Structured Settlement Protection Act (SSPA)
Your state-by-state guide to court approval requirements for selling structured settlement payments.
What Is the Structured Settlement Protection Act?
The Structured Settlement Protection Act (SSPA) is state-level legislation that governs the transfer of structured settlement payment rights. Every state has its own version of the SSPA, though they share common principles designed to protect settlement holders from unfair transactions.
The federal Periodic Payment Settlement Act of 1982 established the framework for structured settlements, but the regulation of transfers is handled at the state level. This means the rules for selling your structured settlement vary depending on where you live.
Key SSPA Requirements (All States)
While each state's SSPA has unique provisions, most share these core requirements:
- Court approval required - A judge must find that the transfer is in your best interest before it can proceed
- Advance notice - Interested parties (annuity issuer, original defendant) must be notified before the hearing
- Disclosure requirements - The buyer must disclose the discount rate, net advance amount, and all fees
- Independent professional advice - Many states require or recommend that you receive independent legal or financial advice
- Best interest finding - The court must determine the transfer serves your welfare, considering dependents and financial circumstances
Why Court Approval Protects You
Court approval is not a barrier - it's a safeguard. The judge independently reviews the terms of the transfer to ensure you're getting a fair deal. This includes examining the discount rate (how much less than full value you receive), whether you understand the terms, and whether the transaction serves your best interest given your current financial situation.
Sell My Structured Settlement Cash guides you through every step of your state's court approval process at no cost.
SSPA Requirements by State
| State | Statute | Waiting Period | Independent Advice |
|---|---|---|---|
| Alabama | Ala. Code § 35-11-70 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Alaska | Alaska Stat. § 09.17.060 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Arizona | Ariz. Rev. Stat. § 12-2901 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Arkansas | Ark. Code Ann. § 23-81-201 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| California | Cal. Ins. Code § 10134-10139.5 | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Colorado | Colo. Rev. Stat. § 13-97-101 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Connecticut | Conn. Gen. Stat. § 52-225f et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Delaware | Del. Code tit. 18, § 2301 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| District of Columbia | D.C. Code § 28-6301 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Florida | Fla. Stat. § 626.99296 | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Georgia | Ga. Code Ann. § 51-12-71 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Hawaii | Haw. Rev. Stat. § 651C-1 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Idaho | Idaho Code § 28-9-101 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Illinois | 215 ILCS 153/ (Structured Settlement Protection Act) | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Indiana | Ind. Code § 34-50-2 | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Iowa | Iowa Code § 682.1 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Kansas | Kan. Stat. Ann. § 60-5101 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Kentucky | Ky. Rev. Stat. § 454.430 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Louisiana | La. Rev. Stat. § 22:1661 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Maine | Me. Rev. Stat. tit. 24-A, § 2384 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Maryland | Md. Code, Cts. & Jud. Proc. § 5-1101 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Massachusetts | Mass. Gen. Laws ch. 231C | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Michigan | Mich. Comp. Laws § 691.1301 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Minnesota | Minn. Stat. § 549.30 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Mississippi | Miss. Code Ann. § 75-83-1 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Missouri | Mo. Rev. Stat. § 407.1200 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Montana | Mont. Code Ann. § 28-8-101 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Nebraska | Neb. Rev. Stat. § 25-3401 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Nevada | Nev. Rev. Stat. § 42.065 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| New Hampshire | N.H. Rev. Stat. Ann. § 408-A | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| New Jersey | N.J. Stat. Ann. § 2A:16-63 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| New Mexico | N.M. Stat. Ann. § 37-12-1 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| New York | N.Y. Gen. Oblig. Law § 5-1701 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| North Carolina | N.C. Gen. Stat. § 1-543.10 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| North Dakota | N.D. Cent. Code § 32-03.1-01 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Ohio | Ohio Rev. Code § 2323.581 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Oklahoma | Okla. Stat. tit. 12, § 3103 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Oregon | Or. Rev. Stat. § 31.800 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Pennsylvania | 40 Pa. Stat. § 4001 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Rhode Island | R.I. Gen. Laws § 27-73-1 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| South Carolina | S.C. Code Ann. § 15-81-10 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| South Dakota | S.D. Codified Laws § 58-32-1 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Tennessee | Tenn. Code Ann. § 47-18-2601 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Texas | Tex. Civ. Prac. & Rem. Code § 141.001 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Utah | Utah Code § 78B-14-101 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Vermont | 9 V.S.A. § 2480aa et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Virginia | Va. Code Ann. § 59.1-475 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Washington | Wash. Rev. Code § 19.205 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| West Virginia | W. Va. Code § 46A-6N-1 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Wisconsin | Wis. Stat. § 895.69 | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
| Wyoming | Wyo. Stat. § 1-16-701 et seq. | 20 days advance notice to all interested parties | Independent professional advice is required before the court hearing |
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