A Florida minor settlement protection trust is a court-approved trust under the Florida Trust Code (F.S. Chapter 736) that holds a minor child’s personal injury settlement proceeds when the net recovery exceeds the $15,000 natural-guardian threshold under F.S. 744.301. Court approval of the settlement and the trust terms is required under F.S. 744.387 and governed by Fla. Prob. R. 5.636. The trust avoids the ongoing expense and annual court reporting of guardianship of property, and its distribution terms can be drafted to extend protection beyond age 18.
When a minor child receives a personal injury settlement or judgment with a net recovery exceeding $15,000, Florida law requires court approval of that settlement and a protective vehicle to hold the funds. Under F.S. 744.301 and F.S. 744.387, natural guardians cannot simply receive and hold recovery proceeds above that threshold without court involvement. A settlement protection trust drafted under the Florida Trust Code (F.S. Chapter 736) and approved by the court under Fla. Prob. R. 5.636 is typically a flexible and cost-effective vehicle to accomplish that purpose.
Bucelo Diaz Law drafts settlement protection trusts for minor claimants across Florida personal injury case types, including auto accidents, premises liability, medical malpractice, products liability, and wrongful death survivor shares. We prepare the petition for court approval, coordinate with your litigation team on the petition record, appear at the approval hearing, and administer the trust through the minor’s age of majority. If you represent a minor claimant whose net recovery will exceed $15,000, contact our team at 954.399.1910 or schedule a call below.
This page was prepared by Alexis Bucelo Diaz, Esq., LL.M., founding attorney at Bucelo Diaz Law, PLLC, admitted to the Florida Bar (Bar No. 86918), with a focused practice in Florida probate, estate planning, and trust law. Last reviewed: 2026-05-06.
Key Takeaways
- Under F.S. 744.301, natural guardians can receive a minor’s settlement proceeds up to $15,000 in the aggregate without court involvement. Above that threshold, court approval is required under F.S. 744.387.
- The court approval procedure is governed by Fla. Prob. R. 5.636. A settlement protection trust under F.S. Chapter 736 is one court-approved vehicle to hold the minor’s net recovery.
- Under F.S. 744.3025, a guardian ad litem must be appointed when the gross settlement equals or exceeds $50,000, unless a qualified guardian without a conflict of interest is already in place.
- A settlement protection trust is generally lower in ongoing cost and more flexible than guardianship of property, which carries annual accounting obligations under F.S. 744.3678.
- Bucelo Diaz Law drafts the trust, files the petition, appears at the hearing, and administers the trust. We do not handle the underlying personal injury claim and do not split fees with PI counsel.
- Where the minor receives Medicaid or SSI, a self-settled special needs trust under 42 U.S.C. 1396p(d)(4)(A) may be required instead of a standard settlement protection trust.
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When a Minor’s Settlement Requires Court Approval
Under F.S. 744.301, Florida parents serving as natural guardians may settle claims on behalf of a minor child and receive proceeds up to $15,000 in the aggregate without a court order or formal guardianship appointment. That authority ends at $15,000. When the minor’s net recovery exceeds that threshold, F.S. 744.387 requires court approval of the settlement, which Florida courts may approve as a settlement protection trust under Fla. Prob. R. 5.636 and the court’s equity jurisdiction.
Under F.S. 744.3025, if the settlement is $50,000 or more, the court must appoint a guardian ad litem to independently evaluate the settlement on the minor’s behalf unless a guardian with no conflict of interest is already in place. For settlements between $15,000 and $49,999, the court has discretion to appoint a guardian ad litem. In either case, the guardian ad litem’s fees and costs are paid from the gross proceeds.
This framework applies across Florida personal injury case types, including:
- Auto accidents
- Premises liability
- Medical malpractice
- Products liability
- The minor’s share of a wrongful death recovery
For wrongful death matters where the minor is a surviving beneficiary and the estate also requires formal administration, see our Florida Probate Counsel for Wrongful Death Cases page for the probate engagement that runs alongside the trust drafting.
