Browsed by
Tag: “Maryland structured settlement factoring”

What’s Happened With the Litigation Over Settlement Factoring in Maryland

What’s Happened With the Litigation Over Settlement Factoring in Maryland

Maryland has been at the center of attention since the Washington Post began its series of news stories about structured settlement factoring. Some of what’s happened in Maryland involve changes in legislation (see here) or judicial rules (see here). Another front has been in state court, where two lawsuits have been at the center of attention, when the topic is structured settlement factoring. One lawsuit was brought by the Maryland Attorney General, which sued factoring company, Access Funding, LLC., the…

Read More Read More

What’s Happened with Maryland’s Judicial Procedures for Structured Settlement Factoring Cases

What’s Happened with Maryland’s Judicial Procedures for Structured Settlement Factoring Cases

Even before the Maryland legislature adopted a revised Structured Settlement Protection Act (as described in this post), the Maryland judiciary had responded to the attention focused on alleged abuses in structured settlement factoring company practices in that state. Maryland’s courts had adopted a new statewide rule for matters filed under the state’s SSPA, to go into effect January 1, 2016. Maryland’s judicial rule for SSPA proceedings requires: Payees to appear in court at hearings (a required later also reflected in the…

Read More Read More

What’s Happened with the Maryland Structured Settlement Protection Act

What’s Happened with the Maryland Structured Settlement Protection Act

As described here, it’s been two years since the Washington Post began a series of stories about the structured settlement factoring industry and alleged factoring company abusive practices, such as those involving the targeting of cognitively-impaired structured settlement payees. One change that has taken place in the past two years is that Maryland has adopted a revised structured settlement protection act. In fact, Maryland’s SSPA, some say, is the strictest of the 49 state structured settlement protection acts.  It  requires…

Read More Read More

In One of Several Lawsuits Against Factoring Company, Maryland Attorney General Weighs In on Proposed Settlement of Class Action

In One of Several Lawsuits Against Factoring Company, Maryland Attorney General Weighs In on Proposed Settlement of Class Action

The Maryland Attorney General’s office has sought to weigh in on a proposed settlement of a class action against factoring company Access Funding, with the AG saying that the structured settlement payees who make up the class should receive more compensation that the proposed deal calls for. That’s the gist of a Baltimore Sun report (Attorney General’s office and attorneys spar over settlement for lead victims, by reporter Carrie Wells) that appeared today, which is the date of a scheduled hearing…

Read More Read More

Court Rules For Maryland Attorney General, Denies Factoring Company’s Motion to Dismiss Lawsuit

Court Rules For Maryland Attorney General, Denies Factoring Company’s Motion to Dismiss Lawsuit

As described in this Secondary Insurance Market Blog post from May, 2016, a little more than a year ago, the Maryland Attorney General filed a lawsuit that alleged that factoring company Access Funding, LLC, along with other defendants, made misrepresentations to Maryland courts when the company obtained more than 100 court orders approving transfers of structured settlement payment rights, and that those orders therefore should be invalidated. The Attorney General said that Access Funding engaged in unfair practices that included targeting…

Read More Read More

Maryland Courts Revise Rules for Structured Settlement Protection Act Proceedings

Maryland Courts Revise Rules for Structured Settlement Protection Act Proceedings

The Maryland judiciary this month has revised the rules governing actions filed pursuant to that state’s structured settlement protection act. The rule revises the requirements concerning documents to be filed by factoring companies that seek judicial approval of transfers under the structured settlement protection act – list of documents that now includes a copy of the underlying complaint, as well as “proof of the petitioner’s current registration with the Office of the Attorney General as a structured settlement transferee or a…

Read More Read More

Revised Maryland SSPA Now Also Requires Factoring Company Bond

Revised Maryland SSPA Now Also Requires Factoring Company Bond

As with the requirement that factoring companies register with the state Attorney General (described here), the revised Maryland Structured Settlement Protection Act (effective October 1, 2016) also requires a bond by factoring companies, as described in this post. UPDATE: And here is another recent article, Bonding Requirement Added for Maryland Structured Settlement Companies, describing the new bonding requirement for readers of Insurance Journal.

More News Reports Describe CFPB Lawsuit, Reactions

More News Reports Describe CFPB Lawsuit, Reactions

The Consumer Protection Financial Bureau’s lawsuit against factoring company Access Funding, alleging violations of federal law in connection with structured settlement factoring transactions between the company and Maryland residents, has led to a number of news reports and other articles describing both the litigation and some reactions. Here is a sample of the media pieces and what they say: Federal Watchdog Sues Md. Company Over Lead Paint Settlements, Baltimore Sun (available here), which reports on how the CFPB lawsuit followed an…

Read More Read More

Washington Post Continues Reports on Structured Settlement Factoring with Story About Consumer Financial Protection Bureau Lawsuit

Washington Post Continues Reports on Structured Settlement Factoring with Story About Consumer Financial Protection Bureau Lawsuit

As described here, the Consumer Financial Protection Bureau has filed a lawsuit against Access Funding and other defendants, alleging violations of the Consumer Financial Protection Act in connection with structured settlement factoring transactions involving Maryland payees. The lawsuit is the latest in a series of developments that can be traced back to an August, 2015 front-page investigative news story by The Washington Post. The Post, which has published a number of stories about allegedly abusive practices by structured settlement factoring companies,…

Read More Read More

Consumer Financial Protection Bureau Sues Factoring Company Over Structured Settlement Transfer Deals, Alleges Violation of Federal Law

Consumer Financial Protection Bureau Sues Factoring Company Over Structured Settlement Transfer Deals, Alleges Violation of Federal Law

In the latest development involving structured settlement factoring transactions that have come under scrutiny in Maryland since 2015, the Consumer Financial Protection Bureau has filed suit against factoring company Access Funding, LLC, alleging that the company engaged in unfair and deceptive practices that are prohibited by federal law. The transactions involve Maryland structured settlement payees who agreed to sell structured settlement payment rights to Access Funding companies in the past five years, and whose deals were approved by court orders in…

Read More Read More