor subparagraph 3. of this paragraph isapplicable; or

2.         The amount, if any,determined pursuant to an agreement submitted to the Commission under section454(20)(B)(i) of the Social Security Act by the State or local child supportenforcement agency, unless subparagraph 3. of this paragraph is applicable; or

3.         Any amount otherwiserequired to be so deducted and withheld from such unemployment compensationpursuant to properly served legal process, as that term is defined in section462(e) of the Social Security Act.

c.         Any amount deductedand withheld under paragraph b. of this subdivision shall be paid by theEmployment Security Commission to the appropriate State or local child supportenforcement agency.

d.         The Department ofHealth and Human Services and the Commission are hereby authorized to enterinto one or more agreements which may provide for the payment to the Commissionof the processing fees referred to in subparagraph b. and the payment to theDepartment of Health and Human Services of unemployment compensation benefitswithheld, referred to in subparagraph c., on an open account basis. Where suchan agreement has been entered into, the processing fee shall be deemed to havebeen made and received (for the purposes of fixing the date on which theCommission will begin withholding unemployment compensation benefits) on thedate a written authorization from the Department of Health and Human Services tocharge its account is received by the Commission. Such an authorization shallapply to all processing fees then or thereafter (within the then currentbenefit year) chargeable with respect to any individual name in theauthorization. Any agreement shall provide for the reimbursement to theCommission of any start‑up costs and the cost of providing notice to theDepartment of Health and Human Services of any disclosure required bysubparagraph a. Such an agreement may dispense with the notice requirements ofsubparagraph a. by providing for a suitable substitute procedure, reasonablycalculated to discover those persons owing child support obligations who areeligible for unemployment compensation payments.

(3)        Any amount deductedand withheld under paragraph (2) of this subdivision shall, for all purposes,be treated as if it were paid to the individual as unemployment compensationand then paid by such individual to the State or local child supportenforcement agency in satisfaction of the individual's child supportobligations.

(4)        a.         Onor before April 1 of 1983 and each calendar year thereafter, the Commissionshall set and forward to the Secretary of Health and Human Services for use inthe next fiscal year, a schedule of processing fees for the withholding andpayment of unemployment compensation as provided for in this subsection, whichfees shall reflect its best estimate of the administrative cost to theCommission generated thereby.

b.         At least 20 daysprior to September 25, 1982, the Commission shall set and forward to theSecretary of Health and Human Services an interim schedule of fees which willbe in effect until July 1, 1983.

c.         The provisions ofthis subsection apply only if arrangements are made for reimbursement by theState or local child support agency for all administrative costs incurred bythe Commission under this subsection attributable to child support obligationsenforced by the agency. (Ex. Sess. 1936, c. 1, s. 15; 1937, c. 150; 1979, c.660, s. 22; 1981, c. 762, ss. 1, 2; 1981 (Reg. Sess., 1982), c. 1178, ss. 1, 2;1985, c. 552, s. 21; 1997‑443, s. 11A.118(a); 1997‑456, s. 27.)

State Codes and Statutes

Statutes > North-carolina > Chapter_96 > GS_96-17

§96‑17.  Protection of rights and benefits; attorney representation;prohibited fees; deductions for child support obligations.

(a)        Waiver of RightsVoid. – Any agreement by an individual to waive, release, or commute his rightsto benefits or any other rights under this Chapter shall be void. Any agreementby any individual in the employ of any person or concern to pay all or anyportion of an employer's contributions, required under this Chapter from suchemployer, shall be void. No employer shall directly or indirectly make orrequire or accept any deduction from the remuneration of individuals in hisemploy to finance the employer's contributions required from him, or require oraccept any waiver of any right hereunder by any individual in his employ. Anyemployer or officer or agent of an employer who violates any provision of thissubsection shall, for each offense, be fined not less than one hundred dollars($100.00) nor more than one thousand dollars ($1,000) or be imprisoned for notmore than six months, or both.

(b)        Representation. –Any claimant or employer who is a party to any proceeding before the Commissionmay be represented by (i) an attorney; or (ii) any person who is supervised byan attorney, however, the attorney need not be present at any proceeding beforethe Commission.

