Source: http://www.settlementexchange.org/state-structured-settlement-protection-act/sell-structured-settlements-pennsylvania-sell-structured-insurance-settlements/
Timestamp: 2019-04-25 20:09:57+00:00

Document:
Prior to selling structured insurance settlements in PA, one needs to be keenly aware of their rights as a structured insurance settlement recipient under the Pennsylvania Structured Settlement Protection Act.
Receiving lump sum cash for structured settlement payments can be an exciting proposition to a structured insurance settlement recipient in Pennsylvania. Settlement Exchange recommends that you review your structured insurance recipient and annuitant rights before contemplating the sale of structured settlement payments in Pennsylvania or even procuring cash quotes for your structured settlement.
We firmly believe that basic education is the key to securing the best quotes for structured insurance settlements and lottery annuity payments. We always advise that one knows their rights as protected under the Pennsylvania Structured Settlement Protection Act. We also advise that one should secure their own legal advice before attempting to get cash for structured settlement payments.
The Pennsylvania Structured Settlement Protection Act dictates that a transferee of structured settlements must reside in the state of Pennsylvania. An Pennsylvania State court must also approve the selling of the structured insurance settlement and the sale of structured insurance settlements has to be in the best interest of the structured settlement recipient in all cases.
We have attached a copy of the Pennsylvania Structured Settlement Protection Act and a direct link for your benefit.
“Best interests.” The standard applicable to transfers of structured settlement payment rights based on judicial findings regarding the payee and his dependents, as required by section 3(a)(3), unless if at the time the payee and the transferee enter into the transfer agreement a different standard is contained in the Internal Revenue Code of 1986 (Public Law 99-514, 26 U.S.C. § 1 et seq.) or in a United States Treasury regulation adopted pursuant thereto, then such different standard.
“Payee.” A person domiciled in this Commonwealth who is receiving tax-free payments under a structured settlement and proposes to make a transfer of payment rights thereunder.
“Qualified assignment agreement.” An agreement providing for a qualified assignment within the meaning of section 130 of the Internal Revenue Code of 1986 (Public Law 99-514, 26 U.S.C. § 1 et seq.).
“Structured settlement obligor.” With respect to any structured settlement, the party that has the continuing obligation to provide periodic payments to the payee under a structured settlement agreement or a qualified assignment agreement.
“Terms of the structured settlement.” Include, with respect to any structured settlement, the terms of the structured settlement agreement, the annuity contract, any qualified assignment agreement and any order, decree or approval of any court or responsible administrative authority authorizing or approving such structured settlement.
“Transfer.” Any direct or indirect sale, assignment, pledge, hypothecation or other form of alienation, redirection or encumbrance made by a payee for consideration, provided, however, that this shall not apply to a blanket security agreement used to secure a loan originating from a Federal or State chartered lending institution. Any transfer made or agreed to under this act shall be considered to be a consumer transaction.
2000, Feb. 11, P.L. 1, No. 1, § 2, effective in 60 days.
(iv) The gross amount payable to the payee in exchange for such payments .
(vi) The net amount payable to the payee after deduction of all commissions, fees, costs, expenses and charges described in subparagraph (v) .
(vii) The quotient, expressed as a percentage, obtained by dividing the net payment amount by the discounted present value of the payments.
(4) The payee has received or expressly waived in a separate written acknowledgment signed by the payee, independent legal advice regarding the implications of the transfer, including consideration of the tax ramifications of the transfer.
(ii) signed originals of all approvals required under subparagraph (i) have been filed with the court from which the authorization of the transfer is being sought and originals or copies have been furnished to the payee, the structured settlement obligor and the annuity issuer.
2000, Feb. 11, P.L. 1, No. 1, § 3, effective in 60 days.
The court of common pleas of the judicial district in which the payee is domiciled shall have jurisdiction over any petition as required under section 3 for a transfer of structured settlement payment rights. Not less than 20 days prior to the scheduled hearing on any petition for authorization of a transfer of structured settlement payment rights under section 3, the payee shall file with the court and serve on the transferee a notice of the proposed transfer and the application for its authorization, including in such notice a copy of the payee’s petition to the court, a copy of the transfer agreement, a copy of the disclosure statement required under section 3, notification that the transferee, the structured settlement obligor or the annuity issuer is entitled to support, oppose or otherwise respond to the payee’s petition, either in person or by counsel, by submitting written comments to the court or by participating in the hearing and notification of the time and place of the hearing and notification of the manner in which and the time by which written responses to the petition must be filed, which shall be not less than 20 days after service of the payee’s notice, in order to be considered by the court.
2000, Feb. 11, P.L. 1, No. 1, § 4, effective in 60 days.
2000, Feb. 11, P.L. 1, No. 1, § 5, effective in 60 days.
(b) Penalties.–No payee who files a petition for the transfer of structured settlement payment rights shall incur any penalty, forfeit any application fee or other payment or otherwise incur any liability to the proposed transferee based on any failure of such transfer to satisfy the conditions of section 3.
2000, Feb. 11, P.L. 1, No. 1, § 6, effective in 60 days.
A violation of this act shall be deemed a violation of the act of December 17, 1968 (P.L. 1224, No. 387), known as the Unfair Trade Practices and Consumer Protection Law.
2000, Feb. 11, P.L. 1, No. 1, § 7, effective in 60 days.
[FN1] 73 P.S. § 201-1 et seq.
2000, Feb. 11, P.L. 1, No. 1, § 8, effective in 60 days.
2000, Feb. 11, P.L. 1, No. 1, § 9, effective in 60 days.

References: § 1
 § 1
 § 2
 § 3
 § 4
 § 5
 § 6
 § 7
 § 201
 § 8
 § 9