A Note on Special Needs Minor Claimants
If the minor claimant has a qualifying disability and receives needs-based public benefits such as Medicaid or SSI, receiving settlement proceeds into a standard settlement protection trust may disrupt that eligibility. In those circumstances, the trust may need to be structured as a self-settled (d)(4)(A) special needs trust under 42 U.S.C. 1396p(d)(4)(A) or, depending on circumstances, a pooled (d)(4)(C) trust. We evaluate public-benefit eligibility considerations at intake and advise on the appropriate trust structure before any drafting begins. Special needs trust structuring is a distinct engagement; this page focuses on the standard settlement protection trust used when public benefits are not at issue.
Out-of-State PI Firms: Handling Florida Minor Settlement Trusts
Personal injury firms based outside Florida handle cases where the minor claimant is a Florida resident, or where a Florida court has jurisdiction over the underlying claim. Either scenario may require Florida-licensed trust counsel. The two most common situations:
- The minor lives in Florida, your firm is in another state. The trust administration will be governed by Florida law because the minor’s domicile and the trust’s intended administration are in Florida. Under Fla. Prob. R. 5.636, the court approval petition is typically filed in the court where the underlying action is pending or, if the case resolves before suit, in the circuit court of the county where the minor resides. We draft the Florida-governed settlement protection trust and coordinate with your out-of-state litigation team on the approval petition.
- The case is in a Florida court, but the minor lives in another state. Court approval jurisdiction follows the underlying case. If a Florida circuit court has jurisdiction over the claim, that court typically approves the minor’s settlement under Fla. Prob. R. 5.636, even if the minor resides outside Florida. The governing trust law, however, may follow the minor’s home state, depending on the trust’s situs. We clarify jurisdiction at intake and advise on whether a Florida-law trust, a home-state trust, or a court-directed protective arrangement is the appropriate vehicle.
Florida law does not require the PI firm to be Florida-licensed for the trust approval petition. Your firm retains full control of the underlying litigation. Bucelo Diaz Law handles the trust drafting, petition preparation, and court-approval hearing in Florida, coordinating with your team on the settlement documentation the court requires under F.S. 744.387.
To refer a minor settlement trust matter from outside Florida, contact our team at 954.399.1910 or use the contact form. We respond to PI attorney inquiries same day or next business day.
Settlement Protection Trust vs. Guardianship of Property
When a minor’s net recovery exceeds $15,000 and requires a protective vehicle, the default path under F.S. 744.387 is guardianship of property, which subjects the funds to the ongoing supervision of the probate or guardianship court. A settlement protection trust, by contrast, is funded only after receiving court approval under Fla. Prob. R. 5.636, but once approved, it is governed by its drafted terms and the Florida Trust Code rather than by annual court accountings. Most families and PI firms find the trust structure lower in ongoing cost and higher in flexibility.
The table below compares the two approaches based on the legal framework each operates under. It is meant to inform, not to prescribe. The right vehicle depends on the minor’s circumstances, the size of the recovery, any public-benefit considerations, and the court’s order in your jurisdiction. Alexis Bucelo Diaz reviews each case individually at intake.
Our Scope of Work
Bucelo Diaz Law handles every step of the minor settlement trust engagement, from first review through trust funding. Our deliverables in a standard engagement include:
- Review of the proposed settlement and the minor claimant’s circumstances. We confirm the net recovery amount, the minor’s age, any public-benefit considerations, and the proposed trustee.
- Drafting of the settlement protection trust under F.S. Chapter 736. We draft trust terms governing distributions, the trustee’s authority, and the trust’s termination date, tailored to the minor’s circumstances and court-approvable standards.
- Petition to the court for approval of the settlement and trust under Fla. Prob. R. 5.636 and F.S. 744.387. We prepare the petition, supporting documentation, and proposed order.
