{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/8.01-424.1.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/8.01-424.1.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/8.01-424.1.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/8.01-424.1.html"}],"law_id":86882,"edition_id":1,"section_id":86882,"structure_id":15689,"section_number":"8.01-424.1","catch_line":"Settlement of third-party action; deemed consent by employer","history":"2002, c. 751.","full_text":"In any action or claim for damages by an employee, his personal representative, or other person against any person other than the employer, in which the employer has an interest pursuant to \u00a7 65.2-309, where the employer fails to consent to an offer of settlement acceptable to the employee, his personal representative or other person, such person may petition the court where the action is pending for approval of the settlement. Where no action is pending, or such action is pending in a state other than Virginia, the petition may be filed in any circuit court in which venue will lie as to the employee pursuant to \u00a7 8.01-262. The petition shall state the compromise, its terms, and the reason therefor. The court in which such petition is filed shall require the convening of the parties in interest in person or by an authorized representative. The parties in interest shall be deemed convened if twenty-one days notice of the hearing and proposed compromise was served pursuant to \u00a7\u00a7 8.01-296, 8.01-299, 8.01-300, 8.01-301, or Rule 1:12 of the Rules of the Supreme Court of Virginia, as applicable. In the case of an insured employer, service shall also be made on the workers compensation insurer’s registered agent or counsel. During the twenty-one day notice period, the person making the settlement offer to the employee shall make himself reasonably available to answer questions under oath by the employee, employer, or employer’s workers compensation insurer concerning matters relating to such person’s financial condition that are known or reasonably available to such person.\n\t\tIf the court determines that the settlement is fair and just to the parties in interest, it shall approve such settlement. In no event shall the court have jurisdiction to reduce or otherwise compromise the subrogation interest created pursuant to \u00a7 65.2-309. The employer, if aggrieved by the court’s decision, may appeal. Should the employer’s appeal be denied or decided adversely to the employer, the employer shall pay interest at the judgment rate on the full settlement amount until the date of the denial of the appeal or date the final adverse decision is rendered against the employer. Should the settlement include periodic payments into the future, the value of the settlement amount, discounted to present value, shall be determined in calculating interest due from the employer. Once the decision is final and all appeals, if any, have been exhausted, and because the employer’s subrogation interest has not been compromised, the decision approving the settlement shall be deemed consent to the settlement by the employer.","order_by":null,"text":{"0":{"id":311077,"text":"In any action or claim for damages by an employee, his personal representative, or other person against any person other than the employer, in which the employer has an interest pursuant to \u00a7 65.2-309, where the employer fails to consent to an offer of settlement acceptable to the employee, his personal representative or other person, such person may petition the court where the action is pending for approval of the settlement. Where no action is pending, or such action is pending in a state other than Virginia, the petition may be filed in any circuit court in which venue will lie as to the employee pursuant to \u00a7 8.01-262. The petition shall state the compromise, its terms, and the reason therefor. The court in which such petition is filed shall require the convening of the parties in interest in person or by an authorized representative. The parties in interest shall be deemed convened if twenty-one days notice of the hearing and proposed compromise was served pursuant to \u00a7\u00a7 8.01-296, 8.01-299, 8.01-300, 8.01-301, or Rule 1:12 of the Rules of the Supreme Court of Virginia, as applicable. In the case of an insured employer, service shall also be made on the workers compensation insurer’s registered agent or counsel. During the twenty-one day notice period, the person making the settlement offer to the employee shall make himself reasonably available to answer questions under oath by the employee, employer, or employer’s workers compensation insurer concerning matters relating to such person’s financial condition that are known or reasonably available to such person.