As viewed on May 13, 2007, The Settlement Professionals, Inc. (SPI) website states as fact that a large number of structured settlement firms are engaging in practice of rebating**. While this author is squarely AGAINST the practice of rebating, the purpose of this post is to state that these broad allegations of Settlement Professionals, Inc. should be seriously questioned by any trial lawyer receiving them.
The Settlement Professionals Inc. (SPI) "support" for this allegation is an unsigned "letter" purportedly written in June 2002, by Robert Blattenberg at Ringler Associates, to defend a position with Chubb Insurance Company. The manner in which Settlement Professionals, Inc. uses Blattenberg's hearsay on its web site implies that the named firms currently engage in these practices. Two of the firms in the hearsay aren't even active anymore.
Settlement Professionals. Inc. (SPI) is clearly making such allegations merely to justify the engagement of its services. If SPI cannot support its allegations by current fact then what SPI is doing is shameful. Unless Settlement Professionals, Inc. (SPI) can supply current evidence that these firms are currently engaging in such behavior then Settlement Professionals, Inc. (SPI) should stop making such allegations and implications. Clearly if there is no current proof, Settlement Professionals Inc. is running a huge liability risk if it is using the above referenced information (stating or implying that rebating by these entities is current and accurate) to steer business away from any of the firms listed in the Blattenberg hearsay.
Insurance Marketplace Standards Association ("IMSA") publishes Principles and Code for Ethical Market Conduct. The IMSA Principles for Ethical Market Conduct are:
- To conduct business according to high standards of honesty and fairness and to render that service to its customers which, in the same circumstances, it would apply to or demand for itself.
- To provide competent and customer focused sales and service.
- To engage in active and fair competition.
- To provide advertising and sales materials that are clear as to purpose and honest and fair as to content.
- To provide for fair and expeditious handling of customer complaints and disputes.
- To maintain a system of supervision and review that is reasonably designed to achieve compliance with these Principles of Ethical Market Conduct.
** The quote is "Look here to read a letter that reveals the names of the Defense-Loyal Structured Settlement Brokerage Firms that engage in rebating," Settlement Professionals Inc. website 5/13/2007
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