Detailed Answer — Step-by-step process under Virginia law

When a minor has a legal claim (for example, a personal injury claim) and a settlement is reached, Virginia courts generally require independent protection of the child’s interests before approving the settlement. A guardian ad litem (GAL) is a person the court appoints to represent the minor’s best interests in that proceeding. Below are the typical steps a party will see in Virginia civil courts when a GAL is needed for a minor’s settlement.

1. When a guardian ad litem is required

• Court approval is generally required where a lawsuit or claim belongs to a minor and the parties propose to settle or compromise the claim. Courts appoint a GAL whenever they need an independent voice to evaluate whether the settlement is fair, reasonable, and in the child’s best interests.
• Even if the minor has a parent or a legal guardian, the court may still require a GAL because parents may have a conflict of interest (for example, where settlement proceeds will be used to pay medical providers or where the parent’s interests diverge from the child’s).

2. Who asks the court to appoint a guardian ad litem

• Any party to the litigation — commonly the plaintiff’s counsel, defense counsel, or even the court on its own motion — can request that the court appoint a GAL to represent the minor.
• Often the plaintiff’s attorney will file a petition or motion seeking appointment of a GAL and asking the court to approve the proposed settlement.

3. How the court appoints the guardian ad litem

1. Filing a motion or petition: The party seeking approval files a motion or petition with the circuit court asking for appointment of a GAL and asking the court to review and approve the settlement for the minor.
2. Notice to interested persons: The court will require notice to the minor’s parents or guardians, any interested parties, and sometimes to the minor if of sufficient age to understand. The court sets the hearing date for appointment and approval of the settlement.
3. Selection of the GAL: The court may appoint an attorney or another qualified person as GAL. Courts often appoint an independent attorney with experience in representing minors’ interests in civil settlements.
4. Qualifications and oath: The appointed GAL takes an oath and must act to protect the minor’s interests. The court supervises the GAL’s conduct in the case.

4. Duties of the guardian ad litem

• Investigate the facts and the proposed settlement terms.
• Interview the minor (if appropriate), parents, treating providers, and counsel.
• Evaluate whether settlement proceeds are adequate, whether the allocation (e.g., for medical bills, liens) is reasonable, and whether the proposed distribution protects the child’s long-term needs.
• Advise the court by filing a written report or by making an oral recommendation at the hearing — recommending approval, modification, or rejection of the settlement.

5. Court review and approval of the settlement

The court reviews the GAL’s recommendation, the settlement terms, and any objections raised. The judge must find that the settlement is fair, reasonable, and in the minor’s best interests before signing an order approving the compromise. The judge may:

• Approve the settlement as proposed;
• Approve the settlement with modifications (for example, ordering funds to be placed in a restricted account, structured settlement, or trust); or
• Reject the settlement and require renegotiation or a trial to resolve the claim.

6. Handling proceeds: common court-ordered protections

• Court may order funds to be deposited into a blocked account, guardian-managed trust, or structured settlement so the minor cannot access funds without court permission.
• Court may direct payment of liens (medical, Medicare/Medicaid subrogation) from the settlement before disbursing net proceeds to the minor’s appropriate representative.
• If a permanent guardian of the estate is necessary, the court may appoint one under guardianship statutes; a GAL appointment for settlement review is often temporary and limited to the settlement matter.

7. Costs and compensation

The GAL can request reimbursement or compensation for time and expenses. The court will review and approve any fees charged by the GAL. Sometimes the parties agree to pay the GAL from settlement proceeds, but the court must approve those fees as reasonable.

8. Timing

The GAL process typically occurs before final settlement approval. Courts usually set a hearing date after the motion is filed; the GAL completes discovery and investigation before that hearing. Timing varies with court schedules and case complexity.

9. Where to find the governing law

Procedures governing civil practice and court supervision are folded into the Code of Virginia and Virginia court rules. For more specific statutory language and local practice rules, consult the Code of Virginia and the Virginia Supreme Court’s rules:

• Code of Virginia (general): https://law.lis.virginia.gov/vacode/
• Virginia Supreme Court Rules and local court procedure resources: https://www.vacourts.gov/courts/scv/rules_of_court.html

Because procedures can vary between circuit courts, and some matters implicate guardianship statutes or juvenile procedures, counsel or the court clerk can point you to the relevant local rules and forms.

Hypothetical example

Imagine a 9-year-old child injured in a car crash. Parents reach a $100,000 settlement with the insurer. The child’s attorney files a petition asking the local circuit court to approve the settlement and requests appointment of a GAL. The court appoints an independent attorney as GAL, who reviews medical records, interviews the child and parents, evaluates the settlement net of medical liens, and recommends approval conditioned on placing $60,000 into a blocked account for future educational and medical needs. The judge reviews the GAL’s report, approves the settlement with the blocked-account condition, and authorizes payment of medical liens from the settlement funds before funding the blocked account.

Helpful Hints

• Start early: Ask about a GAL appointment as soon as settlement talks begin so the court can schedule the hearing without delaying payment.
• Provide full records: Give the GAL and court complete medical records, billing statements, and lien information to speed review and approval.
• Expect court oversight: Courts often require detailed accounting when minors receive significant funds; plan for restricted accounts or trusts.
• Get written recommendations: A written GAL report helps the judge and reduces later disputes over the adequacy of the investigation.
• Discuss fees in advance: If attorney fees or GAL fees will be paid from settlement proceeds, disclose them and seek court approval to avoid later objections.
• Talk to local counsel: Procedures and local practices differ by circuit; a Virginia attorney familiar with your local court can explain timelines and likely conditions the judge imposes.
• Protect federal/state benefits: If the minor receives Medicaid or other public benefits, consult an attorney about how settlement funds can affect eligibility and whether a special needs trust or payback provisions are required.

Relevant resources: Code of Virginia and Virginia Supreme Court rules (links above). For court-specific filing requirements, contact the clerk of the circuit court where the case is pending or consult a Virginia attorney.