\n\t\tIf the court determines that the settlement is fair and just to the parties in interest, it shall approve such settlement. In no event shall the court have jurisdiction to reduce or otherwise compromise the subrogation interest created pursuant to \u00a7 65.2-309. The employer, if aggrieved by the court’s decision, may appeal. Should the employer’s appeal be denied or decided adversely to the employer, the employer shall pay interest at the judgment rate on the full settlement amount until the date of the denial of the appeal or date the final adverse decision is rendered against the employer. Should the settlement include periodic payments into the future, the value of the settlement amount, discounted to present value, shall be determined in calculating interest due from the employer. Once the decision is final and all appeals, if any, have been exhausted, and because the employer’s subrogation interest has not been compromised, the decision approving the settlement shall be deemed consent to the settlement by the employer.","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1}},"ancestry":[{"id":15689,"edition_id":1,"name":"Compromises","identifier":"16","label":"chapter","depth":2,"order_by":1,"parent_id":12747,"metadata":{},"date_created":"2026-06-26 03:57:57","date_modified":"2026-06-26 03:57:57","permalink":{"id":277731,"object_type":"structure","relational_id":15689,"identifier":"16","token":"8.01\/16","url":"\/8.01\/16\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12747,"edition_id":1,"name":"Civil Remedies and Procedure","identifier":"8.01","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:51","date_modified":"2026-06-26 03:43:51","permalink":{"id":277029,"object_type":"structure","relational_id":12747,"identifier":"8.01","token":"8.01","url":"\/8.01\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":78976,"structure_id":15689,"section_number":"8.01-424","catch_line":"Approval of compromises on behalf of persons under a disability in suits or actions to which they are parties","url":"\/8.01-424\/","token":"8.01\/16\/8.01-424","metadata":false},{"id":86882,"structure_id":15689,"section_number":"8.01-424.1","catch_line":"Settlement of third-party action; deemed consent by employer","url":"\/8.01-424.1\/","token":"8.01\/16\/8.01-424.1","metadata":false},{"id":60092,"structure_id":15689,"section_number":"8.01-425","catch_line":"How fiduciaries may compromise liabilities due to or from them","url":"\/8.01-425\/","token":"8.01\/16\/8.01-425","metadata":false},{"id":74165,"structure_id":15689,"section_number":"8.01-425.1","catch_line":"Release of liability; right of rescission","url":"\/8.01-425.1\/","token":"8.01\/16\/8.01-425.1","metadata":false}],"previous_section":{"id":78976,"structure_id":15689,"section_number":"8.01-424","catch_line":"Approval of compromises on behalf of persons under a disability in suits or actions to which they are parties","url":"\/8.01-424\/","token":"8.01\/16\/8.01-424","metadata":false},"next_section":{"id":60092,"structure_id":15689,"section_number":"8.01-425","catch_line":"How fiduciaries may compromise liabilities due to or from them","url":"\/8.01-425\/","token":"8.01\/16\/8.01-425","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/8.01-424.1\/","history_text":"

This law was first created in 2002. The record of its establishment is cataloged in chapter 751<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year.<\/p>","references":false,"refers_to":[{"id":86684,"section_number":"65.2-309","catch_line":"Lien against settlement proceeds or verdict in third party suit; subrogation of employer to employee's rights against third parties; evidence; recovery; compromise","order_by":null,"url":"\/65.2-309\/"},{"id":81233,"section_number":"8.01-262","catch_line":"Category B or permissible venue","order_by":null,"url":"\/8.01-262\/"},{"id":57169,"section_number":"8.01-296","catch_line":"Manner of serving process upon natural persons","order_by":null,"url":"\/8.01-296\/"},{"id":76632,"section_number":"8.01-299","catch_line":"How process served on domestic stock corporations, nonstock corporations, and limited liability companies generally","order_by":null,"url":"\/8.01-299\/"},{"id":62573,"section_number":"8.01-300","catch_line":"How process served on municipal and county governments and on quasi-governmental entities","order_by":null,"url":"\/8.01-300\/"},{"id":80689,"section_number":"8.01-301","catch_line":"How process served on foreign stock or nonstock corporations and foreign limited liability companies generally","order_by":null,"url":"\/8.01-301\/"}],"permalink":{"id":277737,"object_type":"law","relational_id":86882,"identifier":"8.01-424.1","token":"8.01\/16\/8.01-424.1","url":"\/8.01-424.1\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/8.01-424.1\/","token":"8.01\/16\/8.01-424.1","dublin_core":{"Title":"Settlement of third-party action; deemed consent by employer","Type":"Text","Format":"text\/html","Identifier":"\u00a7 8.01-424.1","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

