§ 5-1708 — General provisions; construction

New York § 5-1708

• Jurisdiction: New York
• Law GOB: General Obligations
• Title 17: Structured Settlement Protection Act
• Art. 5: Creation, Definition and Enforcement of Contractual Obligations

Text

§ 5-1708. General provisions; construction. (a) The provisions of this\ntitle may not be waived by any payee.\n (b) Any transfer agreement entered into on or after the effective date\nof this title by a payee who resides in this state shall provide that\ndisputes under such transfer agreement, including any claim that the\npayee has breached the agreement, shall be determined in and under the\nlaws of this state. No such transfer agreement shall authorize the\ntransferee or any other party to confess judgment or consent to entry of\njudgment against the payee.\n (c) No transfer of structured settlement payment rights shall extend\nto any payments that are life-contingent unless, prior to the date on\nwhich the payee signs the transfer agreement, the transferee has\nestablished and has agreed to maintain procedures reasonably\nsatisfactory to the annuity issuer and the structured settlement obligor\nfor (i) periodically confirming the payee's survival, and (ii) giving\nthe annuity issuer and the structured settlement obligor prompt written\nnotice in the even of the payee's death.\n (d) No payee who proposes to make a transfer of structured settlement\npayment rights shall incur any penalty, forfeit any application fee or\nother payment, or otherwise incur any liability to the proposed\ntransferee or any assignee based on any failure of such transfer to\nsatisfy the conditions of this title.\n (e) Nothing contained in this title shall be construed to authorize\nany transfer of structured settlement payment rights in contravention of\nany statute or to imply that any transfer under a transfer agreement\nentered into prior to the effective date of this title is valid or\ninvalid.\n (f) Compliance with the requirements set forth in section 5-1703 of\nthis title and fulfillment of the conditions set forth in section 5-1705\nof this title shall be solely the responsibility of the transferee in\nany transfer of structured settlement payment rights, and neither the\nstructured settlement obligor nor the annuity issuer shall bear any\nresponsibility for, or any liability arising from, non-compliance with\nsuch requirements or failure to fulfill such conditions.\n (g) The assignee of any transfer agreement or any agreement executed\nin connection therewith, shall be subject to all claims and defenses of\nthe payee against the transferee arising from such transfer agreement\nnotwithstanding any agreement to the contrary. Recovery hereunder by the\npayee shall not exceed the amount owing to the assignee at the time the\nclaim or defense is asserted against the assignee. Rights of the payee\nunder this provision can be asserted affirmatively against a claim by\nthe assignee.\n