RULE 5.636.   SETTLEMENT OF MINORS’ CLAIMS

(a)    Time of Settlement. Claims on behalf of minors may be settled either before or after an action is filed.

(b)    Petition. The petition for approval of a settlement shall contain:

(1)    the initials, residence address, and the year of birth of the minor;

(2)    the name and address of any guardian appointed for the minor;

(3)    the name and residence address of the natural guardians or other persons having legal custody of the minor;

(4)    a statement disclosing the interests of any natural or court-appointed guardian whose interest may be in conflict with that of the minor;

(5)    a description of the cause of action in which the minor’s interest arises;

(6)    a summary of the terms of the proposed settlement; and

(7)    copies of all agreements, releases, or other documents to be executed on behalf of the minor.

(c)    Notice. Notice of the petition shall be given to the court- appointed guardians for the minor, to the natural guardians or other persons with legal custody of the minor, to the minor if age 14 or older, and to the minor’s next of kin if required by the court.

(d)    Guardian Ad Litem. The court shall appoint a guardian ad litem on behalf of a minor, without bond or notice, with respect to any proposed settlement that equals or exceeds $50,000 and affects the interests of the minor, if:

(1)    there is no court-appointed guardian of the minor;

(2)    the court-appointed guardian may have an interest adverse to the minor; or

(3)    the court determines that representation of the minor’s interest is otherwise inadequate.

(e)    Valuation of Proposed Settlement. A proposed settlement is deemed to equal or exceed $50,000 if the gross amount payable equals or exceeds $50,000, without reduction to reflect present value or fees and costs.

(f)     Report. A guardian ad litem appointed with respect to a proposed settlement affecting the interests of a minor shall, not later than 5 days prior to the hearing on a petition for order authorizing settlement, file and serve a report indicating the guardian ad litem’s determination regarding whether the proposed settlement will be in the best interest of the minor. The report shall include:

(1)    a statement of the facts of the minor’s claim and the terms of the proposed settlement, including any benefits to any persons or parties with related claims;

(2)    a list of the persons interviewed and documents reviewed by the guardian ad litem in evaluating the minor’s claim and proposed settlement; and

(3)    the guardian ad litem’s analysis of whether the proposed settlement will be in the best interest of the minor.

A copy of the report shall be served on those persons on whom service is required in subdivision (c) of this rule.