{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/59.1-475.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/59.1-475.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/59.1-475.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/59.1-475.html"}],"law_id":77978,"edition_id":1,"section_id":77978,"structure_id":15684,"section_number":"59.1-475","catch_line":"Definitions","history":"1999, c. 993; 2001, c. 537; 2006, c. 786; 2016, cc. 273, 739.","full_text":"For purposes of this chapter:\n\t\t&#8220;Annuity issuer&#8221; means an insurer that has issued a contract to fund periodic payments under a structured settlement.\n\t\t&#8220;Applicable federal rate&#8221; means the most recently published applicable federal rate for determining the present value of an annuity, as prescribed by the U.S. Internal Revenue Service pursuant to 26 U.S.C. \u00a7 7520, as amended.\n\t\t&#8220;Assignee&#8221; means a party acquiring or proposing to acquire structured settlement payment rights directly or indirectly from a transferee of such rights.\n\t\t&#8220;Dependents&#8221; include a payee&#8217;s spouse and minor children and all other persons for whom the payee is legally obligated to provide support, including alimony.\n\t\t&#8220;Discounted present value&#8221; 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.\n\t\t&#8220;Gross advance amount&#8221; means the sum payable to the payee or for the payee&#8217;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.\n\t\t&#8220;Independent professional advice&#8221; means advice of an attorney, certified public accountant, actuary or other licensed professional adviser.\n\t\t&#8220;Interested parties&#8221; means, with respect to any structured settlement:\n\n1\n\nThe payee;2\n\nAny beneficiary irrevocably designated under the annuity contract to receive payments following the payee&#8217;s death or, if such beneficiary is a minor, the designated beneficiary&#8217;s parent or guardian;3\n\nThe annuity issuer;4\n\nThe structured settlement obligor; and5\n\nAny other party to such structured settlement that has continuing rights or obligations to receive or make payments under such structured settlement.\n\t\t\t&#8220;Net advance amount&#8221; means the gross advance amount less the aggregate amount of the actual and estimated transfer expenses required to be disclosed under subdivision 5 of &#xA7; 59.1-475.1.\n\t\t\t&#8220;Payee&#8221; means an individual who is receiving tax free payments under a structured settlement and proposes to make a transfer of payment rights thereunder.\n\t\t\t&#8220;Periodic payments&#8221; includes both recurring payments and scheduled future lump sum payments.\n\t\t\t&#8220;Qualified assignment agreement&#8221; means an agreement providing for a qualified assignment within the meaning of &#xA7; 130 of the United States Internal Revenue Code, United States Code Title 26, as amended from time to time.\n\t\t\t&#8220;Settled claim&#8221; means the original tort claim resolved by a structured settlement.\n\t\t\t&#8220;Structured settlement&#8221; means an arrangement for periodic payment of damages for personal injuries or sickness established by settlement or judgment in resolution of a tort claim.\n\t\t\t&#8220;Structured settlement agreement&#8221; means the agreement, judgment, stipulation, or release embodying the terms of a structured settlement.\n\t\t\t&#8220;Structured settlement obligor&#8221; means, with respect to any structured settlement, a party that has a continuing obligation to make periodic payments to the payee under a structured settlement agreement or a qualified assignment agreement.\n\t\t\t&#8220;Structured settlement payment rights&#8221; 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 the Commonwealth or the structured settlement agreement was approved by a court in the Commonwealth.\n\t\t\t&#8220;Terms of the structured settlement&#8221; 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 or other government authority that authorized or approved such structured settlement.\n\t\t\t&#8220;Transfer&#8221; means any sale, assignment, pledge, hypothecation, or other alienation or encumbrance of structured settlement payment rights made by a payee for consideration; however, the term &#8220;transfer&#8221; 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.