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HomeMy WebLinkAbout12-1027 IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL DIVISION IN RE: JOINT PETITION OF SENECA ONE, LLC No. dU a- 1 Ctv L AND JAMES WRIGHT, TO TRANSFER STRUCTURED SETTLEMENT PAYMENT RIGHTS JOINT PETITION TO TRANSFER STRUCTURED SETTLEMENT PAYMENT RIGHTS C7 r?? i?t ?Y ? :7-- t`n ? _ 7 ?!^ =? ? :? rah to * - ? ?- C-D Petitioners, SENECA ONE, LLC and JAMES WRIGHT, hereby submit the following Joint Petition to Transfer Structured Settlement Payment Rights pursuant to, and in compliance with, the Structured Settlement Protection Act, 40 P.S. §§ 4001-4009 ("the Act"), and Pa.R.C.P. 229.2, and in support state as follows: 1. This is a Joint Petition brought by both, SENECA ONE, LLC and JAMES WRIGHT, to the extent that both parties have a unified and common interest in effectuating the within proposed transfer pursuant to the Act. 2. Joint Petitioner, SENECA ONE, LLC, is a Limited Liability Company in the business of purchasing periodic payments and therefore a "Transferee" as defined by 40 P.S. § 4002, having a principal place of business at 7920 Norfolk Avenue, Suite 300, Bethesda, Maryland 20814. 3. Joint Petitioner, and "Payee", JAMES WRIGHT, is an adult individual whose date of birth is December 4, 1968 and who resides at 1071 Lancaster Blvd., Apt. 14, Mechanicsburg, Cumberland County, Pennsylvania 17055. I I5Pd aA? Ck 14 lagog P,wa-?i r-78 f + 4. This Court has jurisdiction to determine the merits of this petition pursuant to the Act, because the Payee is domiciled in Cumberland County, Pennsylvania. 40 P.S. § 4004. 5. As the result of a wrongful death claim, Payee is entitled to receive guaranteed monthly payments of $776.16, beginning on February 1, 2012 continuing through and including January 1, 2036, with an annual increase of 2% every February; which payments are reflected in the Metropolitan Life "Benefits Letter" dated January 18, 2012, attached hereto as Exhibit "A". 6. By operation of a Uniform Qualified Assignment, the obligation to make these payments is held by MetLife Tower Resources Group, Inc. (the Structured "Settlement Obligor") as defined by 40 P.S. § 4002. MetLife Tower Resources Group, Inc. has a service address of 1095 Avenue of the Americas New York, NY 10036. 7. The obligation was funded through the issuance of an annuity by Metropolitan Life Insurance Company, (the "Annuity Issuer"). Metropolitan Life Insurance Company has a service address of 1095 Avenue of the Americas New York, NY 10036. 8. On January 10, 2012, Payee executed a "Transfer and Assignment Agreement," (the " Agreement"), a true and correct copy of which is attached hereto as Exhibit "B". The Agreement provides for the assignment of Payee's right and interest in receiving Two Hundred Forty (240) monthly payments in the amount of $550.00, beginning February 1, 2016 continuing through and including January 1, 2036, increasing by 2% every February to SENECA ONE, LLC (the "Transferee").1 9. The rights to receive the payments described above at paragraph 4, and reflected in Exhibit "A", are exclusive to the Payee. He has never pledged, sold, assigned, transferred, or otherwise encumbered the rights to receive these payments. ' Pursuant to Rule 229.2, SENECA ONE has attached verification in support of the Joint Petition. Payee, JAMES WRIGHT, is a joint petitioner however he is not represented by counsel for the Transferee. Page 2 of 8 { 10. The Transfer Agreement was executed by the Transferee on January 10, 2012. 11. Payee shall retain all right and interest in the remaining payments not assigned. 12. Payee has completed the "Payee's Affidavit in Support of Petition" required by Rule 229.2, a copy of which is attached hereto as Exhibit "C". As set forth in further detail in the Affidavit, the purpose of this transaction is to secure an apartment and pre-pay rent. 13. Payee is 43 years old, married with one (1) child. 14. Payee has been provided, and has acknowledged receipt at least 10 days prior to receipt of the Transfer Agreement, of the "Transfer Disclosure" required by 40 P.S. § 4003 (a)(2), attached and incorporated herein by reference as Exhibit "D". As set forth in greater detail in the Transfer Disclosure, the following terms have been disclosed to the Payee: a. The amounts and due dates of the structured settlement payments to be transferred are: Two Hundred Forty (240) monthly payments in the amount of $550.00, beginning February 1, 2016 continuing through and including January 1, 2036, increasing by 2% every February. b. The aggregate amount of the structured settlement payments to be transferred is $160,362.64. C. The discounted present value of the payments transferred using the most recently published applicable federal rate for determining the value of an annuity is $127,393.92. d. The federal discount rate used to determine the discounted present value is 1.6 percent. e. The gross amount payable to Payee in exchange for the transferred payments is $24,050.48. E The net amount payable to Payee after deduction of legal fees, costs, expenses and processing fees is $24,050.48. g. The quotient is 18.8%. h. The amount of penalty and aggregate amount of any liquidated damages inclusive of penalties payable by the Payee in the Page 3 of 8 t 1 event of any breach of the Transfer Agreement by the Petitioner is: NONE. 15. Based on the net amount that the Payee will receive from this transaction ($24,050.48), and the amounts and timing of the structured settlement payments that would be assigned, the Payee is, in effect, paying interest at the rate of 16.87% per year. 16. Payee has been provided, and has acknowledged receipt, at least 10 days prior to receipt of the Transfer Agreement, of the written "Notice" in bold print 12-point type as required by 40 P.S. § 4003 (b). A true and correct copy of Payee's acknowledgement of the receipt of the § 4003 (b) Notice is attached as Exhibit "E". 