# Ark. Code Ann. § 20-77-305: Notice to Department of Human Services of award or settlement by recipient required

> Arkansas · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-305

## Section

- **Citation:** Ark. Code Ann. § 20-77-305
- **Heading:** Notice to Department of Human Services of award or settlement by recipient required
- **Jurisdiction:** Arkansas
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** AR Code / Title 20 / Chapter 77 / Subchapter 3 / Section 20-77-305

## Text

(a) A judgment, an award, or a settlement in any action or claim by a medical assistance recipient to recover damages for injuries, disease, disability, or death in which the Department of Human Services has an interest, shall not be satisfied without first giving the department notice and a reasonable opportunity to establish its interest. (b) If a recipient, his or her guardian, attorney, or personal representative disposes of the funds that are to be held for the benefit of the department under this section without the written approval of the department, that person shall be liable to the department for any amount that, as a result of the disposition of the funds, is not recoverable by the department. (c) In addition to the amount of the department's claim, a recipient, his or her guardian, attorney, or personal representative who knowingly fails to obtain written approval from the department before disposing of funds under this section is liable to the department for: (1) A penalty equal to ten percent (10%) of the amount of the department's claim; and (2) Reasonable costs and attorney's fees. Acts 1979, No. 419, § 5; 1981, No. 500, § 3; A.S.A. 1947, § 83-171.4; Acts 1987, No. 463, § 3; 2009, No. 710, § 1; 2011, No. 625, § 4.

(a) A judgment, an award, or a settlement in any action or claim by a medical assistance recipient to recover damages for injuries, disease, disability, or death in which the Department of Human Services has an interest, shall not be satisfied without first giving the department notice and a reasonable opportunity to establish its interest.

(b) If a recipient, his or her guardian, attorney, or personal representative disposes of the funds that are to be held for the benefit of the department under this section without the written approval of the department, that person shall be liable to the department for any amount that, as a result of the disposition of the funds, is not recoverable by the department.

(c) In addition to the amount of the department's claim, a recipient, his or her guardian, attorney, or personal representative who knowingly fails to obtain written approval from the department before disposing of funds under this section is liable to the department for: (1) A penalty equal to ten percent (10%) of the amount of the department's claim; and (2) Reasonable costs and attorney's fees.

(1) A penalty equal to ten percent (10%) of the amount of the department's claim; and

(2) Reasonable costs and attorney's fees.

Acts 1979, No. 419, § 5; 1981, No. 500, § 3; A.S.A. 1947, § 83-171.4; Acts 1987, No. 463, § 3; 2009, No. 710, § 1; 2011, No. 625, § 4.

## Nearby sections

- [Ark. Code Ann. § 20-77-301 Action by Department of Human Services](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-301.md)
- [Ark. Code Ann. § 20-77-302 Action by recipient alone - Reimbursement of division](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-302.md)
- [Ark. Code Ann. § 20-77-303 Action by division and recipient](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-303.md)
- [Ark. Code Ann. § 20-77-304 Notice of action or claim - Intervention or consolidation](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-304.md)
- [Ark. Code Ann. § 20-77-305 Notice to Department of Human Services of award or settlement by recipient required](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-305.md)
- [Ark. Code Ann. § 20-77-306 Liability of third parties to Department of Human Services - Definitions](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-306.md)
- [Ark. Code Ann. § 20-77-307 Assignment to Department of Human Services of rights of recovery](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-307.md)
- [Ark. Code Ann. § 20-77-308 Release of information to Department of Human Services](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-308.md)
- [Ark. Code Ann. § 20-77-309 Denial or reduction of benefits - Insurance policies](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-309.md)
- [Ark. Code Ann. § 20-77-310 Denial or reduction of benefits - Service plan corporation contracts](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-310.md)
- [Ark. Code Ann. § 20-77-311 Denial or reduction of benefits - Healthcare providers](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-311.md)
- [Ark. Code Ann. § 20-77-312 Denial or reduction of benefits - Provisions not applicable to Arkansas Medicaid Program](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-312.md)
- [Ark. Code Ann. § 20-77-313 Billing statements](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-313.md)
- [Ark. Code Ann. § 20-77-314 Definitions](https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-314.md)

---

Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_AR_T20_C77_S3_S20-77-305. Check the current official text before relying on it. Not legal advice.