\n\t\t\t&#8220;Transfer agreement&#8221; means the agreement providing for transfer of structured settlement payment rights.\n\t\t\t&#8220;Transfer expenses&#8221; 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, attorneys&#8217; fees, escrow fees, lien recordation fees, judgment and lien search fees, finders&#8217; fees, commissions, and other payments to a broker or other intermediary; however, &#8220;transfer expenses&#8221; shall not include preexisting obligations of the payee payable for the payee&#8217;s account from the proceeds of a transfer.\n\t\t\t&#8220;Transferee&#8221; means a party acquiring or proposing to acquire structured settlement payment rights through a transfer.","order_by":null,"text":{"0":{"id":279585,"text":"For purposes of this chapter:\n\t\t&#8220;Annuity issuer&#8221; means an insurer that has issued a contract to fund periodic payments under a structured settlement.\n\t\t&#8220;Applicable federal rate&#8221; means the most recently published applicable federal rate for determining the present value of an annuity, as prescribed by the U.S. Internal Revenue Service pursuant to 26 U.S.C. \u00a7 7520, as amended.\n\t\t&#8220;Assignee&#8221; means a party acquiring or proposing to acquire structured settlement payment rights directly or indirectly from a transferee of such rights.\n\t\t&#8220;Dependents&#8221; include a payee&#8217;s spouse and minor children and all other persons for whom the payee is legally obligated to provide support, including alimony.\n\t\t&#8220;Discounted present value&#8221; 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.\n\t\t&#8220;Gross advance amount&#8221; means the sum payable to the payee or for the payee&#8217;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.\n\t\t&#8220;Independent professional advice&#8221; means advice of an attorney, certified public accountant, actuary or other licensed professional adviser.\n\t\t&#8220;Interested parties&#8221; means, with respect to any structured settlement:","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1,"next_prefix":"1"},"1":{"id":279586,"text":"The payee;","type":"section","prefixes":["1"],"prefix":"1","entire_prefix":"1","prefix_anchor":"1","level":1,"prior_prefix":"","next_prefix":"2"},"2":{"id":279587,"text":"Any beneficiary irrevocably designated under the annuity contract to receive payments following the payee&#8217;s death or, if such beneficiary is a minor, the designated beneficiary&#8217;s parent or guardian;","type":"section","prefixes":["2"],"prefix":"2","entire_prefix":"2","prefix_anchor":"2","level":1,"prior_prefix":"1","next_prefix":"3"},"3":{"id":279588,"text":"The annuity issuer;","type":"section","prefixes":["3"],"prefix":"3","entire_prefix":"3","prefix_anchor":"3","level":1,"prior_prefix":"2","next_prefix":"4"},"4":{"id":279589,"text":"The structured settlement obligor; and","type":"section","prefixes":["4"],"prefix":"4","entire_prefix":"4","prefix_anchor":"4","level":1,"prior_prefix":"3","next_prefix":"5"},"5":{"id":279590,"text":"Any other party to such structured settlement that has continuing rights or obligations to receive or make payments under such structured settlement.\n\t\t\t&#8220;Net advance amount&#8221; means the gross advance amount less the aggregate amount of the actual and estimated transfer expenses required to be disclosed under subdivision 5 of &#xA7; 59.1-475.1.\n\t\t\t&#8220;Payee&#8221; means an individual who is receiving tax free payments under a structured settlement and proposes to make a transfer of payment rights thereunder.\n\t\t\t&#8220;Periodic payments&#8221; includes both recurring payments and scheduled future lump sum payments.\n\t\t\t&#8220;Qualified assignment agreement&#8221; means an agreement providing for a qualified assignment within the meaning of &#xA7; 130 of the United States Internal Revenue Code, United States Code Title 26, as amended from time to time.\n\t\t\t&#8220;Settled claim&#8221; means the original tort claim resolved by a structured settlement.