QDRO Says AP Must Begin Payments

[mal]

Participant (P) and Alternate Payee (AP) have gone through a bitter divorce. She was awarded a separate interest in a DB plan along with hefty spousal support. The QDRO is drafted to require AP to begin receiving payments no later than the date P actually retires.

P is sick of paying "outrageous" child support and is advised by counsel to retire since the payments from the Plan to AP will reduce P's spousal support obligation.

Plan contacts AP and sends her election forms. AP tells Plan to pound sand and that she won't sign anything. P and AP are both going back to court over this issue, but how should the Plan respond? I would assume that she will be entitled to the benefit payments (without interest) at a later date, but I'm not certain of this.

Input is appreciated.

[J Simmons]

Unless and until an order found by the PA to be a QDRO is perhaps modified by the issuing court, it should be implemented by the Plan. The QDRO set the commencement date for the awarded separate share to the AP, i.e. the P's actual retirement date. If AP has not by then chosen an alternative form of payment, the Plan should then begin payments of the separate interest to the AP per the plan's default form of payment for a single person. No signature necessary.

[QDROphile]

I agree with J Simmons. The Order should be implemented in accordance with its terms. The ability to modify after benefits start will be limited. It will get interesting if the plan does not have a birthdate or a social security number, but that should not block implementation. Some cruel device may be in order to get the necessary information, such as assuming that the AP is 18 years old. The AP will come around.