by Structured Settlement Watchdog
Something rotten seems to be going on in Burlington County New Jersey and NJ personal injury lawyers for the New Jersey Association for Justice should be
livid. So should the New Jersey legislature.
Settlement Purchaser Goes Bananas and Pounces For Three Transfers in 3 months At Crap Discount Rates
A member of the National Association of Settlement Purchasers made court submissions for structured settlement factoring transactions on a woman with traumatic brain injury:
- in July 2018 (Judge John Harrington (at left in linked image) approved August 3, 2018), 12.5% discount rate
- in August 2018 (Judge John Harrington approved October 12, 2018), 14.27% discount rate
- in September 2018 (Judge Susan Claypoole approved November 2018) 14.8% discount rate
ALL of the transfers involved period certain payments beginning in 2020 with an A++ quality underlying annuity issuer. Notwithstanding the question of suitability of the transactions, our source says that a fair price would have been $100,000-$120,000 more for the 3 transactions.
Each of the structured settlement transfers was submitted to the Burlington County civil court using a different alias for the NASP member and the name of the annuitant was "staged" to make it more difficult to poach. To the anti-poachers out there, you lose a lot of sympathy for your argument when victims with TBI are pillaged like described above.
New Jersey Structured Settlement Protection Act In Name Only?
Notwithstanding that NJ is supposed to have a structured settlement protection act, the obvious question of " WTF?" is to be asked of the two Burlington County NJ judges [particularly Judge Susan Claypoole, who oversaw and approved the third transfer application in 3 months of an annuitant with TBI!] According to our source, the NASP member WAS aware of the victim's TBI and had " done its due diligence to determine that the seller was competent", yet none of that appeared to be disclosed in court papers. The judges in making their decisions however, WERE aware of prior transfers.
No state structured settlement protection act voted in by ANY state legislature in the nation was intended to support a figurative run on the bank, or to support investors making a huge profit on people with TBI.
The Four Leaf "Bend Over"
On November 6, 2018, a 4th petition was submitted by the same member of the National Association of Settlement Purchasers, this time using an incredible 4th alias, this time in front of Judge Janet Z. Smith. $320,853 in future payments were on line in exchange for a lump sum of $85,000 (11.5% discount rate), when $145,000-$150,000 would have been a fair value according to our source. Same A++ annuity issuer, similar time frame for payments purchased. The December 20, 2018 hearing was adjourned for 30 days.