Transfer Agreement Does Not Disclose Prior Transfers
. Block 18.3 Article 2.3 Transfers of Structured Settlement Payment Rights
New York State: Transfer Agreement Does Not Disclose Prior Transfers: Some New York Courts Think it Should
“The Court is of the view that in order to assess the overall best interest of the payee, and the welfare of the payee’s dependents, the application should disclose whether other periodic payments have been transferred, the date of such transfer(s), and the consideration received” N.Y. Sup. Ct. Index No 207392, Apr. 29, 2003 Decision/Order at 5.
Experts Daniel W. Hindert and Craig H. Ulman inform us that “transfer applications do not generally include such information. Nor do they include information about other instances in which proposed transfers by a payee may have been disapproved by other courts.
When a transfer application has been disapproved in one forum (or withdrawn in response to opposition), it is not uncommon for a similar application, making no reference to the application that was disapproved (or withdrawn), to be filed in another forum.”
It is not uncommon to see in California Courts, full disclosure of all transfers made in the transfer agreement.