Michigan Legislative Committee Passes Structured Settlement Measure

A measure that will safeguard injured victims’ settlements was passed Wednesday by the Michigan Senate Financial Services Committee, making Michigan the latest state to consider a measure to ensure that injured victims are protected from companies seeking to buy injury compensation settlements or structured settlements at sharp discounts.

House Bill 5066 passed the Senate committee on a vote of 6-0. The full Senate is expected to consider the legislation in the next few weeks.

The legislation would require advance court approval for all settlement purchases to ensure victims are fully aware of their choices and the consequences if approached by a settlement purchaser.

Several states already require some court approval of structured settlements.