Electronic Child Support Services Agreement Sample Clauses

Electronic Child Support Services Agreement. Pursuant to Federal legislation intended to benefit children and to reduce the cost of public child support, the states have adopted enforcement mechanisms that include the power to order employers to withhold child support payments from the wages of employees who owe such payments, and to remit payment to the appropriate child welfare agency which then distributes the money to the custodial parent. Several states require certain employers to remit such payments electronically. The Client requests and authorizes PrimePay to electronically debit Client’s designated payroll account for amounts which Client is directed to withhold from individual employee payrolls in a written notice (“Notice”) provided to Client by a court or applicable state or local child support agency. These amounts are referred to as “Child Support Payments.” PrimePay agrees to electronically debit Client’s designated payroll account in the amount of such required Child Support Payments reported to PrimePay by Client and to electronically remit such Child Support Payments to the agency to which Client has been directed to make payment. This enables the Client to have a seamless and integrated payroll process that includes timely child support remittances and to avoid a need to arrange on its own for a separate electronic Child Support Payment for each payment as may be required, in every pay period. Client shall send to its PrimePay processing center copies of all Notices it receives of required Child Support Payments, including all Notices of modifications or terminations of existing Child Support Payment obligations for its employees, by mail, fax or electronic mail not later than the payroll reporting date for the Scheduled Payroll on which the Child Support Payments are supposed to commence, or in such other manner and timing as PrimePay may notify Client in writing from time to time. Child Support Payments represent a legal obligation of Client’s employee and, derivatively as a result of the applicable child support laws, Client’s wages owed to the employee and the Notice, of Client itself. Client acknowledges that PrimePay is merely transmitting funds as directed by Client and that PrimePay assumes no responsibility for this underlying legal support payment obligation or for the correctness of the Child Support Payments reported to PrimePay by the Client. In the event of an error, PrimePay will cooperate with, and assist in, Client’s attempts to make a correction, but Client ackno...