by Structured Settlement Watchdog
BREAKING NEWS Structured Asset Funding/123 Lump Sum scored a big point in the first part of a bifurcated trial in Portsmouth Virginia earlier this week, as Judge Charles Maxfield ruled that Terrence Taylor was a Virginia resident. Taylor had contended he was a resident of West Virginia. Judge Maxfield was not impressed with Taylor's testimony (according to a source who attended the trial), and questioned Taylor's credibility as a witness in open court.
Who is Terrence Taylor?
Taylor is an amputee burn victim who suffered horrific injuries as a 6 year old child when a space heater caughtfire while he was watching TV at the family home. Part of the settlement in that case was a huge multi-million dollar structured settlement with New York Life Insurance Company that later became subject of serial structured settlement factoring, nearly a dozen structured settlement factoring transactions in 2 years. The Taylor litigation has been subject to extraordinary delays stretching over more than 8 years.
The Contrast with Cordero
Contrast the Taylor case with another serial structured settlement factoring case, Cordero v Transmerica, that has proceeded through multiple layers of trial and appellate courts in only 4 years.
In Taylor, there remain open cross claims against New York Life Insurance company by certain investors, for failure to notify regarding anti-assignment provisions.
Taylor's parents were unsuccessful in another lawsuit against New York Life [see my February 21, 2021 blog Hurdles Faced When Suing Annuity Issuers or Assignment Company After Structured Settlements KO'd by Factoring - Structured Settlements 4Real® Blog: Structured Settlements | Settlement Planning News and Commentary (typepad.com)]and Taylor v. N.Y. Life Ins. Co., 19 Civ. 6830 (VM) | Casetext Search + Citator
In the Cordero case, Cordero could have sued, but did not sue the factoring companies. Instead Cordero elected to go after the annuity issuer, Transamerica Life Insurance Company and the qualified assignment company (obligor) Transamerica Annuity Service Corp. for failure to enforce the anti assigmnment provisions. It's not over but so far things have not gone well for Cordero in the lower courts, the New York Court of Appeals and the 11th Circuit.
What Does Bifurcated Mean?
Bifurcate means to divide something into two parts. In a legal context it could mean having a trial on liability, followed by a trial on damages.
The second phase of the bifurcated trial is set to proceed in late July 2023, where Taylor still has an open claim for extrinsic fraud.
What is Serial Structured Settlement Factoring?
Mulriple sales of structured settlement payment rights for pennies on the dollar in a short time frame.