X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.
Click here for the full text of this decision FACTS:Pursuant to a divorce decree, M.C.C.’s father was to make child support payments beginning in July 1993. The father failed to make some of the payments and in November 2001 the attorney general filed an enforcement motion seeking payment of the delinquent child support together with the accrued interest. The action later resulted in an order signed May 16, 2002, which reduced the unpaid child support to a formal judgment. Before January 2002, the interest on a cumulative money judgment for child support and arrearages was 12 percent simple interest. Act of May 6, 1993, 73rd Leg., R.S., ch. 150, ��1, 3, 1993 Tex. Gen. Laws 302, 302 (amended 1995, 1999, 2001, & 2005). In 2001 the Legislature amended the pertinent statute, Family Code �157.265, with an effective date of Jan. 1, 2002. This amendment reduced the interest on child support from 12 percent to 6 percent. The effective date language of the 2001 statute stated that the new interest rate applied to unpaid child support that has not been judicially confirmed and reduced to judgment. HOLDING:Reversed and remanded to the trial court. The effective date language, when read in its entirety, does not require retroactive application of the interest rate in 2001 Texas Family Code �157.265. Under the statute, any unpaid child support payments that have not been judicially confirmed will include 12 percent interest accrued through Dec. 31, 2001. Beginning Jan. 1, 2002, the unpaid child support that is not judicially confirmed, including the 12 percent interest already included in the debt, will start accruing any new interest at the rate of six percent. However, any unpaid child support that was judicially confirmed before Jan. 1, 2002, will not start to accrue the six percent interest on Jan. 1, 2002, but will accrue at the rate set at the time of the trial court’s order. OPINION:Per curiam.

Want to continue reading?
Become a Free ALM Digital Reader.

Benefits of a Digital Membership:

  • Free access to 1 article* every 30 days
  • Access to the entire ALM network of websites
  • Unlimited access to the ALM suite of newsletters
  • Build custom alerts on any search topic of your choosing
  • Search by a wide range of topics

*May exclude premium content
Already have an account?

 
 

ALM Legal Publication Newsletters

Sign Up Today and Never Miss Another Story.

As part of your digital membership, you can sign up for an unlimited number of a wide range of complimentary newsletters. Visit your My Account page to make your selections. Get the timely legal news and critical analysis you cannot afford to miss. Tailored just for you. In your inbox. Every day.

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.