\n\t\t\t&#8220;Structured settlement&#8221; means an arrangement for periodic payment of damages for personal injuries or sickness established by settlement or judgment in resolution of a tort claim.\n\t\t\t&#8220;Structured settlement agreement&#8221; means the agreement, judgment, stipulation, or release embodying the terms of a structured settlement.\n\t\t\t&#8220;Structured settlement obligor&#8221; means, with respect to any structured settlement, a party that has a continuing obligation to make periodic payments to the payee under a structured settlement agreement or a qualified assignment agreement.\n\t\t\t&#8220;Structured settlement payment rights&#8221; 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 the Commonwealth or the structured settlement agreement was approved by a court in the Commonwealth.\n\t\t\t&#8220;Terms of the structured settlement&#8221; 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 or other government authority that authorized or approved such structured settlement.\n\t\t\t&#8220;Transfer&#8221; means any sale, assignment, pledge, hypothecation, or other alienation or encumbrance of structured settlement payment rights made by a payee for consideration; however, the term &#8220;transfer&#8221; 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.\n\t\t\t&#8220;Transfer agreement&#8221; means the agreement providing for transfer of structured settlement payment rights.\n\t\t\t&#8220;Transfer expenses&#8221; 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, attorneys&#8217; fees, escrow fees, lien recordation fees, judgment and lien search fees, finders&#8217; fees, commissions, and other payments to a broker or other intermediary; however, &#8220;transfer expenses&#8221; shall not include preexisting obligations of the payee payable for the payee&#8217;s account from the proceeds of a transfer.\n\t\t\t&#8220;Transferee&#8221; means a party acquiring or proposing to acquire structured settlement payment rights through a transfer.","type":"section","prefixes":["5"],"prefix":"5","entire_prefix":"5","prefix_anchor":"5","level":1,"prior_prefix":"4"}},"ancestry":[{"id":15684,"edition_id":1,"name":"Structured Settlement Protection Act","identifier":"41","label":"chapter","depth":2,"order_by":1,"parent_id":12809,"metadata":{},"date_created":"2026-06-26 03:57:52","date_modified":"2026-06-26 03:57:52","permalink":{"id":261771,"object_type":"structure","relational_id":15684,"identifier":"41","token":"59.1\/41","url":"\/59.1\/41\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12809,"edition_id":1,"name":"Trade and Commerce","identifier":"59.1","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:54","date_modified":"2026-06-26 03:43:54","permalink":{"id":259521,"object_type":"structure","relational_id":12809,"identifier":"59.1","token":"59.1","url":"\/59.1\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":77978,"structure_id":15684,"section_number":"59.1-475","catch_line":"Definitions","url":"\/59.1-475\/","token":"59.1\/41\/59.1-475","metadata":false},{"id":63699,"structure_id":15684,"section_number":"59.1-475.1","catch_line":"Required disclosures to payee","url":"\/59.1-475.1\/","token":"59.1\/41\/59.1-475.1","metadata":false},{"id":60049,"structure_id":15684,"section_number":"59.1-476","catch_line":"Approval of transfers of structured settlement payment rights","url":"\/59.1-476\/","token":"59.1\/41\/59.1-476","metadata":false},{"id":69508,"structure_id":15684,"section_number":"59.1-476.1","catch_line":"Effects of transfer of structured settlement payment rights","url":"\/59.1-476.1\/","token":"59.1\/41\/59.1-476.1","metadata":false},{"id":78158,"structure_id":15684,"section_number":"59.1-477","catch_line":"Procedure for approval of transfers","url":"\/59.1-477\/","token":"59.1\/41\/59.1-477","metadata":false},{"id":77518,"structure_id":15684,"section_number":"59.1-477.1","catch_line":"General provisions, construction","url":"\/59.1-477.1\/","token":"59.1\/41\/59.1-477.1","metadata":false}],"next_section":{"id":63699,"structure_id":15684,"section_number":"59.1-475.1","catch_line":"Required disclosures to payee","url":"\/59.1-475.1\/","token":"59.1\/41\/59.1-475.1","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/59.1-475\/","history_text":"<p>This