Colonial pays cash for structured settlements!

Maryland statues regarding Structured Settlements. This state statute overseeing the sale of structured settlement payments and the buying of annuities is not the Model Act. By providing the Model" disclosure and additional findings it could comply with Federal Law (Colonial's interpretation) WEST'S ANNOTATED CODE OF MARYLAND COURTS AND JUDICIAL PROCEEDINGS TITLE 5. LIMITATIONS, PROHIBITED ACTIONS, AND IMMUNITIES SUBTITLE 11--STRUCTURED SETTLEMENTS Current through 2001 session

<< Return to State Index  |  << Return to Part 1

(a) A direct or indirect transfer of structured settlement payment rights to a transferee is effective as provided in this subtitle.

(b) A structured settlement obligor or annuity issuer may not make any payment directly or indirectly to a transferee of structured settlement payment rights
unless the transfer is authorized in an order of a court based on a finding that:

(1) The transfer is necessary, reasonable, or appropriate;

(2) The transfer is not expected to subject the payee, the payee's
dependents, or both, to undue or unreasonable financial hardship in the
future;

(3) The payee received independent professional advice regarding the legal,
tax, and financial implications of the transfer; and

(4) The transferee disclosed to the payee the discounted present value.

(a) The circuit court that has jurisdiction over an interested party or the
circuit court for the county in which the original claim occurred shall have
nonexclusive jurisdiction over an application for a transfer of structured
settlement payment rights under § 5-1102 of this subtitle.

(b) A transferee shall file with the court and serve on the interested parties
at least 20 days before the hearing on the application, a notice of the
proposed transfer and an application for its authorization, including:

(1) A copy of the transferee's application;

(2) A copy of the transfer agreement; and

(3) Notification:

(i) Of the time and place of the hearing; and

(ii) That each interested party is entitled to support, oppose, or otherwise
respond to the transferee's application, in person or by counsel, by
submitting written comments to the court or by participating in the hearing.

If a transfer of structure settlement payment rights has been authorized under
this subtitle, neither the annuity issuer nor the structured settlement obligor
shall have any liability to the payee or to any other party for any payment
made to the transferee in accordance with the authorization.

§ 5-1105. Application of subtitle; waiver

(a) The provisions of this subtitle may not be waived.

(b) Nothing contained in this subtitle may be construed to authorize a
transfer of structured settlement payment rights in contravention of applicable
law or to give effect to a transfer of structured settlement payment rights
that is invalid under applicable law.

<< Return to State Index  |  << Return to Part 1