May 3, 2010

Northampton County judge cracks down on structured settlement transfers

Companies are finding it tougher in Northampton County Court to buy people's personal injury and other lawsuit settlements for pennies on the dollar.
Last month, Judge Leonard Zito bristled over one request, rejecting it as ''usurious, and worthy of contempt.'' But a review by The Morning Call found that despite a decade of court oversight, the industry routinely got away with deals that offered even less than the one that outraged Zito.
Since then, Zito has been assigned every case involving the agreements, known as structured-settlement transfers. The results have been predictable: Zito rejected two earlier this month, and expressed heavy scepticism Friday when he heard three others without issuing a ruling
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