law was first created in 1999. The record of its establishment is cataloged in chapter <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?991+ful+CHAP0993\">993<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. It has been modified 3 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 2001, chapter <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?011+ful+CHAP0537\">537<\/a>; in 2006, chapter <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?061+ful+CHAP0786\">786<\/a>; in 2016, chapters <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?161+ful+CHAP0273\">273<\/a> and <a href=\"https:\/\/legacylis.virginia.gov\/cgi-bin\/legp604.exe?161+ful+CHAP0739\">739<\/a>.<\/p>","references":[{"id":78910,"section_number":"8.9A-406","catch_line":"Discharge of account debtor; notification of assignment; identification and proof of assignment; restrictions on assignment of accounts, chattel paper, payment intangibles, and promissory notes ineffective","order_by":null,"url":"\/8.9A-406\/"}],"refers_to":[{"id":63699,"section_number":"59.1-475.1","catch_line":"Required disclosures to payee","order_by":null,"url":"\/59.1-475.1\/"}],"permalink":{"id":261773,"object_type":"law","relational_id":77978,"identifier":"59.1-475","token":"59.1\/41\/59.1-475","url":"\/59.1-475\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/59.1-475\/","token":"59.1\/41\/59.1-475","dublin_core":{"Title":"Definitions","Type":"Text","Format":"text\/html","Identifier":"\u00a7 59.1-475","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t<section><p>For purposes of this chapter:\n\t\t&#8220;<span class=\"dictionary\">Annuity issuer<\/span>&#8221; means an insurer that has issued a <span class=\"dictionary\">contract<\/span> to fund <span class=\"dictionary\">periodic payments<\/span> under a structured settlement.\n\t\t&#8220;<span class=\"dictionary\">Applicable federal rate<\/span>&#8221; means the most recently published <span class=\"dictionary\">applicable federal rate<\/span> for determining the present value of an annuity, as prescribed by the U.S. Internal Revenue Service pursuant to 26 U.S.C. \u00a7&nbsp;7520, as amended.\n\t\t&#8220;<span class=\"dictionary\">Assignee<\/span>&#8221; means a <span class=\"dictionary\">party<\/span> acquiring or proposing to acquire <span class=\"dictionary\">structured settlement payment rights<\/span> directly or indirectly from a <span class=\"dictionary\">transferee<\/span> of such rights.\n\t\t&#8220;Dependents&#8221; include a <span class=\"dictionary\">payee<\/span>&#8217;s spouse and <span class=\"dictionary\">minor<\/span> children and all other persons for whom the <span class=\"dictionary\">payee<\/span> is legally obligated to provide support, including <span class=\"dictionary\">alimony<\/span>.\n\t\t&#8220;<span class=\"dictionary\">Discounted present value<\/span>&#8221; means the present value of future payments determined by discounting such payments to the present using the most recently published <span class=\"dictionary\">Applicable Federal Rate<\/span> for determining the present value of an annuity, as issued by the United States Internal Revenue Service.\n\t\t&#8220;<span class=\"dictionary\">Gross advance amount<\/span>&#8221; means the sum payable to the <span class=\"dictionary\">payee<\/span> or for the <span class=\"dictionary\">payee<\/span>&#8217;s account as consideration for a transfer of <span class=\"dictionary\">structured settlement payment rights<\/span> before any reductions for <span class=\"dictionary\">transfer expenses<\/span> or other deductions to be made from such consideration.\n\t\t&#8220;<span class=\"dictionary\">Independent professional advice<\/span>&#8221; means advice of an attorney, certified public accountant, actuary or other licensed professional adviser.\n\t\t&#8220;Interested parties&#8221; means, with respect to any structured settlement:<\/p><\/section>\n\t\t\t\t\t\t<section id=\"1\"><p><span class=\"prefix-number\">1.<\/span> The <span class=\"dictionary\">payee<\/span>; <a id=\"paragraph-279586\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-475\/#1\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"2\"><p><span class=\"prefix-number\">2.