What is a Domestic Relations Order?
A Domestic Relations Order (DRO) is a court order that provides an ex-spouse of a Participant with a share of the Participant’s pension benefit upon retirement. It is not the same as a judgment of divorce or separation agreement. It is a separate court document which, once accepted by the Retirement System, is legally binding on the Retirement System. A DRO may also require a Participant to designate the ex-spouse as a beneficiary for a pre-retirement death benefit or retirement option.
A domestic relations order is a judgment, decree, or order (including the approval of a property settlement) that is made pursuant to state domestic relations law (including community property law) and that relates to the provision of child support, alimony payments, or marital property rights for the benefit of a spouse, former spouse, child, or other dependent of a participant.
A domestic relations order is a judgment, decree, order or approval of a property settlement issued by a state court which relates to the provision of child support, alimony payments, or marital property rights with respect to a spouse (present or former), child, or dependent (Alternate Payee) of a Plan Participant and is made pursuant to a State domestic relations law, including a community property law. A property settlement agreement which has not been approved by a court is not a domestic relations order. The domestic relations order may assign rights to an Alternate Payee in the Plan benefits of a Plan Participant. The Plan requires that the Plan Administrator approve the domestic relations order before it can become effective. To be an Approved Domestic Relations Order (ADRO), the domestic relations order must meet certain requirements. The following sections provide guidance on development; submission and implementation of an ADRO by ORP participants and the Plan Administrator.
