Detailed Answer
This section explains practical steps to make sure a wrongful death settlement in Missouri is filed correctly with the court and distributed exactly as you agreed. It assumes the case is governed by Missouri wrongful death law. This is informational only and is not legal advice. Consult a licensed Missouri attorney for help tailored to your situation.
1. Know who the law recognizes as beneficiaries
Missouri’s wrongful death statute defines who can bring a claim and who is entitled to a recovery. See Mo. Rev. Stat. § 537.080 and § 537.090. Before you finalize or sign anything, confirm that every person who has a legal right to a share is identified and that their share is determined consistent with those statutory rules.
2. Put the agreement in writing and describe the split precisely
Get a written settlement agreement that: (a) states the total amount being paid; (b) shows exactly how the money will be divided (percentages or dollar amounts for each beneficiary, any amounts going to attorneys fees, costs, or taxes); and (c) includes a full release of claims for the decedent. Clear, specific allocation language prevents later disputes.
3. Resolve liens and subrogation before distribution
Medical providers, hospitals, health insurers, Medicare, and Medicaid may have liens or subrogation claims against funds from a wrongful death settlement. Those claims usually must be identified and resolved before the court will approve distribution. Ask the other side and your counsel to obtain lien payoff letters and to show how those amounts will be paid out of the settlement proceeds.
4. Use the court to approve and order distribution
If a wrongful death action is pending, file a joint motion or petition asking the court to approve the settlement and to enter a distribution order consistent with your written agreement. A court order or judgment that approves the settlement and orders specific distributions creates an enforceable, public directive for where the funds should go. Typical filings include a stipulation of dismissal with prejudice plus a proposed order distributing proceeds and resolving claims and liens.
5. Address special-status beneficiaries (minors or incapacitated persons)
If any beneficiary is a minor or legally incapacitated, the court commonly requires special protections before approving a distribution. You may need a guardian, guardian ad litem, or court-approved settlement procedure. Have your attorney request the court’s approval of the settlement on the record so that the minors or incapacitated persons share is protected and the court can enter an order authorizing the payment mechanism (for example, a blocked account or structured settlement).
6. Use escrow, a settlement trustee, or the court clerk to hold funds
Consider having the defendant or insurer place settlement funds in escrow or with a settlement trustee until the court signs an order resolving liens and authorizing distribution. Alternatively, request that the court receive and disburse funds through the clerk or a receiver. This minimizes the risk that someone pays out funds prematurely or inconsistently with the agreement.
7. Get a court order or signed releases from every payee
Even with a written agreement, obtain either (a) a court judgment/order directing distribution; or (b) signed receipts/releases from every beneficiary and from any lienholder showing they have accepted payment. Keep originals and file copies with the court docket to create a clear paper trail.
8. Consider structured settlements and tax implications
If beneficiaries prefer periodic payments, use a structured settlement negotiated and documented in writing and, when needed, approved by the court. Also consult a tax professional about the tax consequences of different portions of the settlement (for example, lost wages vs. pain and suffering) before final distribution.
9. Confirm final dismissal or judgment is entered
Once the court approves the settlement and the funds are distributed as ordered, make sure the court enters the final judgment or dismisses the case with prejudice. Retain the judgment, all release documents, lien satisfaction letters, and receipts in case questions arise later.
10. When to involve an attorney
If there are multiple beneficiaries, disputed shares, outstanding liens, minors, or any complexity, retain a Missouri lawyer experienced in wrongful death matters. The lawyer can draft the settlement agreement and proposed order, negotiate lien resolution, protect minorss interests, and make sure court filings comply with Missouri procedure.
Helpful Hints
- Identify all statutory beneficiaries early and confirm their shares under Mo. Rev. Stat. § 537.080 and § 537.090.
- Insist on one clear allocation table in the settlement agreement (names, amounts or percentages, and who pays liens/fees).
- Require lien payoff letters in writing before distribution.
- Use escrow or a trustee to hold funds until the court signs a distribution order.
- If a beneficiary is a minor, ask the court to appoint a guardian ad litem and to approve the settlement in open court or by written order.
- Get a final signed release and receipt from each person who receives funds.
- Keep certified copies of the distribution order and dismissal or judgment in your records.
- Talk to a Missouri attorney and a tax advisor about complex splits, structured settlements, or potential tax exposure.
Disclaimer: This article explains general principles of Missouri law and common steps people use to ensure wrongful death settlements are filed and distributed correctly. It is not legal advice. For advice specific to your case, contact a licensed Missouri attorney.