AN INDEPENDENT PROFESSIONAL ADVISOR (IPA) CAN USUALLY GET YOU MORE MONEY FOR THE STRUCTURED SETTLEMENT PAYMENTS YOU ARE SELLING Every sale of a structured settlement requires prior court approval first, and 48 states have currently enacted some form of “consumer protection legislation” to protect all sellers of structured settlement payment streams. Central to each and every one of the 48 different state statues is the use of an Independent Professional Advisor is either highly encouraged, or required! Why; because before any judge can approve a sale of a structured settlement, a judge must decide if it is “in the best […]
Transfers of Structured Settlement Payment Rights Compliance to Contract Writing is the Responsibility of the Transfer Company The California Insurance Code puts the onus on the transfer company to get all of the contracts right. The Insurance Code spells out the terms of the disclosure statement, and the transfer agreement in Sections 10136, 10137, and 10138 to the transfer company, and only the transfer company. The code below states that it is the sole responsibility of the transfer company to draft these and any other necessary contracts to “seal the deal” for a successful transfer of payment rights. […]
- 5-1101(c) Independent professional advice.–“Independent professional advice means advice of an attorney, certified public accountant, actuary, or other licensed professional adviser:
(1) Who is engaged by a payee to render advice concerning the legal, tax, and financial implications of a transfer structured settlement payment rights; (2) Who is not affiliated with or compensated by the transferee of the transfer; and (3) Whose compensation is not affected by whether a transfer occurs. The Maryland code that REQUIRES you to have independent professional advice is:
- 5-1102(b)(3) The payee received independent professional advice regarding the legal, tax, and financial implications of the transfer.
If used correctly the Independent professional advisor could accomplish and protect the seller while protecting the best interest without putting them in financial harms way in those certain cases where time is of the essence, for example a home foreclosure. Read the article and see if you agree….. Excessive reform for Md. structured settlement purchases Maryland’s recent regulatory expansion in the settlement purchasing industry aims to protect consumers in the wake of one purchaser’s practices in the state of Maryland. Yet, in an effort to address the conduct of a single company that is not representative of the greater settlement purchasers industry (nor a member of the industry trade association), Maryland’s Judicial Review Committee has approved rules that, by prolonging the court evaluation process and requiring the public disclosure of the seller’s private information, could harm the very people the committee wishes to protect. Structured settlements occur when individuals elect to receive their settlement compensation from lawsuits in regular installments rather than a single, up-front payment. In times of need, the market for selling structured settlements offers individuals immediate access to their future stream of payments. For individuals facing challenges such as foreclosure or eviction, tapping into an asset that is rightfully theirs is critical to overcoming these difficulties. Settlement recipients are entitled to the flexibility to access their funds when they most need them. In circumstances like these, individuals cannot afford unnecessary delays in the judicial review process — and rule changes in Maryland will significantly lengthen court procedures. Industry leaders support efforts to safeguard consumer interests through disclosure and transparency requirements, as well as by educating payees about their potential agreements. Still, Maryland’s Judicial Review Committee should pursue a solution that both protects consumers, including their right to privacy, and maintains the flexibility the structured settlement purchasing industry provides. Earl S. Nesbitt, Addison, Texas The writer is executive vice president and general counsel of the National Association of Settlement Purchasers. Copyright © 2015, The Baltimore Sun by Taboola
The post Structured Settlement Lawyer Review<span class="entry-meta">Originally Posted on November 9, 2015, last updated on December 29, 2015 and reposted on July 13, 2019</span> appeared first on Structured Settlement Expert.