Can the proceeds from a personal injury lawsuit be part of a divorce settlement?

It depends.  Many states indicate that is the separate property of the injured spouse (i.e., if your husband was in an accident and you were not in the car).  Same theory goes for inheritences.

In terms of being part of a divorce settlement, it can be as part of the following:

1. If the amount was used to pay for a marital debt, or buy a marital asset.

2. If the person who collected gifted the amount to the other spouse or a portion of it.

3. Or if the parties are looking to see who has assets/monies to pay child support or spousal support.