Montana Code 33-20-1411. Responsibility for compliance — liability
33-20-1411. Responsibility for compliance — liability. (1) Compliance with the requirements in 33-20-1403 and fulfillment of the conditions in 33-20-1404 are the sole responsibility of the transferee in any transfer of a structured settlement payment right. Neither the structured settlement obligor nor the annuity issuer bears responsibility for or liability arising from noncompliance with 33-20-1403 or failure to fulfill the conditions of 33-20-1404.
Terms Used In Montana Code 33-20-1411
- 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.
- 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
- 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.
- 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 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
- Transfer agreement: means the agreement providing for a transfer of a structured settlement payment right. 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
(2)A payee who proposes to make a transfer of a structured settlement payment right may not incur a penalty, forfeit an application fee or other payment, or otherwise incur any liability to the proposed transferee or any assignee based on a failure of a transfer agreement to satisfy the conditions of this part.