<\/span> Any beneficiary irrevocably designated under the annuity <span class=\"dictionary\">contract<\/span> to receive payments following the <span class=\"dictionary\">payee<\/span>&#8217;s death or, if such beneficiary is a <span class=\"dictionary\">minor<\/span>, the designated beneficiary&#8217;s parent or guardian; <a id=\"paragraph-279587\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-475\/#2\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"3\"><p><span class=\"prefix-number\">3.<\/span> The <span class=\"dictionary\">annuity issuer<\/span>; <a id=\"paragraph-279588\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-475\/#3\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"4\"><p><span class=\"prefix-number\">4.<\/span> The structured settlement obligor; and <a id=\"paragraph-279589\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-475\/#4\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t<section id=\"5\"><p><span class=\"prefix-number\">5.<\/span> Any other <span class=\"dictionary\">party<\/span> to such structured settlement that has continuing rights or obligations to receive or make payments under such structured settlement.\n\t\t\t&#8220;<span class=\"dictionary\">Net advance amount<\/span>&#8221; means the <span class=\"dictionary\">gross advance amount<\/span> less the aggregate amount of the actual and estimated <span class=\"dictionary\">transfer expenses<\/span> required to be disclosed under subdivision 5 of &#xA7; <a class=\"law\" title=\"Required disclosures to payee\" href=\"\/59.1-475.1\/\">59.1-475.1<\/a>.\n\t\t\t&#8220;<span class=\"dictionary\">Payee<\/span>&#8221; means an individual who is receiving tax free payments under a structured settlement and proposes to make a transfer of payment rights thereunder.\n\t\t\t&#8220;<span class=\"dictionary\">Periodic payments<\/span>&#8221; includes both recurring payments and scheduled future lump sum payments.\n\t\t\t&#8220;<span class=\"dictionary\">Qualified assignment agreement<\/span>&#8221; means an agreement providing for a qualified assignment within the meaning of &#xA7; 130 of the United States Internal Revenue Code, United States Code Title 26, as amended from time to time.\n\t\t\t&#8220;<span class=\"dictionary\">Settled claim<\/span>&#8221; means the original <span class=\"dictionary\">tort<\/span> claim resolved by a structured settlement.\n\t\t\t&#8220;Structured settlement&#8221; means an arrangement for periodic payment of <span class=\"dictionary\">damages<\/span> for personal injuries or sickness established by settlement or <span class=\"dictionary\">judgment<\/span> in resolution of a <span class=\"dictionary\">tort<\/span> claim.\n\t\t\t&#8220;<span class=\"dictionary\">Structured settlement agreement<\/span>&#8221; means the agreement, <span class=\"dictionary\">judgment<\/span>, <span class=\"dictionary\">stipulation<\/span>, or release embodying the terms of a structured settlement.\n\t\t\t&#8220;Structured settlement obligor&#8221; means, with respect to any structured settlement, a <span class=\"dictionary\">party<\/span> that has a continuing obligation to make <span class=\"dictionary\">periodic payments<\/span> to the <span class=\"dictionary\">payee<\/span> under a <span class=\"dictionary\">structured settlement agreement<\/span> or a <span class=\"dictionary\">qualified assignment agreement<\/span>.\n\t\t\t&#8220;<span class=\"dictionary\">Structured settlement payment rights<\/span>&#8221; means rights to receive <span class=\"dictionary\">periodic payments<\/span> under a structured settlement, whether from the structured settlement obligor or the <span class=\"dictionary\">annuity issuer<\/span>, where the <span class=\"dictionary\">payee<\/span> is domiciled in the Commonwealth or the <span class=\"dictionary\">structured settlement agreement<\/span> was approved by a <span class=\"dictionary\">court<\/span> in the Commonwealth.