One paragraph of a QDRO for a DC plan states that the ex spouse is entitled to 50% of the Participant's benefit. The AP's benefit is 50% of the Participant's benefit which had accrued as of a certain date (which in this case is 2 weeks after contributions had stopped for this participant).

The next paragraph, however, states that if the participant elects to receive a return of his accumulated contributions and interest prior to his retirement or death, the AP's benefit shall equal 0% of the Participant's benefit which had accrued on the date mentioned in the prior paragraph.

The participant has now elected to receive a lump sum payment (which he is entitled to do as he has terminated employement with a contributing employer). Does this mean that the ex-spouse gets nothing?

If the Fund distributes 100% to the participant, it can be subject to future litigation.
If the Fund distributes 50% to both the participant and the AP, the fund can be subject to future litigation by the participant?

Both the participant and the AP are under the impression that they each are entitled to 50%.

Help

Is this a QDRO or merely a proposed QDRO? If it's a DRO submitted for qualification, perhaps it has conflicting/confusing clauses, in which case it should not be accepted for qualificationn.

The QDRO was already approved prior to our involvement.

Plan admin should tell both parties that no benefits will be paid out until this issue is resolved and they agree in writing to the division of the benefits. This will require that they agree or pay attorney's fees that will arise out of a lawsuit.