Detailed Answer

This explains how Virginia treats settlements for minors and what typically happens at the court hearing that approves those settlements. This is general information only and not legal advice.

When a person under 18 receives money from a legal claim (for example, a personal injury settlement), Virginia law and the courts focus on protecting the child’s money. Many such settlements require court approval or court supervision before funds can be used or distributed. The goal of the hearing is to confirm that the settlement is fair, reasonable, and in the minor’s best interest.

Virginia’s statutes and court processes around compromise of claims, guardianship, and handling of a minor’s property guide this process. See the Code of Virginia for the statutes and procedures that may apply: law.lis.virginia.gov/vacode/. The Virginia court system also posts procedural guidance on filings and hearings: vacourts.gov.

When a hearing is required

• If a civil case was filed on behalf of the minor and the parties ask the court to approve a settlement.
• If the parent or guardian seeks court approval to compromise a claim where court oversight is required to protect the minor’s property (for example, claims that would create a guardianship or when the minor is the direct party to a lawsuit).
• If funds must be placed into a blocked account, trust, or structured settlement and the court must approve the arrangement or the appointment of a guardian of the estate.

Who usually attends

People commonly required or expected at the hearing include:

• The minor’s attorney (if the minor has one).
• The minor’s parent(s) or legal guardian(s).
• The attorney for the party paying the settlement (or the party herself if unrepresented).
• A guardian ad litem may be appointed by the court to represent the minor’s interests—this person may attend and speak for the child.
• The judge and court staff.

Whether the minor must attend

There is no universal rule that a minor must be present. Courts commonly let the guardian or the guardian ad litem represent the child’s interests so the child does not have to appear, particularly when the child is young. For older minors (teens), a judge may want the child to appear and give testimony or confirm the child’s wishes. If attendance by the minor is required, the court or your attorney will notify you in advance.

What happens at the hearing

1. Filing review and jurisdiction: The judge confirms the court has authority to approve the settlement and that required papers were filed (petition, proposed order, statements of costs and liens, receipts for medical bills, proposed distribution, etc.).
2. Presentation of facts: Lawyers or parties briefly summarize the claim, the settlement terms, and why the settlement is fair and in the child’s best interest.
3. Evidence and testimony: The court may take sworn testimony from the parent, guardian, and sometimes the minor or treating providers. The guardian ad litem (if appointed) will report its recommendation.
4. Review of financial handling: The judge examines how funds will be handled—payment of liens, legal fees, medical bills, placement into a blocked account or trust, purchase of an annuity, or approval of distributions to the child. The judge will check that fees are reasonable and that the child’s public benefits (if any) won’t be improperly affected.
5. Orders and approval: If the judge approves, the court signs an order that allows distribution, creates a trust, or directs how the funds will be handled. The court may decline approval or require changes (revised distribution, additional protections, or a guardian of the estate).

Timing and practical details

Expect a short hearing (often 15–60 minutes) for uncontested settlements, longer if there are disputes over fees, liens, or distribution. Schedule and timing vary by local court. Your attorney or the court clerk can estimate the likely length.

If you can’t attend

If a parent, guardian, or attorney cannot attend, many courts allow a lawyer to appear on their behalf if the lawyer has authority. If no lawyer will appear, you should ask the court for a continuance rather than skip the hearing—failure to appear without permission can delay approval or risk the court refusing to approve the settlement.

Costs, fees, and liens

The judge will review and approve attorney fees, guardian ad litem fees (if any), and payments to medical providers or insurers with claims (subrogation or Medicaid liens). Be prepared to present documentation of any liens and to propose how the settlement will satisfy them.

After the hearing

After approval, the court’s order directs how the funds are to be paid and protected. This may include placing money into a blocked bank account, establishing a trust, purchasing an annuity (structured settlement), or appointing a guardian of the estate. The bank or trust company will often require the court order before releasing funds.

Helpful Hints

• Hire or consult an attorney experienced with minor settlements in Virginia. They will prepare the petition, notify the court, and represent the minor’s interests at the hearing.
• Bring copies of medical bills, lien letters, settlement agreement, proposed distribution, and identification for the guardian(s).
• Ask the attorney or courthouse how long approval typically takes in your locality and whether a guardian ad litem will be assigned.
• Plan for reasonable attorney and guardian ad litem fees—courts will review and must approve fees taken from the settlement.
• Consider structured settlements or blocked accounts to protect long-term needs and to preserve eligibility for public benefits if needed.
• Notify any government or medical payors (Medicaid, Medicare, or private insurers) about the settlement to resolve subrogation claims before the hearing, if possible.
• If you cannot attend, arrange for your attorney to appear or file a request for continuance early—don’t assume the court will agree to waive attendance.
• Keep detailed records—court orders, deposit records, and receipts—so the child’s financial history is clear for future guardians or the child when they reach majority.

Where to read more: Review the Code of Virginia and local court rules at law.lis.virginia.gov/vacode/ and the Virginia Judiciary information pages at vacourts.gov.