17. Payee acknowledges that he has been advised to obtain independent professional advice regarding the consequences, implications, and tax effects of the transaction, and has expressly waived such advice as set forth in the "Acknowledgment" attached to this Joint Petition as Exhibit "F". 18. The transfer complies with the requirements of the Act, 40 P.S. §§ 4001-4009, and will not contravene other applicable Federal or State statutes or regulations or any applicable law limiting the transfer of workers' compensation claims. (See, Certification of Ronald E. Reitz, attached as Exhibit "G"). 19. Joint Petitioners, SENECA ONE, LLC and JAMES WRIGHT, respectfully request that the Court sign an order approving this transfer which constitutes a "qualified order" for purposes of 26 U.S.C.A § 5891. 20. Payee has seriously contemplated this transaction, and due to his personal circumstances and financial needs, believes that this transfer is in his best interests. 21. Payee acknowledges that Margolis Edelstein and/or Ronald E. Reitz have not been engaged to render professional advice with respect to the advisability, or the implications of Page 4 of 8 x the transfer, including the tax ramifications of the transfer. Counsel has been engaged solely to prepare and present the within Joint Petition, based upon Payee's independent determination and professional advice obtained from others, with respect to the advisability and ramifications of the transfer. 22. Pursuant to Cumberland County Local Rule 208.3(a)(2), Payee has had one other structured settlement matter decided by this Honorable Court, in which a previous structured settlement transfer was approved. This matter was filed at Docket No. 2001-7204 (Civil). WHEREFORE, Joint Petitioners, SENECA ONE, LLC and JAMES WRIGHT, pray that this Honorable Court grant their Joint Petition to Transfer Structured Settlement Payment Rights. Respectfully submitted, Margolis E lst i By. Q Ronald E. z Attorney for Joint Petitioner, Seneca One LLC 525 William Penn Place, Suite 3300 Pittsburgh, PA 15219 412 355-4969 rreitz&margolisedelstein.com Page 5 of 8 z CERTIFICATE OF SERVICE I hereby certify that a true and correct copy of the foregoing JOINT PETITION TO TRANSFER STRUCTURED SETTLEMENT PAYMENT RIGHTS was served by certified mail, return-receipt requested, postage pre-paid, on this /&6-day of February 2012 on: Metropolitan Life Insurance Company 1095 Avenue of the Americas New York, NY 10036 MetLife Tower Resources Group, Inc. 1095 Avenue of the Americas New York, NY 10036 Metropolitan Life Insurance Company - MRMR Attn: Structured/Legal 2025 Leestown Rd, Suite J Lexington, KY 40511 (courtesy copy) and by regular U.S. mail, postage prepaid to: Simone M. Gremillion, Paralegal Seneca One, LLC 7920 Norfolk Avenue, Suite 300 Bethesda, MD 20814 ("Transferee") James Wright 1071 Lancaster Blvd., Apt. 14 Mechanicsburg, PA 17055-4469 Tammy Ausberry 4557 South Kirkman Road, Apt. 7 Orlando, FL 21811 M is ei J By: Ronald E. Reitz Attorney for Joint Petitioner, Seneca One LLC VERIFICATION I, JAMES WRIGHT, verify and state that the facts contained in the foregoing Joint Petition for Approval of a Transfer of Structured Settlement Payment Rights and the exhibits thereto are true and correct to the best of my knowledge, information and belief. I make this Verification subject to 18 PA. C.S.A. § 4904, relating to penalties for unsworn falsification to authorities. J YI: C, l 1"f Page 7 of 8 t , VI :PUFICATION 1, Michael Fazzari, am the In-House Counsel at Seneca One, LLC and I am fiamiliar with the file that Seneca One, LLC maintains for JAMES WRIGIIT and I am authorized to make this Verification. I verify and state that the facts contained in the foregoing Joint Petition for Approval of a Transfer of Structured Settlement Payment Rights by JAMES WRIGHT and the exhibits thereto are true and correct to the best of my knowledge, information and belief. I make this Verification subject to 18 PA. C.S.A. § 4904, relating to penalties for unsworn falsification to authorities. ?MICHAEL FAZZARI Page 8 of 8 MetLife Insurance Company US business - Annuity & Investment Operations RQ Box 14710 • Lexington, KY 40512-4710 Facsimile: 1-859-825-6700 January 18, 2012 James B. Wright 1071 Lancaster Blvd Apt 14 Mechanicsburg, PA 17055-4469 RE: Annuitant: James D. Wright Annuity 88051EPS Owner: -- 1t oLife-'T'ower Resources Group; Inc. Dcar 1 &. Wright: MetLife Per your request we are providing this letter as a verification of your available benefits as payee of the above referenced structured settlement. Please keep this letter in a safe place for future reference. MetLife 'tower Resources Group, Inc. is the owner of the Structured Settlement :referenced above. All rights incident of this annuity reside with, the owner of the annuity. Below is a description of the remaining payments that you are entitled to under the above referenced structured settlement: • Guaranteed: monthly payments of $776.16 commencing February 1, 2012 through and including January 1, 2036 with an annual increase of 2% every February I' and continuing as long as the annuitant is alive. • Life contingent only monthly payments of $1,811.35 commencing February 1, 2036 with an annual increase of 2% every Februarys 1St and continuing as long as the annuitant is alive. It is important to cote, payments have been assigned by court order to Peachtree Settlement Funding, T.I.C. Please contact them if you have questions regarding the assigned payments. These amounts are not included in the above listed benefits currently available to you. Please be advised that in order to obtain a copy of the settlement agreement or any other legal document regarding your alumity, you will need to contact the attorney who settled the case or the . court where