Rule 2206 - Petitions for Approval of Settlement, Compromise, Discontinuance and Judgement in Wrongful Death and/or Survival Actions; Allocation of Proceeds; Notice to the Department of Revenue; Contents and Disposition of the Petition; Filing of Decrees(a) All wrongful death actions in which a minor or incapacitated person has an interest shall not be settled, compromised, or discontinued until entry of a decree by the civil division or orphans' court division of this court as hereinafter provided, upon petition in accordance with this rule.(b) No survival action may be settled, compromised, or discontinued without judicial approval pursuant to petition as hereinafter provided.(c) If suit has been instituted, all such petitions shall be handled by the judge of the civil division to whom the case has been assigned. If no such assignment has been made, the petition shall be handled or referred as the administrative judge of the civil division shall direct.(d) If no suit has been instituted, all such petitions shall be handled by the administrative judge of the orphans' court division.(e) Contents of Petition Any such petition shall contain the following information:
(1) Delineation of the factual circumstances of the case, i.e., date of the accident/injury, how it occurred, and identification of the defendant(s).(2) Type of injury suffered together with some medical documentation to advise the court of the extent and effect of the injuries.(3) How long the decedent lived after the accident.(4) What portion of the settlement proceeds are to be attributed to wrongful death and what portion to the survival action, together with supporting facts (e.g.; pain and suffering; pecuniary loss etc.)(5) A list of any unpaid creditors of the decedent, and how they will be paid.(6) Whether the decedent died testate or intestate, and a list of the intestate heirs, including adult children, and whether the decedent's children are also children of the surviving spouse.(7) Whether the decedent's intestate heirs are the same as his or her testate heirs and, if not, a list of the testate heirs and their relationship to decedent.(8) To what extent the surviving spouse's $30,000.00 intestate share threshold has been satisfied excluding settlement proceeds.(9) Whether or not decedent's parent(s) or spouse has forfeited his or her intestate share pursuant to 20 Pa.C.S. § 2106.(10) The date of the birth of any intestate heir who is a minor.(11) The facts establishing pecuniary loss suffered by adult children claiming a share of wrongful death proceeds; or an averment that an adult child is not claiming any interest in wrongful death proceeds.(12) The date of appointment and name of the guardian of the estate of any heir who has been adjudged incapacitated.(13) If the settlement is structured, the information required by Leh. R.C.P. 2039 (d) (2) (regarding compromise of minor's actions).(f) Exhibits to Petitions The petition shall have attached to it as exhibits, the following items:
(1) An itemization of the costs to be reimbursed (including orphans' court filing fees to be incurred if copies of the order will need to be filed in orphans' court division as required by section (i) of this rule regarding Filing of Final Decrees).(2) A copy of the contingency fee agreement signed by clients and counsel.(3) Birth certificate for any beneficiary who is a minor.(4) Consents and joinders of an adult child not claiming a portion of wrongful death proceeds, or proof of service of petition and proposed decree upon them.(5) Guardian's certificate evidencing the appointment of a guardian of the estate of a distributee who is a minor or an incapacitated person.(6) Regarding non-Lehigh County estates:(i) a short certificate that is not more than sixty (60) days old evidencing petitioner's appointment as personal representative.(ii) a copy of the inventory of the decedent's estate.(iii) a copy of decedent's will.(iv) notices of claims against the estate filed of record.(7) Written evidence of Department of Public Welfare or any other subrogation liens proposed to be paid from settlement proceeds.(8) Written response from the Office of Chief Counsel on behalf of the Department of Revenue approving or disapproving the proposed allocation of proceeds between the wrongful death and survival actions.(9) A copy of the release.(g) Disposition of Petitions: In all cases, whether or not suit has been instituted (1) Submission (uncontested allocation) If the petition has been approved by the Department of Revenue, or if no response has been received within 20 days of service of a copy of the petition upon the Department through the office of chief counsel, a photocopy of the petition, proposed decree and exhibits shall be submitted (by mail, telefax, or hand delivery) to the orphans' court counsel with a notation as to the civil division judge, if any, to whom the case is assigned. After review, the orphans' court counsel will request counsel for petitioner to submit the original pleadings (together with as many photocopies of the decree as there are counsel of record) for transmittal to the appropriate civil division or orphans' court division judge for action. The petition shall not be filed prior to submission as provided herein.
