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NORTH CAROLINA STATUTES AND CODES

§ 44-50.1. Accounting of disbursements; attorney's fees to enforce lien rights.

§ 44‑50.1.  Accountingof disbursements; attorney's fees to enforce lien rights.

(a)        Notwithstanding anyconfidentiality agreement entered into between the injured person and the payorof proceeds as settlement of compensation for injuries, upon the lienholder'swritten request and the lienholder's written agreement to be bound by anyconfidentiality agreements regarding the contents of the accounting, any persondistributing funds to a lienholder under this Article in an amount less thanthe amount claimed by that lienholder shall provide to that lienholder acertification with sufficient information to demonstrate that the distributionwas pro rata and consistent with this Article. If the person distributingsettlement or judgment proceeds is an attorney, the accounting required by thissection is not a breach of the attorney‑client privilege.

(b)        The certificationunder subsection (a) of this section shall include a statement of all of thefollowing:

(1)        The total amount ofthe settlement.

(2)        The total distributionto lienholders, the amount of each lien claimed, and the percentage of eachlien paid.

(3)        The total attorney'sfees.

(c)        Nothing in thisArticle shall be construed to require any person to act contrary to therequirements of the Health Insurance Portability and Accountability Act of1996, P.L. 104‑91, and regulations adopted pursuant to that Act. (2003‑309, s. 1.)

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