Structured Settlements 4Real®Blog 2026

Structured settlements expert John Darer reviews the latest structured settlements and settlement planning information and news, and provides expert opinion and highly regarded commentary. that is spicy, Informative, irreverent and effective for over 20 years.

by Structured Settlement Watchdog

The T.D. lawyers “misgendered” what jailed Ponzi schemer and disbarred lawyer Scott Rothstein was peddling 14 years ago as “structured settlements”, in an effort to seek a recovery in insurance coverage litigation filed April 6, 2023 in NJ Federal Court.

The “misgendering” of the purported investments at the center of the Scott Rothstein Ponzi Scheme of more than 14 years ago and the false and irresponsible association of structured settlements (by the South Florida press, nationally syndicated press, the ABA Journal and former United States Attorney Kendall Coffey) with a Ponzi Scheme was outrageous then, as it is now.

In the next few moments, readers will e dumbfounded that expensive corporate lawyers proceeded with the missgendering depsite the obvious

But there’s even more. On May 1, 2014 the United States Attorneys Office for teh Southern District of Florida

Jailed Ponzi schemer Scott Rothstein himself stated in a 2011 deposition that they had reason to make sure that what he was selling were not structured settlements because structured settlements would have brought more scrutiny due to the need for court approval of structured settlement transfers.

Here’s an excerpt from Scott Rothstein’s deposition:

Rothstein: “From that perspective we had reason to make sure that this was not structured. Because when you’re dealing with structured settlements you need other levels of Court approval. It would have required the manufacturer of literally hundreds of phony orders, which would have led the entire scheme to detection.

It was intentionally made in a way and presented to that firm and the other firms that were looking at the structure issue that it was merely a purchase of dollars already in-house; that it was not a structured settlement because the true definition of a structured settlement is when someone is actually receiving payments over time that has some other value. We didn’t have a true definition of a structured settlement, not by any of the statutes”  Rothstein depo Page 24 of 197  lines 15-23.  Also see my contemporaneous post  Scott Rothstein Deposition: Ponzi Scheme NOT STRUCTURED SETTLEMENTS! – Structured Settlements 4Real® Blog: Structured Settlements | Settlement Planning News and Commentary February 1, 2012

Two years earlier, in November 2009, Harriet Bracky’s Column in the Florida Sun Sentinel put it in print, stating about Rothstein’s offering that:

The August circular says the investment strategy is to buy into a settlement that occurs before a trial begins, “in a manner that does not qualify as a structured settlement, therefore not being subject to court approval.”

Notwithstanding Rothstein’s own words and the contemporaenous comments by Harriet Bracky, the definition of structured settlement that appears in the Internal Revenue Code ay IRC 5891(c)(1)(A) is:

(1)Structured settlement  The term “structured settlement” means an arrangement—

(A)which is established by—

(i)

suit or agreement for the periodic payment of damages excludable from the gross income of the recipient under section 104(a)(2), or
(ii)

agreement for the periodic payment of compensation under any workers’ compensation law excludable from the gross income of the recipient under section 104(a)(1), and
(B)under which the periodic payments are—

(i)

of the character described in subparagraphs (A) and (B) of section 130(c)(2), and
(ii)

payable by a person who is a party to the suit or agreement or to the workers’ compensation claim or by a person who has assumed the liability for such periodic payments under a qualified assignment in accordance with section 130.

I covered this extensively to counter the turgid pipeline of misinformation spewed by the South Florida press and a certain former US Attorney beginning in 2009.

Scott Rothstein Criminal Complaint Contains NOTHING About Structured Settlements! – Structured Settlements 4Real® Blog: Structured Settlements | Settlement Planning News and Commentary (typepad.com)

Structured Settlements 4Real® Blog: Structured Settlements | Settlement Planning News and Commentary: Scott Rothstein Ponzi | Nothing to do with Structured Settlements (typepad.com)  Compilation

TD BANK, N.A., successor by 
merger to Commerce Bank, N.A., 
a wholly-owned subsidiary of                        Docket No. 1:23-cv-01951-RBK-AMD
Commerce Bancorp, Inc. 
1701 Marlton Pike East ) Civil Action
Suite 200 
Cherry Hill, NJ 08003 )                                 COMPLAINT FOR BREACH OF  CONTRACT AND BAD FAITH, JURY DEMAND
Plaintiff, 

v. CONTINENTAL INSURANCE COMPANY OF NEW JERSEY, NATIONAL UNION FIRE INSURANCE COMPANY OF PITTSBURGH, PA,
RSUI INDEMNITY COMPANY, ALLIED WORLD NATIONAL ASSURANCE COMPANY, ZURICH AMERICAN INSURANCE COMPANY AIG PROPERTY CASUALTYCOMPANY, successor to AIG Casualty Company, LIBERTY MUTUAL INSURANCE COMPANY WESTCHESTER FIRE INSURANCE COMPANY and AXIS INSURANCE COMPANY, Defendants

 

 

 

 

 

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