1. (a) The Arkansas Teacher Retirement System shall have the right to:

   1. (1) Make any necessary correction to the monthly annuity benefit paid under a QDRO accepted by the system; and
   2. (2) Recover any overpayments owed to the system from either the member or the alternate payee.

2. (b) If an amount that should not have been distributed to the member or alternate payee under the QDRO accepted by the system is received by the member or alternate payee, the member or alternate payee shall:

   1. (1) Be responsible for holding the amount as a constructive trustee; and
   2. (2) Notify the system immediately that he or she received the amount.

3. (c) The system shall not make restitution for:

   1. (1) A payment that is issued to the alternate payee before the system receives notice of the alternate payee’s change of address;

   2. (2) A distributed amount that:

      1. (A) The alternate payee is entitled to receive under the terms of a QDRO accepted by the system; and
      2. (B) Is received by the member as constructive trustee;

   3. (3) A distributed amount that:

      1. (A) The member is entitled to receive under the terms of a QDRO accepted by the system; and
      2. (B) Is received by the alternate payee as constructive trustee; or
   4. (4) An amount that was distributed before the system receives a court order voiding the QDRO accepted by the system; or
   5. (5) An amount that is distributed before the system receives a filemarked QDRO that has been approved by the system and entered by a court of competent jurisdiction.

Codification Notes: “QDRO” means qualified domestic relations order.