The revelations of plaintiff attorney and Ad Litem being sued for not proposing a structured settlement annuity to their own client make it imperative that the attorney seek the advice and assistance of a competent Settlement Specialist representing the plaintiff who does not have a conflict of interest, whenever the circumstances warrant. (Without oversight from a Settlement Specialist representing the plaintiff, the net effect is that you are using the defendant's expert, who often shares commissions with his client.).
You should consider obtaining a signed statement from the client, legal guardian or ad-litem as well as requiring the client sign off on an actual quote. We suggest the following issues be a part of the statement:
- I understand and acknowledge that my attorney has recommended that I select a portion of my settlement to include a guarantee of tax-free future payments, commonly referred to as a structured settlement annuity.
- My attorney engaged the services of a competent Settlement Specialist with a duty to me, to assist in this presentation.
- I am aware that the law enables all principal and interest earned in a structured settlement annuity to be completely excluded from my gross income and that the federal government intended this as an exclusive gift for people like me who are recovering tort damages on account of a physical injury or physical sickness that I or an immediate family member have suffered.
- I acknowledge that, if I do not participate in a structured settlement, I will forever lose the capability of completely tax-free, guaranteed financial growth and that all earnings on any investment I may choose could be fully taxed at my highest income tax brackets.
- Should I plan to invest a portion of my settlement in investment accounts, I am rejecting the opportunely to use the variable structured settlement annuity that offers the potential for tax-free gains from stock and bond investment accounts.
- My attorney has warned me of the pitfalls of not selecting a portion of my recovery to include a structured settlement annuity and has informed me that due to unexpected events or circumstances, the majority of plaintiffs who do not participate in a structured settlement annuity deplete their funds and lose financial security.
- Furthermore, I understand this is my only opportunity to take advantage of a structured settlement annuity and that my decision cannot be changed or reversed at a later date.
- I acknowledge that I am also signing my name and rejecting the structured settlement annuity quotes offered to me.