Sometimes when a plaintiff settles a case for a large sum of money, the defendant, the plaintiff's attorney, or a financial planner consulted in association with the settlement, will propose paying the settlement in installments over time rather than in a single lump sum. When a settlement is paid in this manner it is called a "structured settlement". Often the structured settlement will be created through the purchase of one or more annuities, which guarantee the future payments.
A structured settlement can provide for payment in pretty much any schedule the parties choose. For example, the settlement may be paid in annual installments over a number of years, or it may be paid in periodic lump sums every few years.
Source | Forex Update | http://adeel-forex-update.blogspot.com/2009/08/what-is-structured-settlement.html
Very good, straight to the point definition. I have been looking up information on how to sell a structured settlement. I first wanted to figure out what a structured settlement is. This article was very helpful. Thank you so much.
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