the case was settled. Should you have further questions, please contact our Customer Sales and Service Croup at 1-800- 638-2704 Monday through Friday during the hours of 8:00 AM till 11:00 PM Eastern Time. Sincerely, Structured Settlements Unit /ACT DCN:120111024624 E 151T TNW TRANSFER AND ASSIGNMENT AGREEMENT This Transfer and Assignment Agreement (this "Agreement"), dated and effective as of January 16, 2012, is being entered into by and between James Wright ("Seller") who currently resides at 1071 Lancaster Blvd Apt 14, Mechanicsburg, PA 17055-4469 and Seneca One, LLC, a Maryland limited liability company having its principal place of business at 7920 Norfolk Avenue, Suite 300, Bethesda, MD 20814 (hereinafter referred to as "Purchaser"). NOW THEREFORE, for valuable consideration, the receipt of which is hereby acknowledged, the parties agree: At some time in the past, Seller or Seller's predecessor in interest, entered into an agreement in connection with the settlement of a lawsuit or other claim (the "Settlement Agreement"). Seller has told Purchaser that Seller is entitled to receive certain payments due under the Settlement Agreement (hereinafter referred to as the "Settlement Payments"). An entity (the "Settlement Obligor") agreed to make the payments that are due to Seller under the Settlement Agreement. The Settlement Obligor purchased and/or caused to be issued annuity policy no. 88051 EPS (the "Annuity") by Metropolitan Life Insurance Company (the "Annuity Issuer"). Pursuant to the terms of the Annuity, the Settlement Payments are to be made to Seller on a fixed schedule. Seller has agreed to assign to Purchaser, Seller's right to receive certain Settlement Payments in exchange for the Purchase Price described below. A. Purchase and Sale. Subject to the terms and conditions herein provided, Purchaser agrees to pay Seller the sum of $24,050.48 "Purchase Price"), and Seller hereby sells and assigns to Purchaser, or its assignee, Seller's right, title and interest in and to Two Hundred Forty (240) monthly payments in the amount of $550.00 beginning with the payment due on or about February 01, 2016 continuing through and including the payment due on or about January 01, 2036 with a 2% annual increase (the "Assigned Payments"). B. Conditions to be Satisfied Prior to Closing. The following must occur prior to Purchaser paying Seller the Purchase Price: (1) Purchaser shall be satisfied, in its sole discretion, that there are no claims or interests of any kind or nature whatsoever that do or may affect Purchaser's rights to or interest in the Assigned Payments and/or Purchaser's or its assign's ability to receive the Assigned Payments in their entirety on the dates set forth herein; (2) Purchaser receives a non-appealable court order that (a) directs the Settlement Obligor and Annuity Issuer to make the Assigned Payments to Purchaser, or its assigns; and (b) makes all findings required by applicable state' and federal law (the "Court Order"); and (3) the company making the Settlement Payments has acknowledged receipt of the Court Order. Upon completion of the foregoing events, the Purchase Price will be paid to the Seller (the "Closing"). C. Right to Assign. Purchaser may elect to assign this Agreement and/or its right, title, and interest under this Agreement in the Assigned Payments to a third party purchaser (an "Assignee") and may effect such assignment by requesting that the aforesaid Court Order name such Assignee as the recipient of the Assigned Payments. The obligations and rights of Purchaser may be further assigned or otherwise transferred by Purchaser, provided that any assignee is bound by the terms and conditions hereof. The obligations and rights of Seller under this Agreement may not be assigned or otherwise transferred. EX IT D. Representations and Warranties of Seller. Seiler represents and warrants as follows: (1) Seller has full power and authority to enter into this Agreement and assign the Assigned Payments to Purchaser; (2) No other person, firm or corporation claims a lien, right, title or interest of any kind in the Assigned Payments; (3) Seller has no lawsuits pending or threatened against Seller and Seller is not subject to any outstanding judgment, levy, claim or offset; (4) Seller has paid all federal, state and local taxes due through and including the date hereof and Seller is not subject to any outstanding tax liens; (5) Seller is not indebted for any child support arrearage or child support lien; (6) Seller has not filed for bankruptcy and does not intend to file for bankruptcy; (7) Seller has reviewed and understands the terms and effects of this Agreement and Seller is competent to enter into this Agreement; (8) Seller has entered into this Agreement under Seller's own free will without undue influence or duress and Seller is not entering into this Agreement under the influence of drugs or alcohol; (9) Purchaser has disclosed to Seller and Seller understands that Purchaser is a wholly owned subsidiary of Seneca One Finance, Inc.; (10) Seller is entering into this Agreement to sell the Assigned Payments to Purchaser, and with respect to the sale of the Assigned Payments to Purchaser, Purchaser has satisfied all its obligations with respect to any guarantee or other promotional offer; and (11) All information contained in the Application for Sale of Structured Settlement Payments is true and correct. If any of these statements becomes untrue prior to the Closing (as defined herein), Seller agrees to notify Purchaser in writing immediately. Seller hereby authorizes Purchaser or its agents or assigns to conduct such credit and other searches as may be necessary in order to confirm the foregoing with the understanding that all such reports and searches will be kept strictly confidential, but may be used by Purchaser, its subsidiaries, affiliates