by Structured Settlement Watchdog
Something Rotten Going on in Burlington County NJ
NJ Personal Injury Lawyers who are members of New Jersey Association for Justice should be livid. So should the NJ legislature
Settlement Purchaser Goes Bananas and Pounces for Three Transfers in Three 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 robed in Court 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 Ret. approved November 2018) 14.8% discount rate
ALL of the cited structured settlement transfers approved by the Burlington County judges involved period certain payments beginning in 2020 with an A.M. Best rated 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. One must consider the frictional costs of each of the three transactions.
Each of the structured settlement transfers was submitted to the Burlington County New Nersey 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 considerable sympathy for your argument when victims with traumatic brain injuries (TBI) are exploited as described above.
New Jersey Structured Settlement Protection Act: Is it in Name Only in Burlington County?
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” Brought Before Burlington County Judge Janet Z. Smith
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.