Illinois Structured Settlement State Laws
If you live in Illinois and are interested in selling your structured settlement for cash, below is a brief overview that can be a good starting point in your research.
Illinois Law: Selling Structured Settlement Payments
If you are considering selling your future structured settlement payments for an immediate lump sum in Illinois, it's important to understand the laws surrounding this type of transfer. In addition to federal law, 50 states have their own laws that govern the process of transferring the rights of a structured settlement annuity.
Illinois Structured Settlement Law
In Illinois, the law surrounding the transfer of rights to future structured settlement payments is the Structural Settlement Protection Act.\
No direct or indirect transfer of structured settlement payment rights shall be effective and no structured settlement obligor or annuity issuer shall be required to make any payment directly or indirectly to any transferee of structured settlement payment rights unless the transfer has been approved in advance in a final court order based on express findings by such court that:
(1) the transfer is in the best interest of the payee, taking into account the welfare and support of the payee’s dependents;
(2) the payee has been advised in writing by the transferee to seek independent professional advice regarding the transfer and has either received such advice or knowingly waived in writing the opportunity to seek and receive such advice; and
(3) the transfer does not contravene any applicable statute or the order of any court or other government authority. (Source: P.A. 99-286, eff. 8-5-15.) (215 ILCS 153/20).
Structured Settlement Federal Law
To sell your future structured settlement payments, you'll need to comply with both state and federal law. These laws are in place to protect you. Knowing Structured Settlement Federal Law is important as it states the …… 26 U.S. Code 5891 also offers some helpful definitions and other rules for selling structured settlement rights. Read the full law here.