Ala. Admin. Code r. 660-3-12-.06 - Right To Contest Lien/Levy

(1) The noncustodial parent has a right to an administrative desk review of the action taken to implement a lien and a levy against his/her assets. The request for review must be in writing within fifteen (15) calendar days of the date appearing on the Notice of Lien. The Obligor Notice of Lien instructs the noncustodial parent to mail the written request to the state IV-D agency.
(a) Reasons for contesting the lien/ levy:
1. Mistake of fact.
2. The child support debt is paid in full.
3. (S) He is receiving SSI or SSI money is in the financial account(s).
4. (S) He does not meet the qualifications for lien/levy.
5. (S) He is involved in bankruptcy proceedings.
6. (S) He is strictly on the account for fiduciary purposes, for example the management of the funds of an elderly parent or minor child.
7. The financial account contains SSI money received by another joint account holder or individual who is a SSI recipient.
8. (S) He or another joint account holder or individual is a former SSI recipient and SSI funds were deposited into the financial account.
9. The financial account is classified as a business account.
10. The financial account is a joint account and the funds do not belong to him/her.
(b) The noncustodial parent must provide proof, such as copies of:
1. Canceled checks or money orders.
2. Child Support orders or modifications to them.
3. Pay stubs that show child support withheld.
4. Letters from employers who have withheld wages.
5. Receipts for child support payments.
6. Court records documenting payment of child support.
7. Picture ID and Social Security Card to prove mistaken identity.
8. Documents showing that the levied funds do not belong to him/her (bank documents, etc.).
9. Any other applicable documents.
(c) If the noncustodial parent is on a joint account and claims the funds do not belong to him/her, (s)he must provide documentation that shows that his/her name is on the account strictly for fiduciary purposes. If documents indicate that the noncustodial parent is on the account for fiduciary purposes, the levy will be released.
(d) Where there is a joint account and the noncustodial parent is not on the account for fiduciary purposes, 50% of the account funds shall be released to the other joint account holder. Where there are more than two individuals listed on the account, the funds shall be released to the other joint account holders proportionately based on the number of individuals on the account. If the noncustodial parent claims that a different amount belongs to him/her, (s)he must provide documentation that shows the amount that belongs to him/her. The noncustodial parent's portion will continue to be levied in order to satisfy the outstanding child support obligation.
(e) A desk review will be conducted by the state IV-D agency within 30 days of receiving the request for an administrative review.
(2) If the issue cannot be resolved in an administrative desk review, the noncustodial parent has the right to request an administrative hearing. The non-custodial parent is advised in the Results of Administrative review document that the state IV-D agency must receive a written request for an administrative hearing within thirty (30) days of the date on the document or the money will distribute as child support.
(a) An administrative hearing will be conducted by the State IV-D agency within 90 days of receiving the written request.
(3) If the noncustodial parent does not agree with the findings of the administrative hearing, (s)he has the right to request a judicial review by filing a notice of appeal, cost bond, and petition for review as required under the Alabama Administrative Procedure Act. The noncustodial parent is advised in the results of administrative hearing document that the state IV-D agency must receive notice of the court action within thirty (30) days of the date on the document, or the money will distribute as child support.
(4) A person whose name appears jointly on the account with the noncustodial parent has the same right as the noncustodial parent to contest the action to lien/levy the assets. If the joint account holder claims the funds belong to him/her and not the noncustodial parent, the joint account holder must provide documentation that shows that the noncustodial parent's name is on the account strictly for fiduciary purposes. Where there is a joint account and the noncustodial parent is not on the account for fiduciary purposes, 50% of the account funds shall be released to the joint account holder. Where there are more than two individuals listed on the account, the funds shall be released proportionately based on the number of individuals on the account. If a joint account holder claims that a different amount belongs to him/her, the joint account holder must provide documentation that shows the amount that belongs to him/her. The noncustodial parent's portion will continue to be levied in order to satisfy the outstanding child support obligation.

Notes

Ala. Admin. Code r. 660-3-12-.06
Amended by Alabama Administrative Monthly Volume XXXII, Issue No. 12, September 30, 2014, eff. 10/16/2014. Amended by Alabama Administrative Monthly Volume XXXIV, Issue No. 07, April 29, 2016, eff. 6/2/2016. Amended by Alabama Administrative Monthly Volume XXXVII, Issue No. 11, August 30, 2019, eff. 9/19/2019. Amended by Alabama Administrative Monthly Volume XXXVII, Issue No. 11, August 30, 2019, eff. 9/19/2019.

Author: Clifford Smith

Statutory Authority: Code of Ala. 1975, ยงยง 30-3-191, 30-3-192, and 30-3-198, P.L. 104-193.

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