Greater Protections Needed for Structured Settlement Payees in Virginia, Says Washington Post Editorial Panning ‘Pennies on the Dollar’ Factoring Deals

Greater Protections Needed for Structured Settlement Payees in Virginia, Says Washington Post Editorial Panning ‘Pennies on the Dollar’ Factoring Deals

In Virginia, structured settlement payees are not required to attend court hearings in structured settlement protection act proceedings, payees can enter into transactions without the advice of independent counsel, and the SSPA proceedings can be filed anywhere in the state so factoring companies are allowed to “find judges most receptive to the sales” of structured settlement payments.

All of these are shortcomings with the Virginia SSPA that should be addressed, according to a  January 5 Washington Post editorial.

The Post described how news stories about abusive factoring company practices led to reforms and investigations in Maryland, and said, “Let’s hope for similar efforts in Virginia, because it too has problems with companies that take advantage of vulnerable people.”

The Post’s editorial, about how “Virginia’s weak laws” allow structured settlements factoring transactions “for pennies on the dollar”, is available in full here.

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