- Coordination with the PI firm on the petition record. We work with your litigation team to document the gross recovery, attorney fees, litigation costs, and net to minor in the format the court requires.
- Service on interested parties and guardian ad litem coordination. Where a guardian ad litem is required under F.S. 744.3025, we coordinate the appointment and ensure the petition record satisfies the guardian ad litem’s review.
- Court appearance at the approval hearing. We appear on behalf of the petition and respond to any court questions on the trust terms or the settlement allocation.
- Trust funding upon court approval. We coordinate the disbursement of the minor’s net recovery into the trust and confirm that all funding conditions in the court’s order are satisfied.
- Ongoing trust administration under F.S. 736.0801 and F.S. 736.0813. Where Bucelo Diaz Law serves as trustee or co-trustee, we administer the trust in compliance with the Florida Trust Code, provide annual accountings to beneficiaries, and respond to distribution requests per the trust terms.
What We Do Not Do
- We do not handle the underlying personal injury or wrongful death tort claim. The PI firm continues to lead the underlying litigation, negotiate the settlement, and represent the minor’s interests in the merits of the recovery. Our engagement begins where the trust drafting and court-approval work begins.
- We do not split fees with personal injury counsel. Our fees are paid from the settlement proceeds as part of the court-approved distribution, or by the natural guardian as agreed in the engagement letter. There is no referral fee and no fee-share arrangement.
- We do not solicit the underlying tort case from your client. The relationship is partner-not-competitor. Our scope is limited to the trust drafting, court-approval petition, and trust administration described on this page.
Have a minor client whose settlement requires court approval?
Call 954.399.1910, schedule a call online, or send your case details by form. We respond to PI attorney inquiries same day or next business day. Se habla español.
How the Engagement Works
Personal injury attorneys and natural guardians need clear timelines. The table below summarizes the seven-step engagement workflow at a glance. The detailed step-by-step description follows.
| Step | What we do | Typical timeline |
|---|---|---|
| 1. Intake call | Confirm minor’s age, settlement amount, net to minor, public-benefit considerations, and filing court | Same day or next business day |
| 2. Engagement letter | Send disclosed drafting and representation fee, document checklist for the natural guardian | Within 48 hours |
| 3. Trust drafting | Draft settlement protection trust under F.S. Chapter 736 with court-approvable terms | 7 to 14 business days |
| 4. Petition filed | File petition for court approval under Fla. Prob. R. 5.636 and F.S. 744.387 | Same week trust draft is complete |
| 5. Approval hearing | Coordinate guardian ad litem review (if required); appear at hearing | 30 to 60 days from petition filing (county-dependent) |
| 6. Order entered, trust funded | Coordinate disbursement of net recovery into trust, confirm order conditions satisfied | Within 1 to 2 weeks after order |
| 7. Ongoing administration | Administer trust per F.S. 736.0813, provide annual accountings, close at termination | Through trust termination per drafted terms |
The detailed step-by-step description of each phase follows:
Intake call
Same day or next business day
Your firm or the natural guardian contacts our office. We confirm the minor’s circumstances, the proposed settlement amount, and any Medicaid or SSI considerations that may require a special needs trust structure. This call typically takes 20 to 30 minutes.
Engagement letter
Within 48 hours
We send the engagement letter with the disclosed retainer and balance-fee structure, along with a list of the documents we need from the natural guardian to begin drafting.
Trust drafting
Typical 7 to 14 days
We draft the settlement protection trust under the Florida Trust Code with terms appropriate to the minor’s circumstances, the settlement amount, and any benefits-eligibility considerations.
Petition filed
Same week trust draft is complete
We prepare and file the petition for court approval of the settlement and trust under Fla. Prob. R. 5.636 and F.S. 744.387. Court filing costs are billed to the matter as a separate expense, disclosed in the engagement letter.
Approval hearing
Typical 30 to 60 days (county-dependent)
We appear at the approval hearing or coordinate with local counsel where required. The court may appoint a guardian ad litem under F.S. 744.3025; we coordinate with the GAL where appointed.