and/or its assigns as necessary to complete the intent of this Agreement. E. This Is Not a Loan. Purchaser and Seller acknowledge and agree that the sale and transfer herein contemplated constitute a sale of the Assigned Payments, and not a loan, conveying good title thereto free and clear of any liens and encumbrances from the Seller to Purchaser. In connection with the rights granted to Purchaser hereunder, Seller hereby grants a security interest in, all of Seller's right, title and interest in and right to receive all of the Assigned Payments to Purchaser, or its assigns, to the extent such grant is permitted under applicable law. In addition, Seller authorizes Purchaser, its subsidiaries, affiliates and/or its assigns to make all filings and to take all other actions that Purchaser and/or its assigns, in its discretion, deems necessary or proper to complete the transactions contemplated hereby and to perfect the sale of the Assigned Payments including, without limitation, filing a UCC-1 against the Assigned Payments. F. Events of Default. Seller understands that the following events shall be deemed to a default by Seller under this Agreement: (a) Seller's death; (b) Seller's insolvency or the appointment of a custodian, trustee, liquidator or receiver for Seller or Seller's assets; (c) an assignment for the benefit of Seller's creditors or the filing of a petition under bankruptcy, insolvency or debtor's relief laws by or against Seller; (d) failure by the Settlement Obligor or Annuity Issuer to make any one or more of the Assigned Payments as a result of any act by Seller, Seller's estate or any of Seller's heirs; (e) Seller's failure to comply with any term or condition set forth in this Agreement; or (f) a representation or warranty made by Seller turns out to be materially false. G. Beneficiaries. Seller acknowledges that Purchaser, or its assigns, is entitled to receive the Assigned Payments - to the exclusion of any beneficiary, heir executor, representative or dependent of Seller - even if Seller is no longer living at the time when the payments come due. Seller shall execute and deliver a separate writing which designates Seller's estate as the beneficiary of the Assigned Payments and shall execute and sign any document, agreement, waiver, beneficiary change, or other document to reflect, evidence, and confirm that Purchaser, or its assigns shall be entitled to receive the Assigned Payments to the exclusion of Seller and/or Seller's heirs, beneficiaries, representatives, dependents, and executors. In the event Seller's death occurs during the course of this transaction, this Agreement is and shall be deemed a "Testamentary Agreement" in which Seller agrees, for all time, to name Purchaser, or its assigns, as the party that will inherit the Assigned Payments. Seller cannot and will not amend, modify, alter or otherwise change the beneficiary designation or this Testamentary Agreement without Purchaser's express prior written consent. H Adjustment of Purchase Price, Advances: Satisfaction of Judgments. Seller acknowledges and agrees that the Purchase Price may be adjusted, if necessary, by subtracting an amount equal to the sum of (i) all Assigned Payments received by Seller after the date of this Agreement and prior to the Closing; plus (ii) any payments and advances made to Seller or made on behalf of Seller to a third parry at or prior to the Closing. Any advances and payments to third parties by Purchaser shall be made, if at all, in Purchaser's sole and absolute discretion. In the event that any charges, encumbrances, judgments (including, without limitation, any pledges or assignments) liens or other claims against the Seller or the Assigned Payments should arise or be disclosed, then Seiler may be required to satisfy these obligations at Closing. Seller agrees that any disbursements required for these satisfactions shall be paid from the Purchase Price prior to any disbursement to Seller. In the event Purchaser elects to disburse some or all of the Purchase Price prior to obtaining all reports identifying charges, encumbrances, judgments, liens or other claims, Seller hereby agrees that Purchaser, or its assignees, may hold back from the disbursement two (2) times the total of such charges, encumbrances, judgments, liens or other claims as reasonably estimated by Purchaser. In such event, Seller will execute any and all documentation reasonably requested by Purchaser to identify the amounts to be withheld and consent to such withholding. 1. Waiver of Restrictions on. Assignability. Seller acknowledges that Seller's Settlement Agreement may have been entered into prior to the enactment of the Pennsylvania Structured Settlement Protection Act (the "Pennsylvania Transfer Statute"). Accordingly, Seller's Settlement Agreement may contain a provision or provisions restricting or purporting to restrict Seller's right to assign. Seller, on behalf of Seller, and Seller's heirs, beneficiaries, executors, administrators, successors, and legal representatives, hereby waives and releases any such restriction. Furthermore, Seller agrees and covenants that Seller shall not raise, assert or claim any such rights or restrictions against Purchaser in the future. J. Continuing Cooperation. Upon Seller's execution of this Agreement, Purchaser and Seller shall cooperate in commencing a legal action with the appropriate court seeking the court approval required by the Pennsylvania Transfer Statute. Seller agrees to cooperate in taking all actions to facilitate the consummation of the transaction contemplated under this Agreement, including appearing in the contemplated court action as a party thereto. Seller agrees to execute and deliver at any time any additional instruments and documents promptly and to do any acts or things as may be necessary or expedient to effectuate the terms