The law of torts has remained premised on the reasonable link between the defendant’s injury-causing act or conduct and the harm sustained. Product liability poses challenges to tort claimants who buy a generic product held out by many manufacturers who may not be identifiable down the road when a personal injury arises. But with the evolution of the law, the doctrine of alternate liability emerged to ameliorate the tort claimant’s causational woes. The theory found its way into American courts in 1948 and codified in Restatement (Second) of Torts § 433B(3), at 441-42 (1965). In its classic thrust, the doctrine of alternate liability mandates each hunter alleged to have negligently shot at the claimant to exculpate his bullet as the root of personal injury. In the absence of extenuating evidence, liability falls on the head of each hunter.
Michael Todd developed cardiac unrest after taking a weight loss supplement offered by as a generic product by a manufacturer online. Only two companies had received FDA approval at that juncture making it easier for the attorney to hunt down the actual wrongdoer. As it happens with product liability suits, the manufacturers wary of mass tort claims that loom large if a “test” suit like his is successful opted to resolve the claim by paying him compensation. But Todd would not receive all of his compensation money on the nail. Rather than a one-off lump sum payment, his attorney entered a structured settlement annuity which creates an intermittent stream of income cashable. In a financial world where everything works like a lottery, a fool and his money are soon parted. Todd craved to cash in a lump sum payment as a golden key to unlock any door.
Sell Structured Settlement
In For A Penny In For A Pound, Do Your Homework
Todd could not be caught off guard; he had time on his hands to cross-check the reputation structured settlement companies who made alluring offers. He headed off to the factoring market online combing through proposals pitched by structured settlement funding companies over the phone or Live Chats online. All that glitters is not gold, Todd questioned the novation expert on the net payment he would receive less “all” costs deductible before agreeing to enter into a sale agreement.
Why Were the Offers He Received Less Than What He Was Entitled?
The time value of money has been known to decline in future due to market volatility and inflation. By the same breath, the cost of living continues to rise by the day, and the present value of a dollar ranks higher than in the future. Todd’s aggregate payments amounted to $500,000; he would have to give up around 30% of their discounted present value using a discount of 4%.
How Does the Discount Rate Affect the Lump Sum Payment?
To Todd, the discount rate seemed very elusive as each company had a secret formula to compute the gross advance amount. But computation requires risk assessment and projection of yields of the investment. A shared premise amongst structured settlement funding companies for discount rates is the fusion of the concepts of time, factoring risks and value of money. The courts have abstained from capping the interest rates as this can prejudice sellers encountering insuperable economic handicaps. The court did not attack the discount rate applied to Todd’s transaction as he scooped 70% of the discounted value of the payments transferred.
After the Court’s Approval, the Deal is No Longer A Long Shot
A day late and a dollar short, without the court’s final order, the transaction remains void. Todd stayed on his toes up to the hearing date when he pitched up in court for examination by the judge. He narrated his financial hardship and assured the court he would not become a public burden in spite of frittering away all of the structured settlement periodic payments. Furthermore, he did not transfer the whole annuity but only a portion. A final court order was extracted by the attorney paving the way for the structured settlement funding company to release the lump sum payment.
Structured Settlement Payments Buyers on the Bleeding Edge of Factoring
SenecaOne provides each seller a factoring representative to guide them through the nitty-gritty of the transaction during the pre-contractual period. The company will convey a transfer agreement couched in line with statutory provisions and give you fair and reasonable terms.
Olive Branch Funding always rushes your transaction through the court bureaucratic system by adhering to procedural and substantive laws. They have little discount rates and a modicum of processing fees such as legal costs to bequeath the highest amount possible for the discounted value of your income stream.
Stone Street Capital has a wealth of experience in the industry to help you get your lump sum payout within the shortest time and for quick bucks. Their transfer agreement is written in plain English with a fair discount rate to ensure you get a fast sign off by the judge in your county.