Order entered, trust funded
Upon court approval
Upon entry of the approval order, we coordinate the disbursement of the minor’s net recovery into the trust. The court order governs distributions per the trust terms.
Ongoing administration
Per trust terms
Per the trust instrument and the Florida Trust Code (including F.S. 736.0801 fiduciary duties and F.S. 736.0813 duty to inform and account).
Fee Structure
Our engagement begins with a retainer paid at the start of the matter. The retainer secures the trust drafting work, the court filing costs, and the initial preparation of the petition for court approval under F.S. 744.387 and Fla. Prob. R. 5.636.
The balance of our fee is due at settlement, paid from the settlement proceeds at the time of court approval and trust funding.
Both the retainer amount and the balance-fee structure are set in the engagement letter, disclosed in writing before drafting begins, and subject to court approval where Florida law requires it.
Fee disclosure: Our fee structure is described in the engagement letter and, where required by Florida law, is subject to court approval. We do not split fees with personal injury counsel. Past results do not guarantee a similar outcome.
Special Needs Considerations
If the minor claimant has a disability and receives needs-based public benefits (Medicaid, SSI), a standard settlement protection trust may not be the appropriate vehicle. Receiving settlement proceeds into a standard trust can disqualify the minor from those benefits. In those circumstances, the trust must typically be structured as one of the following:
- Self-settled (d)(4)(A) special needs trust under 42 U.S.C. 1396p(d)(4)(A), available for minors under 65 with a qualifying disability.
- Pooled (d)(4)(C) special needs trust under 42 U.S.C. 1396p(d)(4)(C), used in some circumstances depending on the minor’s situation and the amounts involved.
We evaluate public-benefit eligibility considerations at intake and advise on the correct trust structure before any drafting begins. The page you are reading focuses on the standard settlement protection trust. Special needs trust structuring is addressed separately during the intake conversation.
Bilingual Service for Spanish-Speaking Families
Bucelo Diaz Law serves clients in English and Spanish. Personal injury cases involving minor children frequently involve Spanish-speaking natural guardians who must sign consent forms, appear for any required hearing, and understand the trust terms that will govern their child’s funds for years. When the attorney drafting and administering the trust shares the family’s primary language, the engagement runs more accurately and with fewer delays. Forms are completed correctly the first time. Distribution requests are communicated clearly. If your client’s family is more comfortable in Spanish, that is one less logistical barrier between the settlement and the court’s approval.
Counties We Serve
Bucelo Diaz Law handles minor settlement protection trust drafting, court approval, and administration across all 67 Florida counties. For county-specific procedural information and clerk contacts, see our Florida Probate by County directory.
FREQUENTLY ASKED QUESTIONS
Common Questions About Florida Minor Settlement Trusts
When does a Florida minor’s personal injury settlement need court approval?
Court approval is required when the minor’s net recovery exceeds $15,000. Under F.S. 744.301, natural guardians may settle claims and receive proceeds up to $15,000 in the aggregate without court involvement. Above that threshold, F.S. 744.387 requires court approval of the settlement, and the approval process is governed by Fla. Prob. R. 5.636. Additionally, under F.S. 744.3025, a guardian ad litem must be appointed by the court when the gross settlement equals or exceeds $50,000, unless a qualified guardian without a conflict of interest is already in place.
Why use a settlement protection trust instead of guardianship of property?
Guardianship of property requires ongoing court supervision: annual accountings under F.S. 744.3678, guardian fees, attorney fees for each reporting cycle, and court approval for many distributions. A settlement protection trust is approved once at funding under Fla. Prob. R. 5.636, and then governed by its drafted terms and the Florida Trust Code. The trustee can make authorized distributions without returning to court for each decision. The terms can extend the protection beyond age 18 if the family requests it. For most families and most cases, the trust results in lower cumulative cost and more practical flexibility over the minority period.
