by John Darer® CLU ChFC MSSC RSP CLTC
There is a common misconception that the form of periodic payments used under New York Civil Practice Law Rules 50A and 50B (a/k/a CPLR 50A and 50B or Articles 50A and 50B) are called structured settlements.
It is critical to note that the final resolution of a matter which results in the periodic payments embodied in CPLR 50A or CPLR 50B IS NOT a structured settlement. It is a structured judgment.
The periodic payments under New York CPLR 50A and CPLR 50B represent statutory obligations concerning the form of payment of damages, post verdict, when there is a judgment.
A structured settlement IS NOT a statutory obligation. It is the result of a compromise and, in many circumstances, parties can enter into a structured settlement without Court approval, or even without a lawsuit being filed.
A structured judgment is rigid while a structured settlement is flexible and can be customized to meet the plaintiffs specific needs
Updated August 16, 2021