Settlement Preservation Trusts (SPT’s) may be a good choice when a structured settlement is either not available or desired. Perhaps the defense has said they simply will not cooperate with a structured settlement and a Court Ordered Structured Settlement (COSS) is not an option. Or perhaps the case has already been settled and funds have already been paid to your trust account and releases have been executed. Rather than simply distributing the cash to the claimant, which may not be in their best interests for a variety of reasons, safeguarding some or all of those funds in a Settlement Preservation Trust may be a viable alternative.
SPT’s are irrevocable trusts and can be customized to fit nearly any situation. Perhaps an injured client is uncertain if they will need to tap the SPT for uncertain future medical expenses. Or perhaps the claimant just needs the spendthrift protections for a SPT to avoid premature dissipation of their settlement recovery. Whatever the reason, SPT’s may be just the vehicle for certain settlements. Your plaintiff structured settlement specialist can put you in touch with the right product for the right situation.