What if the minor receives Medicaid or SSI?
A standard settlement protection trust is not the appropriate vehicle when the minor has a disability and receives needs-based public benefits. Receiving settlement proceeds into a standard trust can cause the minor to exceed the Medicaid or SSI resource limits, disrupting benefit eligibility. In those cases, the trust must typically be structured as a self-settled special needs trust under 42 U.S.C. 1396p(d)(4)(A) or a pooled trust under (d)(4)(C), depending on the minor’s circumstances. We identify public-benefit considerations at intake and advise on the correct structure before drafting begins.
How long does the court approval process take?
From intake to a funded trust, the typical timeline is 60 to 90 days. Trust drafting takes 7 to 14 business days. The petition is filed in the same week the draft is complete. Court scheduling varies significantly by county: Collier (Naples) and Marion (Ocala) probate divisions typically schedule hearings faster than Miami-Dade or Broward. Once the court sets the hearing, approves the settlement and trust, and enters the order, we coordinate trust funding promptly. Guardian ad litem review, when required under F.S. 744.3025, adds time before the hearing. We advise on realistic county-specific timelines during the intake call.
What court do you file the petition in for a minor’s settlement trust in Florida?
The petition for court approval under Fla. Prob. R. 5.636 is typically filed in the circuit court handling the underlying claim, which may be the probate division or the civil division depending on the county and the procedural posture of the case. If the underlying action is pending in a Florida circuit court, that court typically retains jurisdiction to approve the minor’s settlement. If the case resolves before suit is filed, the petition is generally filed in the probate division of the circuit court in the county where the minor resides. We confirm the proper filing court during the intake call based on your case’s posture.
Who can serve as trustee of a Florida minor’s settlement protection trust?
Florida law does not prescribe a single trustee structure for settlement protection trusts. The trustee can be a natural guardian (parent), another family member, a professional trustee, a Florida-licensed trust company, or Bucelo Diaz Law where we serve in that role. The court reviews and approves the trustee designation as part of the Rule 5.636 petition. A co-trustee structure (for example, a parent as distribution trustee alongside a professional trustee for investment decisions) is also available. We advise on the appropriate structure at intake based on the recovery amount, the family’s circumstances, and the court’s typical expectations in the filing county.
Does the trust terminate when the minor turns 18?
Not necessarily. A settlement protection trust can be drafted to terminate at age 18, or to continue to age 21, 25, or another date the family selects, subject to court approval of those terms at the Rule 5.636 hearing. In contrast, a guardianship of property terminates at age of majority by operation of law and distributes the funds outright to the ward at 18. If the minor’s recovery is substantial or the family wants the protection to extend into early adulthood, the trust structure allows that flexibility in a way that guardianship of property does not. The termination date is one of the key drafting decisions we discuss during the intake call.
The case is venued in another state, but the minor lives in Florida. Can you help?
The trust drafting and administration are governed by Florida law because the minor’s residence and the trust’s administration are in Florida. The court approval petition, however, is typically filed in the court where the underlying action is pending. If that court is in another state, the petition procedure in that state controls. We can draft the Florida-governed settlement protection trust and coordinate with your out-of-state litigation team on the approval petition. Where the minor resides in Florida but the case resolves in another state’s court, contact us to discuss the specific procedural path at intake.
Our minor client lives in Florida but our firm is in another state. Can Bucelo Diaz Law draft and obtain court approval for the settlement protection trust?
Yes. When the minor resides in Florida, the trust administration is governed by Florida law regardless of where the PI firm is licensed. Bucelo Diaz Law drafts the settlement protection trust under the Florida Trust Code (F.S. Chapter 736) and files the petition for court approval under Fla. Prob. R. 5.636 and F.S. 744.387 in the appropriate Florida circuit court. We coordinate with your out-of-state litigation team on the settlement documentation the court requires. The engagement is managed remotely; the natural guardian typically does not need to travel for the hearing. Contact us at 954.399.1910 or use the contact form to discuss the specific procedural path for your case.