(b1)      Fees Prohibited. –Except as otherwise provided in this Chapter, no individual claiming benefitsin any administrative proceeding under this Chapter shall be charged fees ofany kind by the Commission or its representative, and in any court proceedingunder this Chapter each party shall bear its own costs and legal fees.

(c)        No Assignment ofBenefits; Exemptions. – Except as provided in subsection (d) of this section,any assignment, pledge, or encumbrance of any right to benefits which are ormay become due or payable under this Chapter shall be void; and such rights tobenefits shall be exempt from levy, execution, attachment, or any other remedywhatsoever provided for the collection of debts; and benefits received by anyindividual, so long as they are not mingled with other funds of the recipient,shall be exempt from any remedy whatsoever for the collection of all debtsexcept debts incurred for necessaries furnished to such individual or hisspouse or dependents during the time when such individual was unemployed. Anywaiver of any exemption provided for in this subsection shall be void.

(d)        (1)        Definitions.– For the purpose of this subsection and when used herein:

a.         "Unemploymentcompensation" means any compensation found by the Commission to be payableto an unemployed individual under the Employment Security Law of North Carolina(including amounts payable by the Commission pursuant to an agreement under anyfederal law providing for compensation, assistance or allowances with respectto unemployment) provided, that nothing in this subsection shall be construedto limit the Commission's ability to reduce or withhold benefits, otherwisepayable, under authority granted elsewhere in this Chapter including but notlimited to reductions for wages or earnings while unemployed and for therecovery of previous overpayments of benefits.

b.         "Child supportobligation" includes only obligations which are being enforced pursuant toa plan described in section 454 of the Social Security Act which has beenapproved by the Secretary of Health and Human Services under Part D of Title IVof the Social Security Act.

c.         "State or localchild support enforcement agency" means any agency of this State or apolitical subdivision thereof operating pursuant to a plan described insubparagraph (B) above.

(2)        a.         Anindividual filing a new claim for unemployment compensation shall, at the timeof filing such claim, disclose whether the individual owes child supportobligations, as defined under subparagraph (1)b. of this subsection. If anysuch individual discloses that he or she owes child support obligations and isdetermined by the Commission to be eligible for payment of unemploymentcompensation, the Commission shall notify the State or local child supportenforcement agency enforcing such obligation that such individual has beendetermined to be eligible for payment of unemployment compensation.

b.         Upon payment by theState or local child support enforcement agency of the processing fee providedfor in paragraph (4) of this subsection and beginning with any payment ofunemployment compensation that, except for the provisions of this subsection,would be made to the individual during the then current benefit year and morethan five working days after the receipt of the processing fee by theCommission, the Commission shall deduct and withhold from any unemploymentcompensation otherwise payable to an individual who owes child supportobligations:

1.         The amount specifiedby the individual to the Commission to be deducted and withheld under thisparagraph if neither subparagraph 2. nor subparagraph 3. of this paragraph isapplicable; or

2.         The amount, if any,determined pursuant to an agreement submitted to the Commission under section454(20)(B)(i) of the Social Security Act by the State or local child supportenforcement agency, unless subparagraph 3. of this paragraph is applicable; or

3.         Any amount otherwiserequired to be so deducted and withheld from such unemployment compensationpursuant to properly served legal process, as that term is defined in section462(e) of the Social Security Act.

c.         Any amount deductedand withheld under paragraph b. of this subdivision shall be paid by theEmployment Security Commission to the appropriate State or local child supportenforcement agency.

d.         The Department ofHealth and Human Services and the Commission are hereby authorized to enterinto one or more agreements which may provide for the payment to the Commissionof the processing fees referred to in subparagraph b. and the payment to theDepartment of Health and Human Services of unemployment compensation benefitswithheld, referred to in subparagraph c., on an open account basis. Where suchan agreement has been entered into, the processing fee shall be deemed to havebeen made and received (for the purposes of fixing the date on which theCommission will begin withholding unemployment compensation benefits) on thedate a written authorization from the Department of Health and Human Services tocharge its account is received by the Commission. Such an authorization shallapply to all processing fees then or thereafter (within the then currentbenefit year) chargeable with respect to any individual name in theauthorization. Any agreement shall provide for the reimbursement to theCommission of any start‑up costs and the cost of providing notice to theDepartment of Health and Human Services of any disclosure required bysubparagraph a. Such an agreement may dispense with the notice requirements ofsubparagraph a. by providing for a suitable substitute procedure, reasonablycalculated to discover those persons owing child support obligations who areeligible for unemployment compensation payments.

