by John Darer CLU ChFC CSSC RSP
One of this morning's Google queries was "using structured settlements to calculate NY 50b cases" so I thought I better "come to the rescue". Here are some salient points:
- In New York, CPLR 50B*, and its companion CPLR 50A", are statutes that require a structured judgment NOT a structured settlement for certain types of cases.
- Any practitioner who implies that one can simply use a structured settlement "to calculate NY 50B cases" demonstrates characteristics of inexperience and is in serious need of help.
- The post trial calculations required to reduce a verdict to a structured judgment under CPLR 50B are complex and require significantly more knowledge by the settlement professional than running an annuity quote.
- The numbers within a CPLR 50B calculation are fluid. There is an interplay of multiple factors, a change in one of which has a concomitant effect on others.
- Generally the annuity rates for structured settlements and structured judgments are the same, BUT it is NOT ALWAYS THE CASE.
- Knowledge of 50B may be useful prior to trial or at mediation for hypotheticals. But again, the calculations for a structured judgment under CPLR 50B are complex and require significantly more knowledge by the settlement professional than simply running a structured annuity quote.
Don't be embarassed in Court or at the negotiating table. Stick with experience when it comes to CPLR Article 50B.
*New York's Periodic Payment of Judgment statutes. Article 50A of the Civil Practice Law Rules (CPLR) deals with periodic payment of damages on medical, dental and podiatric malpractice cases. Article 50B of the CPLR deals with payment of damages on personal injury, injury to property and wrongful death actions.