Nevada Revised Statutes 42.390 – Effects of transfer of structured settlement payment rights
Following a transfer of structured settlement payment rights:
Terms Used In Nevada Revised Statutes 42.390
- 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.
- Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
- 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.
1. The structured settlement obligor and the annuity issuer may rely on the transfer order in redirecting periodic payments to an assignee or transferee in accordance with the transfer order and is, as to all parties except the transferee or an assignee designated by the transferee, discharged and released from any and all liability for the redirected payments. The discharge and release is not affected by the failure of any party to the transfer to comply with NRS 42.200 to 42.400, inclusive, or with the transfer order.
2. The transferee is liable to the structured settlement obligor and the annuity issuer:
(a) If the transfer contravenes the terms of the structured settlement, for any taxes incurred by the structured settlement obligor or annuity issuer as a consequence of the transfer; and
(b) For any other liabilities or costs, including reasonable costs and attorney’s fees, arising from:
(1) Compliance by the structured settlement obligor or annuity issuer with the transfer order; or
(2) The failure of any party to the transfer to comply with NRS 42.200 to 42.400, inclusive.
3. The structured settlement obligor and the annuity issuer are not required to divide any periodic payment between the payee and any transferee or assignee or between two or more transferees or assignees.
4. Any further transfer of structured settlement payment rights by the payee may be made only after compliance with all of the requirements of NRS 42.200 to 42.400, inclusive.