Lost Your Job Due to Covid-19 and Owe Child/Spousal Support?

Job Losses Due to Coronavirus (Covid-19)

Record numbers of people are losing their jobs due to coronavirus (Covid-19). The US Labor Department reports over 6.6 million applications for unemployment benefits in the past week. CNN reports “Further job loss expected in coming weeks is very likely to push unemployment above 10%, even taking account of a potential steep decline in the labor force participation rate, as some displaced workers are neither furloughed nor looking for work,” (See https://www.cnn.com/2020/04/02/economy/unemployment-benefits-coronavirus/index.html). And unemployment claims in North Carolina have been substantial due to the virus as well.

Under a Court Order to Pay Child Support?

If you are under a North Carolina court order to pay child support and you have lost your job for reasons that are no fault of your own, you should file a motion to reduce your child support obligation as soon as possible. Under N.C. Gen. Stat. § 50-13.7, you may file a motion to modify your child support obligation and are eligible for a modification when you show a change of circumstance. The State of North Carolina provides a generic form that you may use to file your motion to modify child support. A link to it is included here. It is important to file your motion as soon as possible and include the legal justification for your request to reduce your child support (e.g., lost job due to COVID-19, etc.) because under N.C. Gen. Stat. § 50-13.10 child support vests each month on the first of the month and you must pay even if you have lost your job. However, if you file the proper motion with the proper language, a Judge may find that your job loss was due to no fault of your own and when the case is heard relieve you retroactively of your duty to pay the full court ordered amount (e.g., they may order a different or lesser amount). So filing this motion could very well be your “get out of jail” card….

Under a Court Order to Pay Spousal Support (PSS or Alimony)?

Contempt of Court

Failure to timely file motions asking the court to relieve you of your obligation to pay child support and/or spousal support could lead to motions and proceedings against you for contempt of court. If you are found in contempt of court, you can be put in jail, fined and/or ordered to pay the opposing party’s attorney fees. It is critical you timely act if you are unable to meet your financial obligations.