Visitor Question

Can HUD Make a Lien Against My Settlement?

Submitted By: Anonymous (USA)

I am expecting a personal injury settlement. My rent has been subsidized by HUD’s Project-based Voucher Assistance Program for four years. Can HUD make a lien against my settlement to claim repayment of the subsidy?

Disclaimer: Our response is not formal legal advice and does not create an attorney-client relationship. It is generic legal information based on the very limited information provided. Do not rely upon the information in our response, or anywhere else on this site, when deciding the proper course of a legal matter. Always get a personalized case review from a local attorney.


Dear Anonymous,

Receipt of Federal benefits with income limits implies that you qualify based upon the guidelines set by the federal government. Personal injury awards are actually considered “income” (whether or not you get taxed on the award is a different story), so it is something you would ultimately need to claim.

By claiming them (which you are legally required to do) a couple of things might happen: For one, you may be disqualified from the HUD benefits you are receiving and secondly, they will be aware of your settlement and may seek indemnification for the benefits they have paid you.

Lastly, any lawyer assisting you would have an ethically duty to notify HUD of a personal injury award particularly knowing that there is the possibilities discussed above.

Learn more here: Personal Injury Laws by State

The above is general information. Laws change frequently, and across jurisdictions. You should get a personalized case evaluation from a licensed attorney.

Find a local attorney to give you a free case review here, or call 888-972-0892.

We wish you the best with your claim,


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