by Structured Settlement Watchdog®
Rhode Island Superior Court Judge Netti C. Vogel denied a 28-year-old tort victim permission to sell part of the structured settlement she has been receiving from a childhood injury, unless the factoring company, Stone Street Capital, presented an offer closer to its present value.
As quoted by Staff Writer, Edward Fitzpatrick in today’s Providence Journal, Judge Vogel told Stone Street Capital’s Cranston, RI 
based attorney, Christopher L. Russo:
“This is not in this woman’s best interest. You should not be recommending it because you’re an honorable man. You should get on the phone and call them up…. You tell them this woman, in light of the fact she’s got practically nothing left because the vultures, the vultures, the vultures who preyed on her already, that it has to be close to the present value before I consider it.”
Judge Netti Vogel’s dedication demonstrates that some judges are committed to the responsibility of determining whether a structured settlement factoring deal aligns with the tort victim’s “best interest
The article contains quotes from a number of judges , like Daniel A. Procaccini who was quoted as saying:
“I agree it’s growing. Now they are preying on people more because the economy is bad. If they’re unemployed, they’re thinking, ‘How quick can I cash this thing out?’ ”
As an aside, I looked up Christopher L. Russo on FindLaw and his specialty is listed as personal injury-defense. This raises an important credibility question. What credibility does Russo now have to negotiate structured settlements to resolve cases for his “personal injury-defense” clients knowing that at the same time he is representing factoring companies like Stone Street Capital? At the very least it should raise quite a few eyebrows of members of the Rhode Island Association for Justice.
Patricia A. LaBorde, division counsel for Stone Street Capital, based in Bethesda, Md, made some important statements that were quoted in the article such as “We are for individuals who can’t get traditional financing — they’ve been turned down for loans and are facing serious economic problems,” she said. “We are sort of the last resort.”.
Tort victims please read what the attorney for Stone Street Capital implies. Selling your structured settlement payments should be seen as financing of last resort
LaBorde was quoted as saying, “Our industry needs to do a better job of educating the public.” I fully agree. It is essential to educate the public about the role and functions of the structured settelment secondary market.
Certain participants in the factoring industry might need to reconsider their approach of employing overly aggressive late-night advertisements, which, although memorable, tend to alienate judges, attorneys, and the general public. The deceptive narrative of “tiny for a large lump sum” should discontinued.
To read the complete article “Judge Warns of Financial Vultures” from the February 3, 2008 The Providence Journal please click here
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