PART I of IV of §10135. “Transfers governed by article; Requirements
There are three (3) types of transfers governed by Article 2.3, §10135 and there are two (2) requirements in this section that deal with residency.
This article will cover one (1) of the three (3) types of transfers. Following articles (Part II, III, IV, V, VI) will cover the remainder of the abovementioned topics respectively according to the lay out of §10135. The topics are surprisingly brief and informative.
- First type of transfer
“(a) This article is only applicable to transfers entered into on or after January 1, 2000.” If you entered into contract before 2000, then, section 10135 does not apply to you. Best to consult a professional, or an independent professional adviser as soon as possible if you believe this is the case with you, or not!
This was added because of urgency legislation in October 10, 1999. California Senate Bill 491 rocked the structured settlement world, and changed the scope and purpose of structured settlement transfers.
It says this because before 2000,
- no disclosure was necessary,
- notices to all other interested parties were never sent out,
- there were no conditions as to fairness for the consumer or,
- compliance of the law by conglomerate companies buying, selling, and transferring consumers’ payment rights.
Before 2000 there were no
- agreements with authorities that makes the contract void and unenforceable if the law was broken
- the Attorney General was not involved
It makes sense to not apply new rules to cases before the year 2000.
Find out about the other two types of transfers governed by § 10135, and the 2 requirements under § 10135 (the requirements are about residence/domicile) by reading our next blogs, Part II, III, IV, V, and VI about § 10135.