\n\t\t\t&#8220;Terms of the structured settlement&#8221; include, with respect to any structured settlement, the terms of the <span class=\"dictionary\">structured settlement agreement<\/span>, the annuity <span class=\"dictionary\">contract<\/span>, any <span class=\"dictionary\">qualified assignment agreement<\/span>, and any <span class=\"dictionary\">order<\/span> or other approval of any <span class=\"dictionary\">court<\/span> or other government authority that authorized or approved such structured settlement.\n\t\t\t&#8220;Transfer&#8221; means any sale, assignment, pledge, hypothecation, or other alienation or encumbrance of <span class=\"dictionary\">structured settlement payment rights<\/span> made by a <span class=\"dictionary\">payee<\/span> for consideration; however, the term &#8220;transfer&#8221; shall not include the creation or perfection of a security interest in <span class=\"dictionary\">structured settlement payment rights<\/span> 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 <span class=\"dictionary\">structured settlement payment rights<\/span>.\n\t\t\t&#8220;<span class=\"dictionary\">Transfer agreement<\/span>&#8221; means the agreement providing for transfer of <span class=\"dictionary\">structured settlement payment rights<\/span>.\n\t\t\t&#8220;<span class=\"dictionary\">Transfer expenses<\/span>&#8221; means all expenses of a transfer that are required under the <span class=\"dictionary\">transfer agreement<\/span> to be paid by the <span class=\"dictionary\">payee<\/span> or deducted from the <span class=\"dictionary\">gross advance amount<\/span>, including, without limitation, <span class=\"dictionary\">court<\/span> filing fees, attorneys&#8217; fees, escrow fees, <span class=\"dictionary\">lien<\/span> recordation fees, <span class=\"dictionary\">judgment<\/span> and <span class=\"dictionary\">lien<\/span> search fees, finders&#8217; fees, commissions, and other payments to a broker or other intermediary; however, &#8220;<span class=\"dictionary\">transfer expenses<\/span>&#8221; shall not include preexisting obligations of the <span class=\"dictionary\">payee<\/span> payable for the <span class=\"dictionary\">payee<\/span>&#8217;s account from the proceeds of a transfer.\n\t\t\t&#8220;<span class=\"dictionary\">Transferee<\/span>&#8221; means a <span class=\"dictionary\">party<\/span> acquiring or proposing to acquire <span class=\"dictionary\">structured settlement payment rights<\/span> through a transfer. <a id=\"paragraph-279590\" class=\"section-permalink\" href=\"https:\/\/vacode.org\/59.1-475\/#5\"><i class=\"fa fa-link\"><\/i><\/a><\/p><\/section>","plain_text":"                                 CODE OF VIRGINIA\n\nDEFINITIONS (\u00a7 59.1-475)\n\nFor purposes of this chapter:\n\t\t&#8220;Annuity issuer&#8221; means an insurer that has issued a contract to\nfund periodic payments under a structured settlement.\n\t\t&#8220;Applicable federal rate&#8221; means the most recently published\napplicable federal rate for determining the present value of an annuity, as\nprescribed by the U.S. Internal Revenue Service pursuant to 26 U.S.C. \u00a7 7520,\nas amended.\n\t\t&#8220;Assignee&#8221; means a party acquiring or proposing to acquire\nstructured settlement payment rights directly or indirectly from a transferee of\nsuch rights.\n\t\t&#8220;Dependents&#8221; include a payee&#8217;s spouse and minor children and\nall other persons for whom the payee is legally obligated to provide support,\nincluding alimony.\n\t\t&#8220;Discounted present value&#8221; means the present value of future\npayments determined by discounting such payments to the present using the most\nrecently published Applicable Federal Rate for determining the present value of\nan annuity, as issued by the United States Internal Revenue Service.\n\t\t&#8220;Gross advance amount&#8221; means the sum payable to the payee or for\nthe payee&#8217;s account as consideration for a transfer of structured\nsettlement payment rights before any reductions for transfer expenses or other\ndeductions to be made from such consideration.\n\t\t&#8220;Independent professional advice&#8221; means advice of an attorney,\ncertified public accountant, actuary or other licensed professional adviser.