40-5-813. Obligation of payor. (1) Upon receipt of a medical support order, a payor providing a health benefit plan shall withhold from the obligated parent's income an amount equal to the required premium, if any, and apply the withheld amount to the plan premium, except that amounts withheld may not exceed the maximum amount permitted under the federal Consumer Credit Protection Act. If the premium exceeds the maximum, the payor may not withhold the excess. If the premium, together with child support to be withheld, exceeds the maximum, child support has priority and the payor may not withhold the part of the premium that is in excess of the maximum.
(2) A medical support order has priority over garnishment of the income of the obligated parent for any purpose, except child support.
(3) (a) The payor shall continue withholding premiums when an obligated parent resumes employment following any break in service, layoff, leave of absence, or other similar circumstance.
(b) Upon the termination of employment, extended layoff, or any other break in service that causes coverage under a health benefit plan to cease, the payor shall immediately notify the other parent and the department or the third-party custodian, if either submitted the medical support order or submitted a written notice of interest to the plan.
(4) (a) A payor who is an employer may not discharge, refuse to employ, or take other disciplinary action against an obligated parent solely because of the issuance of a medical support order.
(b) The obligated parent has the burden of proving that the issuance of the medical support order was the sole reason for the employer's action.
(c) A payor knowingly violating this section is subject to the contempt powers of the tribunal issuing the medical support order. The tribunal may, in addition, impose a civil penalty of not more than $150.
History: En. Sec. 13, Ch. 504, L. 1995.