The minor lives in another state but the settlement is from a Florida case. Where does the trust need court approval?
Court approval jurisdiction typically follows the underlying case. If a Florida circuit court has jurisdiction over the claim, that court generally handles approval of the minor’s settlement under Fla. Prob. R. 5.636, even when the minor lives in another state. The governing trust law, however, may follow the minor’s home state depending on the trust’s situs designation. We clarify jurisdiction at intake: a Florida-court-approved trust governed by the Florida Trust Code is one available path; a home-state trust approved in a Florida court proceeding is another. The right structure depends on the minor’s residence, the recovery amount, and the court’s order in your county. We advise on the options during the intake call.
We handle auto accidents and premises liability cases, not wrongful death. Can you still help with the minor’s settlement trust?
Yes. The minor settlement protection trust service applies to any Florida personal injury case type where the minor’s net recovery exceeds the F.S. 744.301 threshold: auto accidents, premises liability, medical malpractice, products liability, or any other claim. The court approval framework under Fla. Prob. R. 5.636 and F.S. 744.387 applies equally across all case types. Wrongful death is one scenario within this broader practice. If you regularly represent minor claimants across your PI case load, this is a recurring service that can be coordinated with your firm on each qualifying matter. See also our Florida Probate Counsel for Wrongful Death Cases page if the minor is a wrongful death survivor who also requires estate administration alongside the trust.
What do you need from us to get started?
For the intake call, we need the minor’s age and state of residence, the proposed gross settlement amount, the approximate net to the minor after attorney fees and costs, the case type and the court where the case is pending or will be settled, whether the minor receives any public benefits (Medicaid, SSI), and the natural guardian’s name and contact information. We do not need a signed settlement agreement before the intake call. Trust drafting begins once we have a confirmed engagement letter. Use the form below or call 954.399.1910 to start the intake.
How does the fee structure work?
Our engagement begins with a retainer paid at the start of the matter. The retainer secures the trust drafting, court filing costs, and the work to prepare the petition for court approval. The balance of our fee is due at settlement, paid from the settlement proceeds at the time of court approval and trust funding. Both the retainer and the balance-fee structure are set in the engagement letter and disclosed in writing before drafting begins. Where Florida law requires court approval of fees, we petition the court with the supporting documentation. We do not split fees with personal injury counsel. Past results do not guarantee a similar outcome.
Related Services for Personal Injury Attorneys
- Florida Probate Lawyer: Overview of Florida probate process, timelines, and costs.
- Formal Administration: Detailed guide to the formal probate process required in wrongful death matters.
- Ancillary Probate: For matters involving a decedent domiciled outside Florida.
- Florida Probate Counsel for Wrongful Death Cases: Probate engagement for personal injury firms pursuing Florida wrongful death claims.
- Florida Probate Cost Guide 2026: County-by-county filing fees, timeline estimates, and cost context.
Schedule a Call with Bucelo Diaz Law
If you represent a minor claimant whose settlement requires court approval and a protection vehicle, reach our trust team directly:
- Phone: 954.399.1910
- Schedule a phone consultation: Book a call online
- Send case details by form: Contact form (same-day or next-business-day callback for PI attorney inquiries)
Bucelo Diaz Law is admitted to practice in Florida and serves all 67 counties from offices in Weston, Ocala, and Naples. We serve clients in English and Spanish. For broader context on Florida probate and trust administration, see our Florida Probate Lawyer pillar page and the Florida Will Attorney page for related estate planning considerations.
About the Author
Alexis Bucelo Diaz, Esq., LL.M. is the founding attorney of Bucelo Diaz Law, PLLC. She holds a Master of Laws (LL.M.) in Estate Planning from the University of Miami School of Law and has more than 15 years of focused experience in Florida probate, estate planning, and trust administration, including settlement protection trust drafting and court approval. Florida Bar No. 86918. Last reviewed: 2026-05-06.
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