by John Darer® CLU ChFC MSSC RSP CLTC
Yet another attempt by a cash now pusher to circumvent structured settlements that were set up to benefit litigants against United States has gone down in flames.
One cannot doubt that J.G. Wentworth isn't a fan of the original "structure preserving good" recipe for structured settlements under the Federal Tort Claims Act, namely that "the Annuity Contract provides no other right to any other party to designate to whom annuity payments maybe sent, other than the United States as Owner".
In the consent judgment for the matter that was entered into in early June 2009, the parties (including J.G. Wentworth S.S.C.) acknowledged that the attempt to sell periodic payment rights to J.G. Wentworth "was in clear VIOLATION of the Settlement Agreement and Annuity Contract"
A copy of consent judgment in Transamerica Life Insurance Corporation v United States of America, et al. USDC Western KY, Louisville Case No. 3.08-cv-663-S can be downloaded by following this link Download Transamerica.Wentworth.USA.Consent.Judgment 6-2009
Due to extensive efforts of the United States Department of Justice, structured settlements offered as part of resolution cases under the Federal Tort Claims Act are the only annuity funded structured settlements that cannot be factored.
This information may be of interest to plaintiff lawyers around the United States. whose clients have or have had claims under the FTCA, who have concerns about clients tempted to blow their recovery motivated by ads from the continent's cash now pushers' (a number doing business in the United States are based in Canada) which litter our collective bandwidth.