1340-02-02-.09
Settlement
Cite as Tenn. Comp. R. & Regs. 1340-02-02-.09
(1)
Settlements are encouraged. After a timely valid claim has been filed, the claimant may
enter into a written settlement agreement with either the department or the seizing agency.
All settlements are subject to approval by the department. If a claim is filed timely with a
settlement agreement, costs may be reduced.
(a)
A settlement agreement shall reflect the terms of the settlement on a form provided by
the Legal Division. It must be signed by the claimant and/or claimant’s counsel and the
designated authority of the seizing agency and/or the department.
(b)
The commissioner shall enter a final order of settlement that incorporates the
settlement agreement. The final order shall be served on the claimant and the seizing
agency, with a copy maintained in the Legal Division’s case file.
(c)
Upon entry of a final order of settlement and upon the parties’ compliance with its
terms, the seized property shall be released to the claimant or forfeited to the state for
disposition under the Act.
(d)
The final order of settlement may provide that the failure of a claimant to comply with
the terms of the order may result in the forfeiture of the seized property to the state
subject to the disposition of any other timely, valid claim. Prior to the issuance of the
final order in a case where the claimant has failed to comply with the order of
settlement, the claimant shall have the opportunity to appear in a show cause hearing.
(e)
The seizing agency shall not release any property until it has received a final order.
(2)
The administrative judge shall not, in any way, interfere in any settlement negotiations or
render advice to either party during settlement negotiations.