(2) Accompanying Documents The petition, in addition to the requisite exhibits, shall be accompanied by:
(i) a proposed decree, which: apportions the proceeds, fees, and costs between the wrongful death action and the survival action; directs that the share of a minor be deposited to a restricted, interest-bearing, account in a federally insured bank or credit union doing business in Lehigh County; directs that the share of an adjudicated incapacitated person be awarded to the guardian of his/her estate; directs the personal representative to promptly file a supplemental inventory and inheritance tax return that both reflect receipt of survival action proceeds with the register of wills of the county of decedent's domicile. (ii) if non-disclosure of terms is a condition of settlement, a separate confidentiality order.(iii) if the settlement is structured, a letter from counsel disclosing the gross settlement figure and the cost of the annuity funding the structure.(3) Presentation (uncontested allocation) Unless requested by counsel or required by the court, no hearing will be held, nor formal presentation required, where the petition for approval and allocation is uncontested by any party in interest or by the Department of Revenue. Counsel for petitioner will be contacted when a decree is entered at which time counsel shall file the pleadings in accordance with section (i) of this rule (regarding Filing of Final Decrees).
(h) Contested Allocations of Proceeds(1) Submission of Petition and Rule In all cases, whether or not suit has been instituted, if the petition has not been approved by the Department of Revenue and a hearing is needed on the issue of allocation of proceeds, the original petition and exhibits shall be submitted to the orphans' court counsel (as per subsection (1) of section (g) above) by mail or hand delivery together with a proposed decree (as per subsection (2) of section (g) above) and with a rule returnable which establishes a hearing date and directs service.
(2) Filing of Petition and Rule (i) Civil division - if suit has been commenced, the rule, petition, and proposed decree shall be filed with the clerk of courts-civil division.(ii) Orphans' court division - if no suit has been commenced, the rule, petition, and proposed decree shall be filed with the clerk of the orphans' court division.(3) Service of rule, petition and proposed decree (i) The Department of Revenue - the rule, petition, and proposed decree shall be served by certified mail, return-receipt requested upon the office of chief counsel, Pennsylvania Department of Revenue at least 10 days prior to the date for hearing on allocation set by the rule returnable.(ii) Defendants - Counsel for defendants, or unrepresented defendants shall be served with the rule, petition, and proposed decree by ordinary, first class mail at least 10 days prior to the date for hearing on allocation set by the rule returnable.(4) Entry of Decree After hearing on the issue of allocation of proceeds, the court shall issue a decree approving settlement and directing distribution of proceeds, which shall be filed by counsel for the petitioner in accordance with section (i) of this rule (regarding Filing of Final Decrees).
(i) Filing of Final Decrees (1) In all cases where suit has been instituted, upon entry of a decree by the court, counsel for petitioner shall: (i) file the original decree and petition plus exhibits (if not previously filed per section (h) above) with the clerk of courts - civil division; and(ii) if the decedent's estate was raised in Lehigh County, file, pursuant to 20 Pa.C.S.A. § 3323 (b) (3), a time-stamped copy of the decree with the clerk of orphans' court division. (If there are minor and/or incapacitated distributees, see subsection (2) of this section (i), below).(2) In all cases where there are minor or incapacitated distributees and the decedent's estate was raised in Lehigh County, upon entry of a decree by the court, counsel for petitioners shall:(i) file with the clerk of orphans' court division, a time-stamped copy of the signed decree, or if no civil suit was instituted, the original petition with exhibits and decree under the caption and file number of the decedent's estate; and(ii) obtain from the clerk of the orphans' court division, as many separate affidavits of deposit as there are minor distributees and/or as many guardian's inventory forms as there are incapacitated distributees whose guardians were appointed in Lehigh County; and(iii) file with the clerk of the orphans' court division, a separate affidavit of deposit evidencing establishment of a restricted account in the name of each minor distributee, using the caption and file number of the decedent's estate with each minor's name as a parenthetical reference; and/or(iv) file with the clerk of the orphans' court division a supplemental guardian's inventory disclosing receipt of settlement proceeds on behalf of each ward adjudicated incapacitated in Lehigh County, using the guardianship caption and file number; each such inventory to be accompanied by a copy of the decree directing distribution.(3) In all cases where there are minor distributees (resident or non-resident) and/or incapacitated distributees (whose guardian was appointed in Lehigh County) and the decedent's estate was not raised in Lehigh County, upon entry of a decree by the court, counsel for petitioner shall: (i) file with the clerk of the orphans' court division as many clocked copies of the signed decree as there are minor distributees to obtain a separate orphans' court "M" file number for each minor; and(ii) obtain from the clerk of the orphans' court division, as many separate affidavits of deposit as there are minor distributees and/or as many guardian's inventory forms as there are incapacitated distributees whose guardians were appointed in Lehigh County; and(iii) file with the clerk of the orphans' court division a separate affidavit of deposit evidencing establishment of a restricted account for each minor distributee, using the minor's name as caption and the newly-assigned orphans' court "M" file number; and/or(iv) file with the clerk of the orphans' court division a supplemental guardian's inventory disclosing receipt of settlement proceeds on behalf of each ward adjudicated incapacitated in Lehigh County; each such inventory to be accompanied by copy of the decree directing distribution.Amended effective 1/1/2020; amended effective 7/1/2023.