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Structured Settlement Purchase Agreement

Free structured settlement purchase agreement template — a factoring company buys a payee's future settlement payments for a lump sum, subject to court approval.

This free structured settlement purchase agreement covers 1. Payments Being Transferred, 2. Purchase Price, 3. Court Approval Required, 4. Disclosure Statement, 5. Independent Professional Advice with 7 clearly marked [placeholder] fields to fill in — built for small businesses and individuals documenting a loan or expense putting financial terms in writing so both sides have a clear, shared record. Copy it into your own word processor, fill in the placeholders, and review it — or adapt it — before use. It's part of docstoc's free document template library, alongside business, legal, real estate, finance, and HR templates. Every template here is free to copy with no signup required, and each one carries a plain disclaimer: this is a starting point for informational purposes, not a substitute for advice from a licensed professional in your jurisdiction.

Template — click to edit

Structured Settlement Purchase Agreement

Payee (Seller): [Name] · Purchaser: [Company Name] Original Settlement: dated [Date], Case No. [Number] Date of This Agreement: [Date]

1. Payments Being Transferred

Payee agrees to transfer the following future structured settlement payment(s) to Purchaser: [Describe payment amounts and dates being sold, e.g. "$[Amount] per month from [Date] through [Date]."]

2. Purchase Price

Purchaser will pay Payee a lump sum of [Amount] in exchange for the transferred payments, payable upon court approval and closing.

3. Court Approval Required

This transfer is not effective until approved by a court order under the [State] Structured Settlement Protection Act, finding the transfer is in Payee's best interest.

4. Disclosure Statement

Purchaser has provided Payee the disclosure statement required by law, including the discounted present value of the payments being sold and the effective discount rate.

5. Independent Professional Advice

Payee acknowledges having been advised of the right to seek independent professional advice (financial/legal/tax) before signing, [and has done so / has waived this in writing].

6. Cooling-Off Period

Payee may cancel this Agreement within [Number] days of signing by written notice to Purchaser, per applicable state law.

7. Conditions to Closing

This Agreement is conditioned on court approval and on the original insurer/annuity issuer being notified and not objecting where required.


Payee: ______________________ Date: ____________ Purchaser: ______________________ Date: ____________

*This is a heavily regulated transaction — nearly every state's Structured Settlement Protection Act requires the specific disclosure statement and court approval described above, and skipping either step can make the transfer void. Use an attorney experienced in these transfers on both sides.*

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What's included

Who this template is for

Freelancers & solo founders

Handling routine business paperwork without commissioning custom legal drafting for every document.

Small businesses

Standardizing recurring documents — leases, agreements, notices — across a growing operation.

Anyone reviewing before signing

Using a clear starting structure to understand what a document should cover, even if a lawyer finalizes it.

Informal lending & reimbursements

Money changing hands between people or a business and its team, without a bank's paperwork.

FAQ

Is this structured settlement purchase agreement template really free?

Yes. Like every template in docstoc's library, this structured settlement purchase agreement is free to use, with no account or signup needed to view, edit, or download it.

What does this structured settlement purchase agreement cover?

This finance template includes 1. Payments Being Transferred, 2. Purchase Price, 3. Court Approval Required, 4. Disclosure Statement. Fill in the [bracketed] placeholders, edit any clause online, then download a PDF — the docstoc.io footer stays on every export.

Is this legal advice?

No. This covers the standard structure, not the interest-rate limits, disclosure requirements, or tax implications that can apply depending on your state and the amount involved. Check those specifics with an accountant or financial attorney before you rely on it.

Can I edit the wording?

Yes. All 7 placeholder fields and every clause are editable right on the page — change what doesn't fit, then download an updated PDF anytime.

Where can I find more free templates like this?

Browse more free finance and related document templates in the docstoc library at /document-templates/.

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