and conditions of this Agreement, including obtaining, providing and tiling any court documents necessary to obtain a Court Order approving the assignment contemplated by this Agreement. Seller hereby authorizes Purchaser to correct any typographical errors or to make any ministerial revisions to this Agreement and to any other supporting documents signed by Seller if such revisions are necessary to effectuate the terms and conditions of this Agreement. Seller also agrees to notify Purchaser in writing of any delay in performance or changes to the Assigned Payments, and to furnish to Purchaser all information received by Seller regarding the Assigned Payments. K. Govemina Law; Venue. This Agreement shall be governed by and construed and enforced in accordance with the laws of the State of Pennsylvania . Disputes under this Agreement, including any claim that the Seller breached this Agreement, shall be determined in and under the laws of the State of Pennsylvania . Any action to enforce any right by either party under this Agreement shall be commenced in Pennsylvania . L. Holdback. Purchaser, or its assigns, shall, in its discretion, withhold an amount from the Purchase Price equal to the amount of the payments to be paid within six months of the Closing, or the amount of the first assigned lump sum payment, until such time as the first payment is received by Purchaser or its assigns. Within five business days after receipt of the first payment, Purchaser, or its assigns, shall release any funds withheld from the Purchase Price to Seller. Purchaser, or its assigns, shall have the right to retain funds sufficient to cover any payments not received. M. General Provisions. (1) This Agreement may be executed in two or more counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same Agreement; (2) The section headings contained in this Agreement are for reference only and shall not affect in any way the meaning or interpretation of this Agreement; (3) In the event an action is commenced in any forum to enforce the rights of a party to this Agreement, then the prevailing party in such action shall be entitled to all reasonable attorney's fees and costs incurred to the extent permitted by law; (4) This Agreement may be amended or modified, and performance of any covenant or agreement herein contained may be waived or modified only by an instrument signed by the parties hereto. The waiver or modification by a party of performance or of a breach of any provision of this Agreement shall not operate or be construed as a waiver of any subsequent or other performance or breach thereof; (5) This Agreement constitutes the entire agreement and understanding of the parties with respect to the matters and transactions contemplated hereby and supersedes any and all prior agreements and understandings with respect thereto. No representations have been made, or relied upon, by either party except those set forth in this Agreement; (6) Except for notice pursuant to section P, notice shall be deemed to have been duly given three (3) business days after having been mailed by certified or registered mail, return receipt requested, or upon delivery if delivered by a nationally recognized overnight delivery service, such as Federal Express. All notices shadl be mailed to the addresses set forth at the beginning of this Agreement. All notices mailed to Purchaser shall be sent to the attention of the Processing Group; (7) Seller acknowledges and agrees that the obligations under this Agreement shall be binding upon Seller, Seller's heirs, personal representatives, transferees, successors, estate and assigns; and (8) If any provision of this Agreement is found to be invalid or unenforceable, the validity or enforceability of any other provision of this Agreement shall not be affected thereby. N. Special Irrevocable Durable Power of Attorney. Seller hereby grants Purchaser, or its assigns, a Special Irrevocable Durable Power of Attorney with full power of substitution, to act in Seller's name, place and stead regarding the Assigned Payments, including, without limitation, the authority to negotiate, endorse and execute checks, drafts and other instruments in Seller's name, the power to alter, edit and change payment instructions and/or beneficiary designations and any other act it deems necessary to obtain all the benefits of the bargain contemplated by this Agreement. This durable power of attorney shall be coupled with an interest, and shall survive Seller's death, disability, incompetence or incapacity. Seller declares this durable power of attorney to be irrevocable and renounces all right to revoke it or appoint any other person to perform the acts referred to in this provision. 4 O. Independent Advice. Purchaser advises Seller to seek independent professional advice regarding the transaction contemplated by this Agreement. Seller (1) has had the opportunity to receive legal, tax, financial, accounting and/or business or personal advice regarding the transaction contemplated by this Agreement from Seller's own legal, tax, financial accounting and/or other advisors and has either received such advice or has knowingly and voluntarily waived and declined the opportunity to seek such advice; (ii) Seller has not received any financial, accounting, tax, legal, business, or other advice from the Purchaser; (iii) Seller has not relied on any representations or statements made by Purchaser, Purchaser's agents or attorneys in connection with this transaction of the tax consequences hereof and (iv) Seller has relied solely upon the advice of Seller's own financial, tax, legal, business and other advisors in entering into this Agreement. Seller further acknowledges that Seller is fully aware of the economic consequences of the transaction contemplated by this Agreement. This is an important financial transaction