(3)        Any amount deductedand withheld under paragraph (2) of this subdivision shall, for all purposes,be treated as if it were paid to the individual as unemployment compensationand then paid by such individual to the State or local child supportenforcement agency in satisfaction of the individual's child supportobligations.

(4)        a.         Onor before April 1 of 1983 and each calendar year thereafter, the Commissionshall set and forward to the Secretary of Health and Human Services for use inthe next fiscal year, a schedule of processing fees for the withholding andpayment of unemployment compensation as provided for in this subsection, whichfees shall reflect its best estimate of the administrative cost to theCommission generated thereby.

b.         At least 20 daysprior to September 25, 1982, the Commission shall set and forward to theSecretary of Health and Human Services an interim schedule of fees which willbe in effect until July 1, 1983.

c.         The provisions ofthis subsection apply only if arrangements are made for reimbursement by theState or local child support agency for all administrative costs incurred bythe Commission under this subsection attributable to child support obligationsenforced by the agency. (Ex. Sess. 1936, c. 1, s. 15; 1937, c. 150; 1979, c.660, s. 22; 1981, c. 762, ss. 1, 2; 1981 (Reg. Sess., 1982), c. 1178, ss. 1, 2;1985, c. 552, s. 21; 1997‑443, s. 11A.118(a); 1997‑456, s. 27.)


State Codes and Statutes

State Codes and Statutes

Statutes > North-carolina > Chapter_96 > GS_96-17

§96‑17.  Protection of rights and benefits; attorney representation;prohibited fees; deductions for child support obligations.

(a)        Waiver of RightsVoid. – Any agreement by an individual to waive, release, or commute his rightsto benefits or any other rights under this Chapter shall be void. Any agreementby any individual in the employ of any person or concern to pay all or anyportion of an employer's contributions, required under this Chapter from suchemployer, shall be void. No employer shall directly or indirectly make orrequire or accept any deduction from the remuneration of individuals in hisemploy to finance the employer's contributions required from him, or require oraccept any waiver of any right hereunder by any individual in his employ. Anyemployer or officer or agent of an employer who violates any provision of thissubsection shall, for each offense, be fined not less than one hundred dollars($100.00) nor more than one thousand dollars ($1,000) or be imprisoned for notmore than six months, or both.

(b)        Representation. –Any claimant or employer who is a party to any proceeding before the Commissionmay be represented by (i) an attorney; or (ii) any person who is supervised byan attorney, however, the attorney need not be present at any proceeding beforethe Commission.

(b1)      Fees Prohibited. –Except as otherwise provided in this Chapter, no individual claiming benefitsin any administrative proceeding under this Chapter shall be charged fees ofany kind by the Commission or its representative, and in any court proceedingunder this Chapter each party shall bear its own costs and legal fees.

(c)        No Assignment ofBenefits; Exemptions. – Except as provided in subsection (d) of this section,any assignment, pledge, or encumbrance of any right to benefits which are ormay become due or payable under this Chapter shall be void; and such rights tobenefits shall be exempt from levy, execution, attachment, or any other remedywhatsoever provided for the collection of debts; and benefits received by anyindividual, so long as they are not mingled with other funds of the recipient,shall be exempt from any remedy whatsoever for the collection of all debtsexcept debts incurred for necessaries furnished to such individual or hisspouse or dependents during the time when such individual was unemployed. Anywaiver of any exemption provided for in this subsection shall be void.

(d)        (1)        Definitions.– For the purpose of this subsection and when used herein:

a.         "Unemploymentcompensation" means any compensation found by the Commission to be payableto an unemployed individual under the Employment Security Law of North Carolina(including amounts payable by the Commission pursuant to an agreement under anyfederal law providing for compensation, assistance or allowances with respectto unemployment) provided, that nothing in this subsection shall be construedto limit the Commission's ability to reduce or withhold benefits, otherwisepayable, under authority granted elsewhere in this Chapter including but notlimited to reductions for wages or earnings while unemployed and for therecovery of previous overpayments of benefits.

b.         "Child supportobligation" includes only obligations which are being enforced pursuant toa plan described in section 454 of the Social Security Act which has beenapproved by the Secretary of Health and Human Services under Part D of Title IVof the Social Security Act.

c.         "State or localchild support enforcement agency" means any agency of this State or apolitical subdivision thereof operating pursuant to a plan described insubparagraph (B) above.

