Arizona Laws 5-563. Right to prize not assignable; exceptions
A. The right of any person to a prize is not assignable, except that:
Terms Used In Arizona Laws 5-563
- Affidavit: A written statement of facts confirmed by the oath of the party making it, before a notary or officer having authority to administer oaths.
- 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.
- Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
- Commission: means the Arizona state lottery commission. See Arizona Laws 5-551
- Director: means the executive director of the Arizona state lottery commission. See Arizona Laws 5-551
- Remainder: An interest in property that takes effect in the future at a specified time or after the occurrence of some event, such as the death of a life tenant.
- state lottery: means the lottery created and operated pursuant to this chapter. See Arizona Laws 5-551
1. Payment of any prize drawn or the remainder of any annuity purchased may be paid to any of the following:
(a) The estate of a deceased prize winner.
(b) The beneficiary of a deceased prize winner.
(c) A person pursuant to an appropriate judicial order.
2. Payments to winners in an amount of six hundred dollars or more are subject to setoff pursuant to section 5-575.
3. In the event of a voluntary assignment, the remainder of any annuity, or a portion of the remainder of the annuity, may be assigned by a prize winner pursuant to an appropriate judicial order if all of the following conditions are met:
(a) The prize winner provides an affidavit to the court to the effect that the affiant is of sound mind, is not acting under duress and has received independent financial and tax advice concerning the assignment.
(b) The assignee pays the prize winner a lump sum for all amounts that are due to the prize winner under the assignment agreement on or before the date that the assignment takes effect.
(c) The parties to the assignment pay a fee to the commission to defray the expenses incurred by the commission in processing the assignment. The commission shall determine the amount of the fee. Monies collected by the commission pursuant to this subdivision shall be deposited in the state lottery fund established by section 5-571.
B. On receipt of a court order that meets the requirements of subsection A, paragraph 3 of this section, the director shall make the voluntary assignment.
C. The commission and director shall be discharged of all further liability upon payment of a prize pursuant to this section.