Right to rescind
When someone agrees to sell their future settlement payments, they have five days after signing to change their mind and cancel the deal — no penalties, no fees. Any part of the deal that tries to charge fees, damages, or lawyer costs is not valid. Any part of the deal that tries to move legal disputes to another state's courts is also not valid. These rules do not allow transfers that are already forbidden under other laws.
407.1066. Right to — limitation of — limitation of . — 1. A who enters into a shall have an absolute, right to rescind and cancel such transfer agreement, with no or other obligation, by giving written notice of to the at any time during the five days following the signing of the transfer agreement.
2. Any in a transfer agreement to pay , penalties, fees, actual or , or costs of any kind or nature to any person, firm, or other which will be a or to the or transfer agreement shall be .
3. Nothing contained in sections 407.1060 to 407.1068 shall be to authorize any transfer of or other rights arising under a or a in contravention of applicable law or to give effect to any transfer of such rights that is under applicable law.
4. Any provision in a transfer agreement that consents to jurisdiction in the courts of another state, requires appointment of an for , , or selects a for of disputes arising out of a transfer agreement shall be unenforceable.
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Source & history notes
(L. 1999 S.B. 1, et al. § 6)
Legal information, not legal advice. Always confirm with the official source at revisor.mo.gov.