Browsed by
Tag: disclosure

Wall Street Journal Says Court Rules Are Starting to Bring Litigation Funders Out from Under a ‘Veil of Secrecy’

Wall Street Journal Says Court Rules Are Starting to Bring Litigation Funders Out from Under a ‘Veil of Secrecy’

“Investors placing bets on commercial lawsuits have long operated under a veil of secrecy.  But as litigation funding in the U.S. has spread to more courthouses and transformed into a billion-dollar business, plaintiffs and their faceless financiers are confronting calls for more transparency.” So begins a news article, “Lawsuit Funding, Long Hidden In The Shadows, Faces Calls For More Sunlight“, that the Wall Street Journal published last week. The article points out that “the arm of the federal judiciary that…

Read More Read More

Former Maryland Insurance Commissioner Pens Letter to Editor of Washington Post about Idea for Additional Factoring Regulation

Former Maryland Insurance Commissioner Pens Letter to Editor of Washington Post about Idea for Additional Factoring Regulation

The Washington Post’s series of articles on structured settlement factoring, and particularly focusing factoring practices in Maryland, prompted a response from the former Maryland Insurance Commissioner. Dwight K. Bartlett, identified as Maryland insurance commissioner from 1993 to 1997, wrote to the Post about its “splendid, if overdue” articles entitled “Cashing in off poor lead-poisoning victims” and “Tighter rules sought for Md. settlement buyouts”, and called for additional regulation of structured settlement factoring and an additional disclosure requirement, noting that the “appropriate state…

Read More Read More

History of Life Settlements

History of Life Settlements

Today I came across a time line from insure.com, which traces the birth and growth of the secondary market for life insurance.  Here are some of the most interesting excerpts: 1980s: Viatical settlements and accelerated death benefits are invented in order to meet the financial needs of policyholders with AIDS who need to access immediate cash. 1995: Legislation passes that exempts viatical settlements and accelerated death benefits from federal income tax. * * * 1996: Under HIPAA, viatical settlements are not subject to income…

Read More Read More