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New Law: Collection Fees for Unpaid Child Support and Alimony

New Law: Collection Fees for Unpaid Child Support and Alimony

In the 2020 legislative session the Utah State legislature passed a new law, Utah Code section 30-3-3.5, which provides that a court shall now impose a collection fee to pay an attorney to collect unpaid child support and/or alimony on a contingency fee basis, so long as the collection fee is not prohibited by other state or federal law and so long as the collection fee is the lesser of (A) the actual amount required to pay for collection costs or (B) less than 40% of the principal amount owed for the domestic relations debt. The court shall also award reasonable attorney fees incurred to obtain a judgment for unpaid support and court costs, if any, related to obtaining the judgment.

Utah Family Law, LC | divorceutah.com | 801-466-9277

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