and Seller should consult with his/her own advisors regarding said transaction. P. Servicina Arrangement. In the event Seller is selling less than the entire amount of any individual Settlement Payment, the Settlement Obligor, the Annuity Issuer or the Court may require, or it may otherwise be necessary or convenient, that Purchaser, or its assigns, receive the entire Settlement Payment and assume the obligation to remit any unassigned portion of such Settlement Payment to Seller. Should such a situation arise, Seller authorizes and directs Purchaser, or its assigns, to receive the entirety of each Settlement Payment affected, and remit the unassigned portion of each such Settlement Payment to Seller (the "Servicing Arrangement"). Seller acknowledges, understands and agrees that (1) the Servicing Arrangement may reduce the financability or assignability of the unassigned portion of any affected Settlement Payment; (2) Purchaser has paid Seller fair and adequate consideration for the Assigned Payments, including the negative impact, if any, that the Servicing Arrangement may have upon the financability or future assignability of the unassigned portions of Settlement Payments of which the Assigned Payments are a part; (3) it shall be Seller's sole and exclusive responsibility to notify Purchaser, or its assigns, by written notice, of the address to which the unassigned portion of the Settlement Payments is to be forwarded; (4) with respect to any unassigned portion of any Settlement Payment affected by the Servicing Arrangement, Purchaser's, or its assign's, obligations and liability under the Servicing Arrangement shall be satisfied upon deposit of a check in the amount of the unassigned portion of such Settlement Payment in the United States Mail, UPS, FedEx or similar overnight delivery service, postage or fee prepaid, addressed to the last known address for Seller; and (5) the Servicing Arrangement will result in a delay in Seller's receipt of the unassigned portion of the Settlement Payments affected by the Servicing Arrangement. [Signatures and Acknowledgment on Following Page] 5 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed by their duty authorized representatives effective as of the date first set forth above. SELLER: I j" XS EAL) Ja es Wrigh The foregoing Agre ent, and specifically the Special Irrevocable Durable Power of Attorney in provision N., was acknowledged before me this t day of January, 2012 by James Wright, who is personally known to me or has produced T T (typ -0 identification) as identification and who did take an oath. NOTARIAL SEAL LISA A SEAM Notary Public CITY OF HARRISBURG, DAUPHIN COUNTY My Commission Expires Jul 24, 2015 L'a NOTARY PUBLIC, State of My Commission Expires: PURCHASER: Seneca One, LLC: r + rt ?? ) $ r ?ppi*ti q} $Y: (SEAL) Miriam Sanders Miller Authorized Representative Seneca One Finance 6 l i COURT OF COMMON PLEAS IN RE: TRANSFER OF STRUCTURED Cumberland COL.?NTY SETTLEMENT PAYMENT RIGHTS BY James Wright Payee's Affidavit in Support of Petition to Transfer Structured Settlement R.iehts 1, James Wright, the payee, verify that the statements below are true and correct: 1. Payee's name, address and age: Jaynes Wright. 1071 Lancaster BLVD Apt 14 Mechanicsburg. PA 17055 2. Marital Status: Never Married. _X_.. Married; Separated; Divorced If married or separated, name of spouse: Amy Wright 3. Minor children and other dependents: Names, ages, and places of residence: Sharde Scott. Age 17, she lives with my ex-wife. her mother. Tammy Ausberrv at 4557 South Kirkman Road APT 7 Orlando. FL 21811 4. Income: (a) Payee's monthly income and sources: I am working as a skvcap operator at Harrisbu-jg International Airport earning $7•_25 an hotu making $870.00 per month. I also receive approximately $776.00 per month from my structured settlement annuity throe h 5. Child support, alimony or alimony pen€Iente lite: Obligation to pay: _X Yes _.. No If yes, s la-e the amount of the obligation, to whom payable, and whether there are arreara47es: I pay $384.38 per month to Tammy Ausberrv at 4557 South Kirkman Road A]"T 7 Orlando. FL 32811 via the Pennsylvania Child Support Enforcement System. Dauphin County. PA. EXHIBIT 1 1 I 6. Previous transfers: Have you previously filed a petition to transfer payment rights under the structured settlement that is the subject of this petition? -X-Yes -- No If ,yes, for each petition that you filed, (a) If the transfer was submitted for court approval, list the court, the case caption and case number, and state whether the court approved or disapproved the transfer: Court of Common Pleas of Cumberland County. PA under case number 2001-7244 Civil (b) If the transfer was approved, (i) State the name of the transferee and identify (listing due dates and payment amount(s)) the payments involved in the transfer: J.G. Wentworth Originations, I assigned 288 monthly payments of $350.00 each inc e- acing at 2% annually, beginning on February 1. 2012 and ending, on January 1. 