Tennessee Code 50-5-222 – Requirement that portion of earnings be set aside in trust
Terms Used In Tennessee Code 50-5-222
- Age of majority: means eighteen (18) years of age or older. See Tennessee Code 1-3-105
- Contract: A legal written agreement that becomes binding when signed.
- 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.
- Minor: means any person who has not attained eighteen (18) years of age and has not had the disability of minority removed so as to make this part inapplicable. See Tennessee Code 50-5-203
- Trustee: A person or institution holding and administering property in trust.
Notwithstanding any law to the contrary, in an order approving a minor‘s contract as described in this part, the court shall require that fifteen percent (15%) of the minor’s gross earnings pursuant to the contract be set aside by the minor’s employer in trust and shall be paid to the trustee appointed by the court so that it may be invested in an account or other savings plan, and preserved for the benefit of the minor until the minor reaches the age of majority. The court may also require that more than fifteen percent (15%) of the minor’s gross earnings be set aside in trust, in an account or other savings plan, and preserved for the benefit of the minor, upon request of the minor’s parent or legal guardian, or the minor, through the minor’s guardian ad litem. Gross earnings for the purpose of this section refers to those funds earned and received by the minor pursuant to the terms of the contract and does not include those funds applied towards recoupment pursuant to the contract.