Maryland Attorney General Announces Registration for Factoring Companies

Maryland Attorney General Announces Registration for Factoring Companies

Maryland Attorney General Brian Frosh recently announced the beginning of registration for factoring companies doing business in that state.

 

The Attorney General’s office announced in September that, as per the revised Maryland Structured Settlement Protection Act (effective October 1, 2016), it would accept registrations from factoring companies seeking to purchase structured settlement payment rights.

In a press release, the Attorney General’s office said the following:

During the 2016 session of the Maryland General Assembly, Attorney General Frosh supported legislation that enhances protections for victims of lead poisoning and other Maryland tort victims from predatory and deceptive practices by entities seeking to induce them to transfer future settlement payments to which they may be entitled.

The new law, which goes into effect October 1, 2016, requires entities acquiring future structured settlement payments in Maryland, known as ‘structured settlement transferees,’ to register with the Office of the Attorney General.  A structured settlement transferee may not file a court petition initiating a transaction with a Maryland consumer unless it is registered  . . . .

The press release is available in full here.

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