2036; ,`ii.) State the amount of money and the manner in which the money was used: I received $33,000.00 as the result of the assignment and I used the proceeds to nay off a lot of bills including credit card debt and medical bills for which I was mane months behind and in collection and I also used to funds to 'prop uD' myself and my wife financially because due to the bad economy my hours at the airport have been decreased. (c) Have you ever transferred payments without court approval? Tf so, please explain: No. 7. Reasons for transfer: I will be using the proceeds to move into a new apartment and re av rent for I rear: I have identified a suitable apartment complex for myself and my wife. The security deposit is amioximately $1,500.00 and I estimate the moving costs to be about $5.000.00. Describe in detail your reasons for the proposed transfer, including an explanation as to why a sale of a lesser amount of the structured settlement amount will not better sense your interests: 8. Payment of debts: If you seek the transfer in order to pay debts, list each debt, including the name of the creditor and the amount presently owed: Debt Creditor Amount Owed S t . VERIFICATION I, JAMES WRIGHT, verify and state that the facts contained: in the foregoing Joint Petition for Approval of a Transfer of Structured Settlement Payment Rights and the exhibits thereto are true and correct to the best of my know=ledge, information and belief. I make this Verification subject to 18 PA. C.S.A. § 4904, relating to penalties for unsworn falsification to authorities. Page 7 of 8 DISCLOSURE STATEMENT This Disclosure Statement is being provided by Seneca One, LLC ("Purchaser") to James Wright ("Seller") in connection with Seller's agreement to transfer and assign to Purchaser certain structured settlement payment rights due to Seller. This Disclosure Statement is being provided pursuant to Pennsylvania law. 1. Schedule of Payments Transferred: Seller is transferring all of Seller's right, title and interest in the following payments to Purchaser: Two Hundred Forty (240) monthly payments in the amount of $550.00 beginning with the payment due on or about February 01, 2016 continuing through and including the payment due on or about January 01, 2036 with a 2% annual increase 2. Aggregate Amount of Payments Transferred: $160,362.64 3. Gross Amount to Seller: $24,050.48 4. Transfer Expenses: Seller will be responsible for the following commissions, fees, expenses, and charges in connection with the closing of this transaction: None $0.00 5. Net Amount to Seller: $24,050.48 Seller understands that Seller will receive the Net Advance Amount less (i) any advances made to Seller or on Seller's behalf by Purchaser; and (ii) any amounts necessary to satisfy any outstanding liens, judgments, and credit-based obligations, pursuant to the terms of the transfer agreement. 6. Discounted Present Value of the Transferred Payments: The calculation of current value of the transferred structured settlement payments is $127,393.92 using the applicable federal rate of 1.600%0. 7. Quotient: $24,050.48 _ $127,393.92 = 18.880% Net Amount Payable divided by the Present Fair Market Value 8. Penalty in the Event of Breach of Contract: The amount of any penalty or liquidated damages, payable to Purchaser by Seller in the event the transfer agreement is breached by Seller shall be ZERO Dollars ($0.00). 9. Independent Professional Advice: You are advised to seek independent professional advice regarding the transfer. 10. Acknowledgment of Disclosure Statement: Seller acknowledges that this disclosure statement was provided at least ten days prior to becoming obligated under a transfer agreement. [Signature on Following Page] 1 a y I, James Wright, acknowledge and confirm that I have read this Disclosure Statement and understand the transaction and believe that the terms of the transaction are fair and reasonable and that the tr, nsacti t interest. Jam right IMPORTANT NOTICE You are strongly urged to consult with an attorney who can advise you of the potential tax consequences of this transaction. IBIT V ?-s ACKNOWLEDGMENT OF PROFESSIONAL ADVICE 1, James Wright, Seller under that certain Transfer and Assignment Agreement dated on or about January 16, 2012 (the "Transfer Agreement") hereby acknowledge, confirm, and agree that Seneca One, LLC has advised me, in writing, to seek independent professional advice from an attorney, certified public accountant, actuary, or other licensed adviser regarding the transaction described in the Transfer Agreement. I acknowledge that: (check one) I have received professional advice. I have knowingly and voluntarily decided not to seek any professional advice regarding th transaction with Seneca One, LLC IBIT a IV,.# IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL DIVISION IN RE: JOINT PETITION OF SENECA ONE, LLC No. AND JAMES WRIGHT, TO TRANSFER STRUCTURED SETTLEMENT PAYMENT RIGHTS CERTIFICATION OF COUNSEL Ronald E. Reitz, attorney for Seneca One, LLC, hereby sets forth the following: 1. I, Ronald E. Reitz, am counsel of record in this matter for Seneca One, LLC. 2. Based on materials provided to me by Seneca One, LLC, and upon reasonable investigation and inquiry, the transfer set forth in the subject Petition complies with all requirements of the Structured Settlement Protection Act, 40 P.S. § 4001-4009, and does not contravene any applicable Federal or State statute or regulation, or order of any court or administrative authority. 3. This Certification is made to the best of my knowledge, information and belief pursuant to Pa.R.C.P. 229.2. AReionaldE. EX IBIT s IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL DIVISION IN RE: JOINT PETITION OF SENECA ONE, LLC AND JAMES WRIGHT, TO TRANSFER STRUCTURED SETTLEMENT PAYMENT RIGHTS No. 00 l() - l Oa.1 Ci u it INITIAL ORDER OF COURT On this ??'day of `".?tt;)_ue4- , 2012, it is ordered that a hearing on this Joint Petition to Transfer Structured Settlement Payment Rights will be held on ?•?n in Courtroom at ! ; o'clock. The Payee shall bring income tax returns for the prior two (2) years to the hearing. Within seven (7) days, the transferee shall give notice of the hearing date to the payee, the structured settlement obligor, the annuity issuer, the payee's spouse and any person receiving child support, alimony, or alimony pendente lite. The transferee shall attach a certificate of service to the notice of hearing date. A copy of the notice with the certificate of service shall be filed with the court prior to the hearing. BY THE COURT: rJ '? t4e me4ru f?