RSmith

What was the AP actually awarded from the plan in the divorce? It sounds like a flat amount of $80K at the time of the divorce, is that correct? Yes, $80k was awarded in the decree in 2004, but the QDRO was denied by the pension plan because I was not vested in a lump sum dollar amount. Why? If the divorce decree said $80K, where is this percentage and years of marriage coming from? Because I was not vested in a lump sum dollar amount because off the number of years I had been working at the time of divorce. Began working in 1985, then married in 1990 and divorced in 2004. According to pension plan rules, I didn't become eligible for lump sum distribution until 2013 when I turned 50yrs old and had 20yrs of service. The language in the decree and QDRO should have awarded a percentage to the AP, since I was not vested in a lump sum amount. The pension plan denied the original QDRO, because it was not in a percentage. Presented to who? Was it issued issued by a state court and approved by the plan? Or are we talking about a proposed change to the original DRO? The new QDRO was presented to my pension plan administrator for approval by the AP with the previously denied $80K lump sum amount. I became eligible at 50yrs old with 20yrs of service. The date of determination was changed in the new QDRO to 1/2014, as I turned 50yrs old in 2013. Contradictory because of the 2014 date? Its not really clear to me what you mean by determination date of 2014. Going back to 2004 for interest/earnings is what I would expect to see since that was when it was awarded. It makes no sense freeze that benefit for 10 years and then accrue interest from 2014 to now. Why do you think this would be illegal? The original date of determination was the date the decree and QDRO was signed in 2004, however now the new date that has been approved in the AP QDRO is 2014, as stated above. However, the interest accrual date is not clear in the new AP approved by the pension plan QDRO. This is a concern because if this goes to court which it will, the judge could possibly award interest from 2004, when I was not eligible for a lump sum. Actually, I would want interest from the date the judge signs the new AP QDRO. Approved by who? To be a QDRO it has to be issued by the court and approved by the plan. It sounds like the judge won't issue an order with the "correct percentage" because that was not what the decree awarded to the AP. The DRO can't create a right that was not awarded in the decree, even if you disagree with Pension Plan Administrator approved the new AP QDRO. The QDRO was approved, then it goes to court for the judge to sign, if he agrees. Then it will go to my company pension for funds distribution to the AP. The judge stated that he would only sign a QDRO that matches the dollar amount in the decree. The AP now has a QDRO that was approved, due to the change in date to when I was eligible for a lump-sum, thus agreeing with the lump sum model language by the plan administrator. How can you change the date of determination in the QDRO to 2014, when the date of divorce was in 2004? Also, this appears to be legal malpractice by the original attorney? Thanks....

I have a major QDRO issue. In 2004 I was granted a divorce with a lump sum amount attached of 80k in both the Decree and QDRO going to the Alternate Payee. Only the participant (me) had a attorney at the time of divorce. The pension plan initially rejected the QDRO with the lump sum dollar amount, as I was not vested in a lump sum amount at the time of divorce. The amount should have been in a percentage, with the number of years married taken into consideration. It does not appear the attorney was familiar with the QDRO process, model language or rules. After numerous rejections, as the same QDRO was being presented to the pension plan administrator by the Alternate payee. Also, the attorney did not attempt to rectify the QDRO issue through numerous rejections. In Sep2017 the Alternate Payee hired an attorney and presented a QDRO with a new date of determination of 1/1/2014, which was after the date I turned 50 and now eligible for a lump-sum distribution. I have a new attorney who is familiar with QDRO's. The argument now is that the date of determination is changed from the date the decree was signed to match the dollar amount in the decree. Also, the Alternate Payee's approved QDRO does not state clearly the date in which interest will be accrued from, as it appears the judge may use the (2004) date the decree was signed to accrue interest, which would be contradictory and possibly illegal. I also have a approved QDRO with the correct percentage that was approved in 9/2017. However, the judge has stated that he will only consider the lump sum dollar amount in the decree that matches the QDRO. This is a attempt to take advantage of the pension plan by changing the date of determination and I'm not sure if the complicated process is legal. Also, should the original attorney be held liable for legal malpractice?