Short answer

When someone under 18 (a minor) settles a personal injury claim in Utah, the settlement usually must be reviewed and approved by a court to protect the child’s interests. The court looks at the settlement terms, any attorney fees, lien resolution (medical/insurance), and whether the proposed distribution is in the minor’s best interests. A judge can approve the deal, require changes (for example place money in a blocked account or require a structured settlement), or reject it.

Detailed answer — step-by-step process

1. Retain counsel or otherwise evaluate the claim.

   Most parents hire a lawyer experienced with minor personal injury settlements. An attorney evaluates value, negotiates with insurers/defendants, and helps resolve medical liens and subrogation claims. The lawyer will prepare the settlement agreement and the court filing seeking approval.

2. Negotiate and sign a settlement agreement.

   The parties agree on payment, releases, and allocation for past/future medical care, pain and suffering, and other damages. The agreement should show how the payment will be divided and whether any portion pays attorney fees or liens. Keep copies of medical records and bills to justify the settlement amount to the court.

3. Identify and resolve liens and subrogation claims before court approval.

   Health care providers, insurers (including Medicaid or private subrogation and ERISA plans), and government programs may have claims against proceeds. The court expects either proof that liens are paid, reduced, or that a plan is in place to satisfy them from settlement funds. Resolving liens ahead of the hearing makes approval smoother.

4. Prepare and file a Petition (or Motion) for Court Approval.

   The petition typically includes: the settlement agreement; a description of the claim; identity of the minor and guardian/parent; copies of medical bills; attorney fee request and billing summary; proposed order; and suggestions for how the court should handle the money (lump sum, blocked account, structured settlement, trust, or conservatorship). The filing asks the court to find the settlement fair and in the child’s best interests.

5. Provide notice to interested parties and possibly to a guardian ad litem.

   Utah courts require notice to people and agencies with a legal interest (the child’s parents, custodial guardian, insurers, claimants with liens, and sometimes state agencies such as Medicaid). If the court believes the minor needs independent representation, it may appoint a guardian ad litem to investigate and recommend approval or changes.

6. Attend the court hearing.

   The judge reviews the file and hears argument. The court will scrutinize attorney fees for reasonableness, check that liens and future care needs are addressed, and confirm the agreement serves the child’s best interests. Expect the judge to ask questions about the settlement amount, how funds will be protected, and how future medical needs will be met.

7. Court order: approval, modification, or denial.

   If the judge approves, the court signs an order that directs distribution of funds. The judge may approve the full settlement, condition approval on repayment of liens or changes to how funds are handled, or deny approval if the settlement is inadequate or not in the minor’s best interest.

8. Securely manage the settlement funds per the court order.

   Common options after approval: (a) place money in a blocked/“minor” bank account that requires court authorization for withdrawals, (b) set up a structured settlement that provides periodic payments, (c) create a trust for the minor, or (d) if large or permanent management is needed, open a conservatorship/guardianship account under Utah probate rules. The court’s order will specify exact distribution steps.

9. Final accounting and any continuing court supervision.

   The court may require the guardian or conservator to file accountings and seek approval for any major withdrawals. If funds are placed under a conservatorship, ongoing supervision and accountings are common.

Timing and practical points

Typical uncontested approvals take several weeks to a few months (time to negotiate liens, prepare filings, and receive a hearing date). Contested matters — disputes over fees, allocation, or adequacy of the settlement — can take much longer.

When the court will be particularly cautious

• Large settlement amounts or awards intended to pay long-term care.
• Inadequate documentation of medical expenses and future needs.
• Unclear or unusually large attorney fees.
• Potential conflicts of interest (e.g., a parent benefits personally in a way that conflicts with the child’s interest).

For general information about Utah’s courts and guardianship procedures, see Utah Courts: https://www.utcourts.gov/. For state statutes and code search, see the Utah Legislature: https://le.utah.gov/.

Helpful Hints

• Start early. Resolving medical liens and preparing a convincing petition takes time.
• Document medical expenses and future care needs. Judges rely on concrete numbers to decide fairness.
• Be ready to justify attorney fees with a billing summary and explanation of work performed.
• Consider structured settlements or blocked accounts to protect a child’s long-term needs.
• Ask whether government healthcare (Medicaid) or ERISA plans have lien rights. They often do, and failing to address those liens can delay approval.
• If you cannot afford an attorney, ask the court whether a guardian ad litem or court-appointed counsel can be assigned to represent the minor’s interests in the approval process.
• Keep the court and interested parties informed of settlement details so notice issues don’t derail approval.