40-5-303. Petition for income deduction — who may initiate. (1) If an obligor is exempted from immediate income withholding under 40-5-315 or is not otherwise subject to an income-withholding order, the obligor’s income may be withheld for the payment of child support if the obligor becomes delinquent in the payment of support, a person or entity referred to in subsection (2) notifies the obligor that income withholding will be initiated if the delinquent amount is not paid within 8 days of the date of the notice, and the obligor does not pay the delinquent amount within that time. Notification that income withholding will be initiated if a delinquency is not paid within 8 days of the date of the notice is not necessary if such a notice was given for a prior delinquency and the prior delinquency in fact existed. This notice is different from the notice required by 40-5-305.

Terms Used In Montana Code 40-5-303

  • Attachment: A procedure by which a person's property is seized to pay judgments levied by the court.
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Employer: includes a payor. See Montana Code 40-5-303
  • Guardian: A person legally empowered and charged with the duty of taking care of and managing the property of another person who because of age, intellect, or health, is incapable of managing his (her) own affairs.
  • Income: means any form of periodic payment to a person, regardless of source, including commissions, bonuses, workers' compensation, disability benefits, payments under a pension or retirement program, interest and earnings, and wages. See Montana Code 40-5-303
  • Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
  • Payor: means any entity that pays income to an obligor on a periodic basis and includes any person, firm, corporation, association, employer, trustee, political subdivision, or state agency or an agent of any one of them, subject to the jurisdiction of the courts of this state under Rule 4(b) of the Montana Rules of Civil Procedure. See Montana Code 40-5-303
  • Person: includes a corporation or other entity as well as a natural person. See Montana Code 1-1-201
  • State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201
  • Trustee: A person or institution holding and administering property in trust.

(2)Income withholding for the payment of child support may be initiated by:

(a)the person named as the recipient of the child support payments in the child support order;

(b)the child or the guardian of the child named in the child support order; or

(c)the department of public health and human services.

(3)(a) At the request of an initiating party who has determined that an obligor is delinquent, the district court shall issue an order for income deductions for immediate service upon the obligor’s payor or payors. The order is limited to current support unless modified to include arrears as provided in 40-5-308.

(b)At the same time an income deduction order is issued, the requesting party shall notify the obligor as provided in 40-5-305 that income deductions have been initiated.

(4)Deductions under this section for current support may be terminated only if:

(a)the district court determines after a hearing that the obligor was not delinquent when the deduction order was issued;

(b)the obligation to pay support has terminated and all delinquencies are paid in full; or

(c)the department of public health and human services has superseded the deduction order under authority of Title 40, chapter 5, part 4.

(5)As used in this part, the following definitions apply:

(a)”Employer” includes a payor.

(b)(i) “Income” means any form of periodic payment to a person, regardless of source, including commissions, bonuses, workers’ compensation, disability benefits, payments under a pension or retirement program, interest and earnings, and wages.

(ii)Income does not include:

(A)an amount, other than creditor claims, required by law to be withheld, including federal, state, and local taxes and social security; or

(B)an amount exempted from judgment, execution, or attachment by federal or state law.

(c)”Payor” means any entity that pays income to an obligor on a periodic basis and includes any person, firm, corporation, association, employer, trustee, political subdivision, or state agency or an agent of any one of them, subject to the jurisdiction of the courts of this state under Rule 4(b) of the Montana Rules of Civil Procedure.