Illinois Compiled Statutes 215 ILCS 153/20 – Effects of transfer of structured settlement payment rights
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Following a transfer of structured settlement payment rights approved under this Act:
(1) the structured settlement obligor and the annuity
(1) the structured settlement obligor and the annuity
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issuer shall, as to all parties except the transferee or an assignee designated by the transferee, be discharged and released from any and all liability for the transferred payments, and the discharge and release shall not be affected by the failure of any party to the transfer to comply with this Act or with the order of the court approving the transfer;
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(2) the transferee shall be liable to the structured
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settlement obligor and the annuity issuer:
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(A) if the transfer contravenes the terms of the
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structured settlement, for any taxes incurred by the parties as a consequence of the transfer; and
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(B) for any other liabilities or costs, including
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reasonable costs and attorneys’ fees, arising from compliance by the structured settlement obligor or annuity issuer with the order of the court or from failure of any party to the transfer to comply with this Act;
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(3) neither the annuity issuer nor the structured
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settlement obligor may be required to divide any periodic payment between the payee and any transferee or assignee or between 2 or more transferees or assignees; and
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(4) any further transfer of structured settlement
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payment rights by the payee may be made only after compliance with all of the requirements of this Act.
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Terms Used In Illinois Compiled Statutes 215 ILCS 153/20
- 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.