§ 51-12-72 — Definitions

Georgia § 51-12-72

• Jurisdiction: Georgia
• Title: 51

Text

As used in this article, the term: (1) "Annuity issuer" means an insurer that has issued a contract to fund periodic payments under a structured settlement. (2) "Assignee" means a person or entity acquiring or proposing to acquire structured settlement payments from a structured settlement purchase company or transferee after, or concurrently with, the transfer by the payee to the structured settlement purchase company or transferee. (3) "Dependents" include a payee's spouse and minor children and all other persons for whom the payee is legally obligated to provide support, including alimony. (4) "Discounted present value"' means the present value of future payments determined by discounting such payments to the present using the most recently published Applicable Federal Rate for determining the present value of an annuity, as issued by the United States Internal Revenue Service. (5) "Gross advance amount" means the sum payable to the payee or for the payee's account as consideration for a transfer of structured settlement payment rights, before any reductions for transfer expenses or other deductions to be made from such consideration. (6) "Independent professional advice" means advice of an attorney, certified public accountant, actuary, or other licensed professional adviser. (7) "Interested party" means, with respect to any structured settlement, the payee, any beneficiary irrevocably designated under the annuity contract to receive payments following the payee's death, the annuity issuer, the structured settlement obligor, and any party to the structured settlement that has continuing obligations to make payments under the structured settlement. (8) "Net advance amount" means the gross advance amount, less the aggregate amount of the actual and estimated transfer expenses required to be disclosed under paragraph (5) of subsection (a) of Code Section 51-12-76 . (9) "Payee" means an individual who is receiving tax free payments under a structured settlement and proposes to make a transfer of payment rights thereunder. (10) "Periodic payments" includes both recurring payments and scheduled future lump sum payments. (11) "Qualified assignment agreement" means an agreement providing for a qualified assignment within the meaning of Section 130 of the United States Internal Revenue Code, United States Code Title 26, as amended. (12) "Renewal date" means the date on which a registered structured settlement purchase company is required to have renewed their registration under this statute, which date shall be one year after the initial registration or any subsequent renewal. (13) "Structured settlement" means an arrangement for periodic payment of damages for personal injuries or sickness established by settlement or judgment in resolution of a tort claim. (14) "Structured settlement agreement" means the agreement, judgment, stipulation, or release embodying the terms of a structured settlement. (15) "Structured settlement obligor" means, with respect to any structured settlement, the party that has the continuing obligation to make periodic payments to the payee under a structured settlement agreement or qualified assignment agreement. (16) "Structured settlement payment rights" means rights to receive periodic payments under a structured settlement, whether from the structured settlement obligor or the annuity issuer, where the payee is domiciled in this state or the structured settlement agreement was approved by a court in this state. (17) "Structured settlement purchase company" means a person that acts as a transferee in this state and who is registered with the Secretary of State pursuant to Code Section 51-12-73 . (18) "Structured settlement transfer proceeding" means a court proceeding filed by a structured settlement purchase company seeking court approval of a transfer in accordance with this article. (19) "Terms of the structured settlement" include, with respect to any structured settlement, the terms of the structured settlement agreement, the annuity contract, any qualified assignment agreement, and any order or other approval of any court. (20) "Transfer" means any sale, assignment, pledge, hypothecation, or other alienation or encumbrance of structured settlement payment rights made by a payee for consideration. Such term shall not include the creation or perfection of a security interest in structured settlement payment rights under a blanket security agreement entered into with an insured depository institution, in the absence of any action to redirect the structured settlement payments to such insured depository institution, or an agent or successor in interest thereof, or otherwise to enforce such blanket security interest against the structured settlement payment rights. (21) "Transfer agreement" means the agreement providing for a transfer of structured settlement payment rights. (22) "Transfer expense" means all expenses of a transfer that are required under the transfer agreement to be paid by the payee or deducted from the gross advance amount, including, without limitation, court filing fees, attorney fees, escrow fees, lien recordation fees, judgment and lien search fees, finders' fees, commissions, and other payments to a broker or other intermediary. Such term shall not include preexisting obligations of the payee payable for the payee's account from the proceeds of the transfer. (23) "Transfer order" means an order approving a transfer in accordance with Code Section 51-12-77 . (24) "Transferee" means a party acquiring or proposing to acquire structured settlement payment rights through a transfer.

Legislative History

Added by 2021 Ga. Laws 275,§ 1, eff. 7/1/2021.