(2)        a.         Anindividual filing a new claim for unemployment compensation shall, at the timeof filing such claim, disclose whether the individual owes child supportobligations, as defined under subparagraph (1)b. of this subsection. If anysuch individual discloses that he or she owes child support obligations and isdetermined by the Commission to be eligible for payment of unemploymentcompensation, the Commission shall notify the State or local child supportenforcement agency enforcing such obligation that such individual has beendetermined to be eligible for payment of unemployment compensation.

b.         Upon payment by theState or local child support enforcement agency of the processing fee providedfor in paragraph (4) of this subsection and beginning with any payment ofunemployment compensation that, except for the provisions of this subsection,would be made to the individual during the then current benefit year and morethan five working days after the receipt of the processing fee by theCommission, the Commission shall deduct and withhold from any unemploymentcompensation otherwise payable to an individual who owes child supportobligations:

1.         The amount specifiedby the individual to the Commission to be deducted and withheld under thisparagraph if neither subparagraph 2. nor subparagraph 3. of this paragraph isapplicable; or

2.         The amount, if any,determined pursuant to an agreement submitted to the Commission under section454(20)(B)(i) of the Social Security Act by the State or local child supportenforcement agency, unless subparagraph 3. of this paragraph is applicable; or

3.         Any amount otherwiserequired to be so deducted and withheld from such unemployment compensationpursuant to properly served legal process, as that term is defined in section462(e) of the Social Security Act.

c.         Any amount deductedand withheld under paragraph b. of this subdivision shall be paid by theEmployment Security Commission to the appropriate State or local child supportenforcement agency.

d.         The Department ofHealth and Human Services and the Commission are hereby authorized to enterinto one or more agreements which may provide for the payment to the Commissionof the processing fees referred to in subparagraph b. and the payment to theDepartment of Health and Human Services of unemployment compensation benefitswithheld, referred to in subparagraph c., on an open account basis. Where suchan agreement has been entered into, the processing fee shall be deemed to havebeen made and received (for the purposes of fixing the date on which theCommission will begin withholding unemployment compensation benefits) on thedate a written authorization from the Department of Health and Human Services tocharge its account is received by the Commission. Such an authorization shallapply to all processing fees then or thereafter (within the then currentbenefit year) chargeable with respect to any individual name in theauthorization. Any agreement shall provide for the reimbursement to theCommission of any start‑up costs and the cost of providing notice to theDepartment of Health and Human Services of any disclosure required bysubparagraph a. Such an agreement may dispense with the notice requirements ofsubparagraph a. by providing for a suitable substitute procedure, reasonablycalculated to discover those persons owing child support obligations who areeligible for unemployment compensation payments.

(3)        Any amount deductedand withheld under paragraph (2) of this subdivision shall, for all purposes,be treated as if it were paid to the individual as unemployment compensationand then paid by such individual to the State or local child supportenforcement agency in satisfaction of the individual's child supportobligations.

(4)        a.         Onor before April 1 of 1983 and each calendar year thereafter, the Commissionshall set and forward to the Secretary of Health and Human Services for use inthe next fiscal year, a schedule of processing fees for the withholding andpayment of unemployment compensation as provided for in this subsection, whichfees shall reflect its best estimate of the administrative cost to theCommission generated thereby.

b.         At least 20 daysprior to September 25, 1982, the Commission shall set and forward to theSecretary of Health and Human Services an interim schedule of fees which willbe in effect until July 1, 1983.

c.         The provisions ofthis subsection apply only if arrangements are made for reimbursement by theState or local child support agency for all administrative costs incurred bythe Commission under this subsection attributable to child support obligationsenforced by the agency. (Ex. Sess. 1936, c. 1, s. 15; 1937, c. 150; 1979, c.660, s. 22; 1981, c. 762, ss. 1, 2; 1981 (Reg. Sess., 1982), c. 1178, ss. 1, 2;1985, c. 552, s. 21; 1997‑443, s. 11A.118(a); 1997‑456, s. 27.)