CODE OF VIRGINIA

RIGHT TO PRIZE NOT ASSIGNABLE; EXCEPTIONS (§ 58.1-4013)

A. No right of any person to a prize drawn shall be assignable, except that: (i)
payment of any prize drawn may be paid according to the terms of a deceased
prize winner’s beneficiary designation or similar form filed with the
Department or to the estate of a deceased prize winner who has not completed
such a form; (ii) the prize to which the winner is entitled may be paid to a
person pursuant to an appropriate judicial order; and (iii) payment of any prize
drawn may be paid in accordance with the provisions of § 58.1-4020.1. Payments
made according to the terms of a deceased prize winner’s beneficiary
designation or similar form filed with the Department are effective by reason of
the contract involved and this statute and are not to be considered as
testamentary or subject to Chapter 4 (§ 64.2-400 et seq.) of Title 64.2. The
Director shall be discharged of all liability upon payment of a prize pursuant
to this section.

B. Investments of prize proceeds made by the Department to fund the payment of
an annuitized prize are to be held in the name of the Department or the
Commonwealth and not in the name of the prize winner. Any claim of a prize
winner to a future payment remains inchoate until the date the payment is due
under Department regulations.

C. Except as provided in Chapter 19 (§ 63.2-1900 et seq.) of Title 63.2 and
this chapter, no lottery prize or installment thereof may be subject to
garnishment or to a lien of any kind until such prize or installment thereof has
been paid or distributed.

D. Whenever the Department or the Director is or may be named as a party in any
proceeding instituted by or on behalf of one or more persons who claim ownership
of a winning lottery ticket, prize, share or portion thereof for the purpose of
determining the ownership or right to such ticket, prize, share or portion
thereof, the Director may voluntarily pay or tender the prize, share or portion
thereof into the circuit court where the action is filed, or may be ordered to
do so by the court, and shall thereupon be discharged from all liability as
between the claimants of such ticket, prize, share or portion thereof without
regard to whether such payment was made voluntarily or pursuant to a court
order.Nothing in this section shall be deemed to constitute a waiver of the
sovereign immunity of the Commonwealth or to authorize any attachment,
garnishment, or lien against the prize, share or portion thereof paid into the
court except as permitted by subsection C.

HISTORY: 1987, c. 531; 1992, c. 449; 1995, c. 423; 2003, c. 924.