Litigation

Cash Now Pusher Stone Street Capital has created a web page to try and position itself as being part of the structured settlement industry. Fakers eventually get exposed and here's an example with the impostor revealing language highlighted in blue.:

"Insurance companies have multiple roles in regard to structured settlements. They are often the defendant in a lawsuit, more often they are providing insurance coverage to one of their customers who has been sued. If a case is settled with a structured settlement, the insurance company will either purchase or issue an annuity that will pay the settlement recipient for the predetermined number of years. Settlement terms can range widely, paying recipient for as many as 10 - 40 years or for the remainder of the recipient?s life."

Download structured_settlement_market___stone_street_capital_05112008.pdf

Comments:

Cash Now pusher Stone Street Capital incorrectly states that insurance companies are often the defendant in a lawsuit. Perhaps if you are in a state like Louisiana where insurers can be sued, but I don't believe that subtlety came into their thinking in penning the statement.

Stone Street Capital also states that the insurance company (which they've already incorrectly stated is often the defendant in a lawsuit) "will either purchase or issue an annuity". Most structured settlement annuities are purchased by an assignee via qualified assignments. The defendant's insurance company (or as Stone Street would have it, the "insurance company defendant") does not "issue an annuity".

Some die hards in the "factoring industry" like Stone Street continue to follow the Patrick HIndert mantra set out on a concept map that there is primary market and a secondary market segment as part of one big structured settlement industry. It's a boring intellectual exercise but the reality is that there are two separate and distinct industries where there has been an attempt to forge together in name only by opportunists like Stone Street Capital, "pay per posts" that write for and link to them, and the like who feign expertise in structured settlements.

Consider the following substantial differences:

STRUCTURED SETTLEMENT INDUSTRY

1. Individuals and companies who place structured settlement annuities must hold a valid insurance license and be appointed by multiple annuity issuers. 
2. Licensed individuals must comply with state continuing education requirements, including regulations concerning advertising.

FACTORING INDUSTRY

1. There is no requirement to be licensed to be get someone a "cash now fix".  Not only are some factoring companies not required to be licensed, due to regulatory oversight, but a number of entities appear not to be registered to do business with the Secretary of State in all States in which they solicit the "cash now fix"
2. Other than FTC, "truth in advertsing" there are no state advertising laws in place to cover solicitation. This has fostered and encouraged the misuse of terms by factoring companies and bad business behavior, puportedly including factoring company representatives showing up unannounced on people's doorsteps. There are things that these people say that thsoe of us that are regulated would not be able to say.
3. Lack of regulation keeps the pushers "on the street corner", on your TV and in the darkest alley ways of the subliminal, targeting YOUR children, YOUR Dad, YOUR Mom, YOUR ward, your Aunt, some of whom are profoundly injured or emotionally vulnerable.

So there is no conundrum here. A cash now pusher is not part of an industry simply because of an inarticulate rendition of facts or marketing spin. Those that are regulated do not want to be lumped together or be associated with the acts of the unregulated factoring industry.

More supporting evidence of separate industries:

October 8, 1998 JG Wentworth website stated about what it does "Businesses have been doing it for years-they call it factoring. We call it Advanced Funding" Download welcome_to_j.G 10081998.pdf . This message continued through 2000 and 2001 Download welcome_to_the_j.G Wentworth 11282001.pdf  and into as late as August 2002, after the creation of IRC 5891. Download welcome_to_the_j.G Wentworth 08022002.pdf . THEN, in September 2002, JG Wentworth began to disassociate from the word "factoring"-what "businesses have been doing for years" in favor of "Advanced Funding" and for the first time unveiled its "structured settlement program" (as opposed to structured settlement factoring program) and officialy became a "cash now" pusher.Download welcome_to_the_j.G Wentworth 09222002 cash now first appearance.pdf . JG Wentworth began to refer to itself in advertising as a "finance company"

In 2004, JG Wentworth, for the first time outrageously claimed to be "the leader in structured settlements". The meta tags for the webpage relate the word "factoring" to an afterthoughtDownload j.G. Wentworth_ Advanced Funding _ Cash For Structured Settle 2004.pdf

The structured settlement industry is not about some old fart pushing you for a "cash now fix", or a bunch of idiots half smiling as they're screaming from balconies that they want "cash now" (which they really can't get "now"), or salesmen who imply you should trade a stable value asset with a high credit rating, for a discounted present value, with the idea of running out and purchasing another asset guaranteed to depreciate in value. But the face of the factoring industry is.