\n\t\t&#8220;Interested parties&#8221; means, with respect to any structured\nsettlement:\n\n1. The payee;\n\n2. Any beneficiary irrevocably designated under the annuity contract to receive\npayments following the payee&#8217;s death or, if such beneficiary is a minor,\nthe designated beneficiary&#8217;s parent or guardian;\n\n3. The annuity issuer;\n\n4. The structured settlement obligor; and\n\n5. Any other party to such structured settlement that has continuing rights or\nobligations to receive or make payments under such structured settlement.\n\t\t\t&#8220;Net advance amount&#8221; means the gross advance amount less the\naggregate amount of the actual and estimated transfer expenses required to be\ndisclosed under subdivision 5 of &#xA7; 59.1-475.1.\n\t\t\t&#8220;Payee&#8221; means an individual who is receiving tax free payments\nunder a structured settlement and proposes to make a transfer of payment rights\nthereunder.\n\t\t\t&#8220;Periodic payments&#8221; includes both recurring payments and\nscheduled future lump sum payments.\n\t\t\t&#8220;Qualified assignment agreement&#8221; means an agreement providing for\na qualified assignment within the meaning of &#xA7; 130 of the United States\nInternal Revenue Code, United States Code Title 26, as amended from time to\ntime.\n\t\t\t&#8220;Settled claim&#8221; means the original tort claim resolved by a\nstructured settlement.\n\t\t\t&#8220;Structured settlement&#8221; means an arrangement for periodic payment\nof damages for personal injuries or sickness established by settlement or\njudgment in resolution of a tort claim.\n\t\t\t&#8220;Structured settlement agreement&#8221; means the agreement, judgment,\nstipulation, or release embodying the terms of a structured settlement.\n\t\t\t&#8220;Structured settlement obligor&#8221; means, with respect to any\nstructured settlement, a party that has a continuing obligation to make periodic\npayments to the payee under a structured settlement agreement or a qualified\nassignment agreement.\n\t\t\t&#8220;Structured settlement payment rights&#8221; means rights to receive\nperiodic payments under a structured settlement, whether from the structured\nsettlement obligor or the annuity issuer, where the payee is domiciled in the\nCommonwealth or the structured settlement agreement was approved by a court in\nthe Commonwealth.\n\t\t\t&#8220;Terms of the structured settlement&#8221; include, with respect to any\nstructured settlement, the terms of the structured settlement agreement, the\nannuity contract, any qualified assignment agreement, and any order or other\napproval of any court or other government authority that authorized or approved\nsuch structured settlement.\n\t\t\t&#8220;Transfer&#8221; means any sale, assignment, pledge, hypothecation, or\nother alienation or encumbrance of structured settlement payment rights made by\na payee for consideration; however, the term &#8220;transfer&#8221; shall not\ninclude the creation or perfection of a security interest in structured\nsettlement payment rights under a blanket security agreement entered into with\nan insured depository institution, in the absence of any action to redirect the\nstructured settlement payments to such insured depository institution, or an\nagent or successor in interest thereof, or otherwise to enforce such blanket\nsecurity interest against the structured settlement payment rights.\n\t\t\t&#8220;Transfer agreement&#8221; means the agreement providing for transfer\nof structured settlement payment rights.\n\t\t\t&#8220;Transfer expenses&#8221; means all expenses of a transfer that are\nrequired under the transfer agreement to be paid by the payee or deducted from\nthe gross advance amount, including, without limitation, court filing fees,\nattorneys&#8217; fees, escrow fees, lien recordation fees, judgment and lien\nsearch fees, finders&#8217; fees, commissions, and other payments to a broker or\nother intermediary; however, &#8220;transfer expenses&#8221; shall not include\npreexisting obligations of the payee payable for the payee&#8217;s account from\nthe proceeds of a transfer.\n\t\t\t&#8220;Transferee&#8221; means a party acquiring or proposing to acquire\nstructured settlement payment rights through a transfer.\n\nHISTORY: 1999, c. 993; 2001, c. 537; 2006, c. 786; 2016, cc. 273, 739.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}