In any action<\/span> or claim for damages<\/span> by an employee, his personal representative, or other person<\/span> against any person<\/span> other than the employer, in which the employer has an interest pursuant to \u00a7 65.2-309<\/a>, where the employer fails to consent to an offer of settlement<\/span> acceptable to the employee, his personal representative or other person<\/span>, such person<\/span> may petition<\/span> the court<\/span> where the action<\/span> is pending for approval of the settlement<\/span>. Where no action<\/span> is pending, or such action<\/span> is pending in a state other than Virginia, the petition<\/span> may be filed in any circuit<\/span> court<\/span> in which venue<\/span> will lie as to the employee pursuant to \u00a7 8.01-262<\/a>. The petition<\/span> shall state the compromise, its terms, and the reason therefor. The court<\/span> in which such petition<\/span> is filed shall require the convening of the parties in interest in person<\/span> or by an authorized representative. The parties in interest shall be deemed convened if twenty-one days notice of the hearing<\/span> and proposed compromise was served pursuant to \u00a7\u00a7 8.01-296<\/a>, 8.01-299<\/a>, 8.01-300<\/a>, 8.01-301<\/a>, or Rule 1:12 of the Rules of the Supreme Court<\/span> of Virginia, as applicable. In the case of an insured employer, service shall also be made on the workers compensation insurer’s registered agent or counsel<\/span>. During the twenty-one day notice period, the person<\/span> making the settlement<\/span> offer to the employee shall make himself reasonably available to answer questions under oath<\/span> by the employee, employer, or employer’s workers compensation insurer concerning matters relating to such person<\/span>’s financial condition that are known or reasonably available to such person<\/span>.\n\t\tIf the court<\/span> determines that the settlement<\/span> is fair and just to the parties in interest, it shall approve such settlement<\/span>. In no event shall the court<\/span> have jurisdiction<\/span> to reduce or otherwise compromise the subrogation interest created pursuant to \u00a7 65.2-309<\/a>. The employer, if aggrieved by the court<\/span>’s decision, may appeal<\/span>. Should the employer’s appeal<\/span> be denied or decided adversely to the employer, the employer shall pay interest at the judgment<\/span> rate on the full settlement<\/span> amount until the date of the denial of the appeal<\/span> or date the final adverse decision is rendered against the employer. Should the settlement<\/span> include periodic payments into the future, the value of the settlement<\/span> amount, discounted to present value, shall be determined in calculating interest due from the employer. Once the decision is final and all appeals<\/span>, if any, have been exhausted, and because the employer’s subrogation interest has not been compromised, the decision approving the settlement<\/span> shall be deemed consent to the settlement<\/span> by the employer.<\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nSETTLEMENT OF THIRD-PARTY ACTION; DEEMED CONSENT BY EMPLOYER (\u00a7 8.01-424.1)\n\nIn any action or claim for damages by an employee, his personal representative,\nor other person against any person other than the employer, in which the\nemployer has an interest pursuant to \u00a7 65.2-309, where the employer fails to\nconsent to an offer of settlement acceptable to the employee, his personal\nrepresentative or other person, such person may petition the court where the\naction is pending for approval of the settlement. Where no action is pending, or\nsuch action is pending in a state other than Virginia, the petition may be filed\nin any circuit court in which venue will lie as to the employee pursuant to \u00a7\n8.01-262. The petition shall state the compromise, its terms, and the reason\ntherefor. The court in which such petition is filed shall require the convening\nof the parties in interest in person or by an authorized representative. The\nparties in interest shall be deemed convened if twenty-one days notice of the\nhearing and proposed compromise was served pursuant to \u00a7\u00a7 8.01-296, 8.01-299,\n8.01-300, 8.01-301, or Rule 1:12 of the Rules of the Supreme Court of Virginia,\nas applicable. In the case of an insured employer, service shall also be made on\nthe workers compensation insurer’s registered agent or counsel. During the\ntwenty-one day notice period, the person making the settlement offer to the\nemployee shall make himself reasonably available to answer questions under oath\nby the employee, employer, or employer’s workers compensation insurer\nconcerning matters relating to such person’s financial condition that are\nknown or reasonably available to such person.\n\t\tIf the court determines that the settlement is fair and just to the parties in\ninterest, it shall approve such settlement. In no event shall the court have\njurisdiction to reduce or otherwise compromise the subrogation interest created\npursuant to \u00a7 65.2-309. The employer, if aggrieved by the court’s\ndecision, may appeal. Should the employer’s appeal be denied or decided\nadversely to the employer, the employer shall pay interest at the judgment rate\non the full settlement amount until the date of the denial of the appeal or date\nthe final adverse decision is rendered against the employer. Should the\nsettlement include periodic payments into the future, the value of the\nsettlement amount, discounted to present value, shall be determined in\ncalculating interest due from the employer. Once the decision is final and all\nappeals, if any, have been exhausted, and because the employer’s\nsubrogation interest has not been compromised, the decision approving the\nsettlement shall be deemed consent to the settlement by the employer.\n\nHISTORY: 2002, c. 751.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}