Case Number: ES017836 Hearing Date: June 12, 2014 Dept: A

In Re Reykeisha Taylor

PETITION FOR APPROVAL OF TRANSFER OF PAYMENT RIGHTS UNDER A STRUCTURED SETTLEMENT

Calendar: 17
Case No: ES017836
Date: 6/13/14

MP: Petitioner, Catalina Structured Funding, Inc.
RP: None

RELIEF REQUESTED:
Order approving transfer of structured settlement payments from Reykeisha Taylor to Catalina Structured Funding, Inc.

DISCUSSION:
This Petition was filed by Catalina Structured Funding Inc. in order to obtain approval of a transfer of Reykeisha Taylor’s rights to obtain payments under a structured settlement. Reykeisha Taylor received these rights under a settlement agreement that resolved a wrongful death claim regarding her father. Reykeisha Taylor is currently 20 years old.

This hearing concerns the request of Catalina Structured Funding, Inc. for approval of Reykeisha Taylor transferring a right to future payments totaling $320,000. The net present value of the right to the future payments is $267,501.72. Reykeisha Taylor will receive a payment of $140,862.60 in exchange for transferring her right to the future payments.

The Petitioner filed an acknowledgement of receipt on May 19, 2014 that demonstrates that Reykeisha Taylor received notice of this hearing and a copy of the Petition.

California regulates the transfers of structured settlement rights with Insurance Code sections 10134 to 10139.5. Under Insurance Code section 10139.5, a transfer of structured settlement payment rights is not effective unless the transfer has been approved in advance in a final court order. In order to approve the transfer, the Court must make the following findings:

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 that advice or knowingly waived that advice in writing.
3) The transferee has provided the payee with a disclosure form that complies with Insurance Code section 10136 and the transfer agreement complies with Insurance Code sections 10136 and 10138.
4) The transfer does not contravene any applicable statute or the order of any court or other government authority.
5) The payee reasonably understands the terms of the transfer agreement, including the terms set forth in the disclosure statement required by Insurance Code section 10136.
6) The payee reasonably understands and does not wish to exercise the payee’s right to cancel the transfer agreement.

A review of the petition indicates the following:

1) Reykeisha Taylor believes it is in her best interest to enter into this transaction because she seeks to use the money to purchase a home (Taylor decl., attached without a tab to Petition, paragraph 7) Ms. Taylor has one dependent, a 14 month old daughter, Jaylyn White (Taylor decl., paragraph 4);
2) Reykeisha Taylor has been advised in writing to seek independent professional advice (Taylor decl., paragraph 11; see copy of notice signed by Ms. Taylor in exhibit B to Petition);
3) Catalina Structured Funding, Inc. provided a disclosure form that complies with Insurance Code section 10136 (exhibit B to Petition) and a transfer agreement that complies with Insurance Code sections 10136 and 10138 (exhibit A to Petition);
4) the transfer will not contravene any applicable statute or known order of a Court or other government authority; and
5) Reykeisha Taylor understands the terms of the transfer agreement (Taylor decl., paragraph 13).

This review of the Petition reveals that it includes the evidence necessary to make the findings required under Insurance Code section 10139.5. Since the evidence establishes that Reykeisha Taylor has been advised of her rights, that she understands the terms of the transfer agreement, and that she believes it is in her best interests, the Court will grant the Petition and approve the transfer of Ms. Taylor’s right to future payments to the Petitioner.

RULING:
Grant petition and approve the transfer.