•P•?rb?t r. L; 47e mss. Ca Nt h,, S rvt D a1 41'1. V f-ewt i I I; D n+ 1 (,? t , ?" TQ m rn y 4u S err ?j z c n 7 ; ., 144 /s 1"4 n 1 , -, I , . IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA IN RE: JOINT PETITION OF SENECA ONE, LLC AND JAMES WRIGHT TO TRANSFER STRUCTURED No. 2012-1027 SETTLEMENT PAYMENT RIGHTS cz NOTICE OF HEARING ON JOINT PETITION TO cn rri TRANSFER STRUCTURED SETTLEMENT PAYMENT RIGHT S 5;7? , TO: MetLife Tower Resources Group, Inc. = 1095 Avenue of the Americas c ?- -- New York, NY 10036 c ca { ("Settlement Obligor") w ' Metropolitan Life Insurance Company 1095 Avenue of the Americas New York, NY 10036 ("Annuity Issuer") Metropolitan Life Insurance Company Attn: Structured/Legal 2025 Leestown Rd., Suite J Lexington, KY 40511 (Courtesy Copy) Simone M. Gremillion, Paralegal Seneca One, LLC 7920 Norfolk Avenue, Suite 300 Bethesda, MD 20814 ("Transferee") James Wright 1071. Lancaster Blvd., Apt. 14 Mechanicsburg, PA 17055-4469 ("Payee") Tammy Ausberry 4557 South Kirkman Road, Apt. 7 Orlando, FL 21811 You are hereby given notice that Seneca One, LLC, and James Wright, have filed a Joint Petition to Transfer Structured Settlement Payment Rights. A hearing in this matter has been scheduled on Monday, April 9, 2012 at 10:30 a.m., before Hon. Christylee L. Peck, Cumberland County Courthouse, Courtroom 5, One Courthouse Square, Carlisle, Pennsylvania. A copy of the Initial Order of Court is attached hereto as Exhibit "A". You are entitled to support, oppose or otherwise respond to the Payee's petition, either in person or by counsel, by filing written comments with the court prior -o the hearing or by attending the hearing. Pursuant to 40 P. S. § (a) (6) , the Transferee's name, address, and taxpayer identification are: Seneca One, LLC 7920 Norfolk Avenue, Suite 300 Bethesda, M 20814 Taxpayer I.D. No.: 20-0426098. Date Seneca One, LLC c o Ronald witz MARGOLIS EDELSTEIIl 525 William Penn Place Suite 3300 Pittsburgh, PA 15219 412-355-4969 412-642-2380 (facsimile) rreitz@margolisede!lstein.com IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL DIVISION IN RE: JOINT PETITION OF SENECA ONE, LLC 'No. Obta log- AND JAMES WRIG14t TO TRANSFER STRUCTURED SETTLEMENT PAYMENT RIGHTS INITIAL ORDER OF COURT On this day of , 2012, it is ordered that a hearing on this Joint 67 Petition to Transfer Structured Settlement Payment Rights will be held on in Courtroom at tD= 30 o'clock. The Payee shall bring income tax returns for the prior two (2) years to the hearing. Within seven (7) days, the transferee shall give notice of the hearing date to the payee, the structured settlement obligor, the annuity issuer, the payee's spouse and any person receiving child support, alimony, or alimony pendente lite. The transferee shall attach a certificate of service to the notice of hearing date. A copy of the notice with the certificate of service shall be filed with the court prior to the hearing. BY THE COURT: a/L' J. E IBIT Cl) ,?, va ro m G 1C C' CERTIFICATE OF SERVICE I hereby certify that a true and correct copy of the foregoing NOTICE OF HEARING ON JOINT PETITION TO TRANSFER STRUCTURED SETTLEMENT PAYMENT RIGHTS was T'r served by certified mail, return-receipt requested, postage pre-paid, on this _ day of March 2012 on: Metropolitan Life Insurance Company 1095 Avenue of the Americas New York, NY 10036 MetLife Tower Resources Group, Inc. 1095 Avenue of the Americas New York, NY 10036 Metropolitan Life Insurance Company - MRMR Attn: Structured/Legal 2025 Leestown Rd, Suite J Lexington, KY 40511 (courtesy copy) and by regular U.S. mail, postage prepaid to: Simone M. Gremillion, Paralegal Seneca One, LLC 7920 Norfolk Avenue, Suite 300 Bethesda, MD 20814 ("Transferee") James Wright 1071 Lancaster Blvd., Apt. 14 Mechanicsburg, PA 17055-4469 Tammy Ausberry 4557 South Kirkman Road, Apt. 7 Orlando, FL 21811 By: for Transferee li d in ' Ronald Attorney E. Re IN THE COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA CIVIL DIVISION IN RE: JOINT PETITION OF SENECA ONE, LLC No. L-2 v? AND JAMES WRIGHT, TO TRANSFER STRUCTURED SETTLEMENT PAYMENT RIGHTS FINAL ORDER o.)- '7 (.4'v I On this 9A day of , 2012, it is ordered that the Joint Petition to Transfer Structured Settlement Payment Rights is granted. The court specifically finds that: (1) the payee has established that the transfer is in the best interests of the payee taking into account the welfare and support of payee's dependents; (2) based on the certification by an attorney for the transferee, Seneca One, LLC, and the court having not been made aware of any statute, regulation or order that would be incompatible with the proposed transfer, the transfer will not contravene any Federal or State statute or regulation, or the order of any court or responsible administrative authority; (3) the transfer complies with the remaining requirements of the Structured Settlement Protection Act, including Sections 3(a)(2), 3(a)(4), 3(a)(5) and 3(a)(6), and 26 USC §5891; (4) the payments that are to be transferred are designated as follows: monthly payments each in the amount of $550.00, beginning February 1, 2016 continuing through and including January 1, 2036, increasing by 2% annually every February (the "Assigned Payments"); (5) the Settlement Obligor is MetLife Tower Resources Group, Inc., and the Annuity Issuer is Metropolitan Life Insurance Company. Annuity Issuer shall forward and make payable the Assigned Payments to SENECA ONE, LLC's, designated assignee, Reliance Standard Life Insurance Company ("Assignee"), at the following address: Reliance Standard Life Insurance Company P.O. Box 223752 Pittsburgh, PA 15251-2752 (6) the terms of this order shall survive the death of the payee and shall be binding on the payee's heirs, beneficiaries and assigns; (7) the payee shall receive from the transferee the net amount of $24,050.48; (8) this Order shall constitute a "Qualified Order" within the meaning of 26 USC §5891. ,? ON BY THE COURT: C:: WV / Vi. to ? L) r' yo-. p? o