by John Darer CLU ChFC CSSC RSP CLTC
Woodbridge Structured Funding LLC knows better than to state this on its website as a "type of cash for annuity payments" in its sales pitch:
"A structured settlement annuity pays out small payments over a period of time, usually many years. These payments are usually a fixed amount that is decided by the court or insurance company, and the victim has no control over the amount or frequency of the payment"
While technically, as part of the second step of the process when a structured settlement is created, the Defendant, Respondent, or their insurance company must pay cash to a qualified assignment company, which then purchases a structured settlement annuity contract to fund the future periodic payments assumed by the assignee, a structured settlement annuity is not a "type of cash for annuity payments"
The notion that the determination of the structured settlement annuity payment is a unilateral decision "decided by the court or insurance company, and the victim has no control over the amount or frequency of the payment" is utter rubbish
Structured settlements are voluntary agreements. My recent video is right on point that a structured settlement is a voluntary agreement.
And, to pound the point home...
From US Legal.com
"A settlement in legal terms refers to when parties to a lawsuit resolve their difference without having a trial. Settlements are negotiated by their parties, usually through their attorneys and/or insurance adjusters, but final approval of a settlement offer must rest with the parties to the lawsuit".
"Most settlements are achieved by negotiation in which the attorneys (and sometimes an insurance adjuster with authority to pay a settlement amount on behalf of the company's insured defendant) and the parties agree to terms of settlement".
Woodbridge Structured Funding's oversight on this point is unfortunately, not uncommon in advertising by the structured settlement secondary market. Such advertising in some cases tries to unsettle structured settlement annuitants with "large lump sum for teensy weensy payments" message.
Some companies have even gone so far over the top with their misplaced metaphors that they falsely imply criminality by using the image of a felon in handcuffs, in their advertising. Ironic, considering what a background check of some of the participants in the unregulated structured settlement factoring industry would reveal. Very ironic.