25-505 - Limited income withholding orders; definition
25-505. Limited income withholding orders;
definition
A. The department or its agent may issue a limited income withholding order to any
employer, payor or other holder of a nonperiodic or lump sum payment that is owed or held
for the benefit of an obligor. The department or its agent shall serve the order in the
same manner as prescribed in section 25-505.01 for service of income withholding orders.
The employer, payor or holder shall deliver or mail by first class mail a copy of the
order to the obligor within ten days after service on the employer, payor or holder.
B. The limited income withholding order shall state the amount of current support
and any arrearages owed by an obligor and shall direct the employer, payor or holder to
withhold and pay to the support payment clearinghouse the amount specified in the order
and not otherwise exempt by law.
C. The limited income withholding order shall include a notice to the obligor of
the right to an administrative review pursuant to section 25-522. The obligor, employer,
payor or holder may contest the limited income withholding order in the same manner
prescribed in section 25-505.01 to contest an income withholding order.
D. Notwithstanding sections 23-350 through 23-355, the employer, payor or holder
who receives an income withholding order pursuant to section 25-505.01 or an order of
assignment pursuant to section 25-504 shall withhold the amount specified and transmit
that amount to the support payment clearinghouse immediately.
E. For the purposes of this section, "lump sum payment" includes severance pay,
sick pay, vacation pay, bonuses, insurance settlements, commissions and stock options.
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