U.S. Military (Ret.): State courts including disability pay in divorce cases - Military Retirement - Navy Times

U.S. Military (Ret.): State courts including disability pay in divorce cases

A new front in the retiree divorce wars has been intensifying in recent years.

Three decades ago, when Congress implemented the Uniformed Services Former Spouse Protection Act, the main issue was division of military retirement pay in divorce cases in state courts.

Now, many state courts are allowing disability pay to also be factored into divorce settlements — something many retirees say is in direct violation of federal law.

They point to Title 38, Section 5301(a) of the U.S. Code, which deals with third-party disbursement of disability compensation. It states that payments “of benefit due or to become due under any law administered by the Secretary [of Veterans Affairs] shall be exempt from the claim of creditors, and shall not be liable to attachment, levy or seizure by or under any legal or equitable process.”

Basically, disabled veterans argue that state court judges do not have the authority to calculate tax-exempt veterans disability payments into divorce settlements when the federal government does not consider such payments to be income and declares them to be protected from seizure or garnishment.

One group in the thick of this issue is Operation Firing for Effect, which in May held a two-day rally in Las Vegas featuring country music legend Willie Nelson to highlight their cause.

“There is a real problem in civil courts with the definition of what veterans disability compensation is,” said Jere Beery, a spokesman for the group.

I have to agree. Disability compensation is awarded for wounds, injuries and permanent life disabilities suffered while in uniform. It is meant to compensate for lost earnings and reduced quality of life.

Even if you allow for the idea that a former spouse may deserve a portion of military retirement pay for having endured the stresses of military life for many years, I can’t see any rationale for splitting disability compensation in divorce settlements.

As our lawmakers stand by with their hands in their pockets, allowing the deterioration of benefits earned by our men and women in uniform, the only thing that will get their attention is a united front that speaks with one strong voice.

If you want to learn more about the issues surrounding division of veterans disability compensation in divorce settlements, you can visit Operation Firing for Effect’s website at www.offe.org.

Retired Command Master Chief Alex Keenan served 28 years in the Coast Guard. Email him at retired@militarytimes.com.