Montana Code 33-20-1404. Transfer of structured settlement payment right — conditions
33-20-1404. Transfer of structured settlement payment right — conditions. A direct or indirect transfer of a structured settlement payment right is not effective and a structured settlement obligor or annuity issuer is not required to make a payment directly or indirectly to a transferee of a structured settlement payment right unless a final court order or order of a responsible administrative authority has approved the transfer in advance based on written findings by the court or responsible administrative authority that:
Terms Used In Montana Code 33-20-1404
- Annuity: A periodic (usually annual) payment of a fixed sum of money for either the life of the recipient or for a fixed number of years. A series of payments under a contract from an insurance company, a trust company, or an individual. Annuity payments are made at regular intervals over a period of more than one full year.
- Independent professional advice: means advice of an attorney, a certified public accountant, an actuary, or any licensed professional adviser. See Montana Code 33-20-1402
- Knowingly: means only a knowledge that the facts exist which bring the act or omission within the provisions of this code. See Montana Code 1-1-204
- Payee: means an individual who is receiving tax-free payments under a structured settlement and proposes to make a transfer of the payment rights. See Montana Code 33-20-1402
- Responsible administrative authority: means , with respect to a structured settlement, any government authority vested by law with exclusive jurisdiction over the settled claim resolved by the structured settlement. See Montana Code 33-20-1402
- Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
- Statute: A law passed by a legislature.
- Structured settlement: means an arrangement for periodic payment of damages for personal injuries or sickness established by settlement or judgment in resolution of a tort claim. See Montana Code 33-20-1402
- Structured settlement obligor: means , with respect to a structured settlement, the party that has the continuing obligation to make periodic payments to the payee under a structured settlement agreement or a qualified assignment agreement. See Montana Code 33-20-1402
- Structured settlement payment right: means the right to receive periodic payments under a structured settlement, whether from the structured settlement obligor or the annuity issuer, when:
(a)(i) the payee is domiciled in this state; or
(ii)the domicile or principal place of business of the structured settlement obligor or the annuity issuer is located in this state;
(b)a court or responsible administrative authority in this state approved the structured settlement agreement; or
(c)the structured settlement agreement is expressly governed by the laws of this state. See Montana Code 33-20-1402
- Transfer: means a sale, assignment, pledge, hypothecation, or other alienation or encumbrance of a structured settlement payment right made by a payee for consideration. See Montana Code 33-20-1402
- Transferee: means a party acquiring or proposing to acquire a structured settlement payment right through a transfer. See Montana Code 33-20-1402
- Writing: includes printing. See Montana Code 1-1-203
(1)the transfer is in the best interest of the payee, taking into account the welfare and support of the payee’s dependents, if any;
(2)the payee has been advised in writing by the transferee to seek independent professional advice regarding the transfer and either has received independent professional advice or knowingly waived independent professional advice in writing; and
(3)the transfer does not contravene any applicable statute or the order of any court or other government authority.