N.C. Gen. Stat. » Chapter 44
NC General Statutes

N.C. Gen. Stat. § 44-50.1 (2026)

Accounting of disbursements; attorney's fees to enforce lien rights

✓ current as of July 2026
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(a) Notwithstanding any confidentiality agreement entered into between the injured person and the payor of proceeds as settlement of compensation for injuries, upon the lienholder's written request and the lienholder's written agreement to be bound by any confidentiality agreements regarding the contents of the accounting, any person distributing funds to a lienholder under this Article in an amount less than the amount claimed by that lienholder shall provide to that lienholder a certification with sufficient information to demonstrate that the distribution was pro rata and consistent with this Article. If the person distributing settlement or judgment proceeds is an attorney, the accounting required by this section is not a breach of the attorney-client privilege.

(b) The certification under subsection (a) of this section shall include a statement of all of the following:

(1) The total amount of the settlement.

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

(3) The total attorney's fees.

(c) Nothing in this Article shall be construed to require any person to act contrary to the requirements of the Health Insurance Portability and Accountability Act of 1996, P.L. 104-91, and regulations adopted pursuant to that Act. (2003-309, s. 1.)

 

Notes of Decisions
Cited in 2 cases, 2013–2017 · leading case: Dickson v. Rucho, 366 NC 332, 737 S.E.2d 362 (N.C. 2013).
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Dickson v. Rucho, 366 NC 332, 737 S.E.2d 362 (N.C. 2013). · cites it 10× “Such information is specifically excluded by the statute from the protection of the privilege. Id. In addition, section 44-50.1(a) mandates that “[if] the person distributing settlement or judgment proceeds [from a personal injury action] is an attorney, the accounting [of…”
Nash Hosps., Inc. v. State Farm Mut. Auto. Ins. Co., 803 S.E.2d 256 (N.C. Ct. App. 2017). · cites it 4× “N.C. Gen. Stat. § 44-50.1 . By enacting the retention requirement in Section 44-50 and the pro rata distribution structure in Section 44-50.”
N.C. Gen. Stat. § 44-50.1(a): 1 case
Dickson v. Rucho, 366 NC 332, 737 S.E.2d 362 (N.C. 2013). “Such information is specifically excluded by the statute from the protection of the privilege. Id. In addition, section 44-50.1(a) mandates that “[if] the person distributing settlement or judgment proceeds [from a personal injury action] is an attorney, the accounting [of…”
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