Legal Document: In Re: Stone Street Originations, LLC

On December 12, 2023 a Application For Transfer Of Structured Annuity (OCA) was filed involving a dispute between Stone Street Originations, Llc, and Annuitant, Redacted, for All Other Civil Cases in the District Court of Galveston County.

Preview
File
12/12/2023 3:10 PM
Dwight D. Sullivan
County Clerk
Galveston County, Texas
np 0092497
CAUS. .

IN RE § IN COUNTY COURT AT LAW
§
alveston County - COUMPEB Uta? Law No.3
STONE STREET ORIGINATIONS, LLC § GALVESTON COUNTY, TEXAS

APPLICATION FOR APPROVAL OF SALE
OF PARTIAL PAYMENT RIGHTS

TO THE HONORABLE JUDGE OF THE COURT:

Applicant, STONE STREET ORIGINATIONS, LLC, files this Application for Approval

of Sale of Partial Payment Rights pursuant to the Texas Structured Settlement Protection Act,
Chapter 141 of the Texas Civil Practice & Remedies Code (“the Act”), and requests that the
Court approve the transfer to Applicant, STONE STREET ORIGINATIONS, LLC, its
successors or assigns, by Re of his/her rights to certain structured
settlement payments. In support of this Application, STONE STREET ORIGINATIONS, LLC
respectfully shows the Court as follows:

Discovery Control Plan:

1 A discovery control plan is not required for the adjudication of this application.
2 This application is filed in accordance with CPRC § 141.006 (d), effective date
June 15, 2017. Per the law, Applicant has redacted all identifiable information about the Payee.

Interested Parties:

3 Applicant STONE STREET ORIGINATIONS, LLC is a limited liability
company under the laws of the State of Nevada, and having its principal place of business in the
State of Pennsylvania. Applicant is the proposed Transferee and is requesting approval of a
transfer of structured settlement payment rights (hereinafter referred to as “Transferee” or
“Ssc”).

4 Re (“Payee”) is an individual over the age of eighteen,
and meets the jurisdictional requirements under Tex. Civ. Prac. & Rem. Code § 141.002(2).
Payee currently is receiving tax-free payments under a structured settlement. Payee proposes to
transfer certain payment rights under the structured settlement to Transferee pursuant to the Act.

Application for Approval of Page 1
A Transfer of Structured Settlement Payment Rights
The other parties interested in this Application are listed as follows:
Annuity Issuer

Annuity Owner:

Dependents residing with Payee: None.
Dependents not residing with Payee: None.
Other Interested Parties/Named Beneficiaries: i

Venue and Jurisdiction:

6. Venue and jurisdiction are proper in this Court pursuant to the Act. This
application is properly brought in the county or district court of the county in which the Payee
resides, or the court of original jurisdiction that authorized or approved the structured settlement,
without regard to the amount subject to the potential transfer, since the Act does not specify
an
amount which would prohibit a County Court or a Probate Court from hearing an application.
Tex. Civ. Prac. & Rem. Code § 141.002(2).

Background on Structured Settlements Generally:

7, Contrary to popular misconception, structured settlements typically result from a
voluntary settlement of an underlying tort claim. While many believe that structured settlements
are typically
court approved, court ordered or otherwise mandated by the court as a form of
spendthrift
trust, this is simply not true. Structured settlements are a convenient and cost
effective way to settle personal injury claims, particularly where there is disagreement over the
size of the settlement as the perceived value of future payments is generally
higher than their true
value. Simply put, structured settlements are a cost effective way for insurance cariers to settle
personal injury claims on favorable terms and are often used for garden variety cases. In the vast
majority of cases they are simply the result of a negotiated settlement between plaintiff and
defendant with no substantive court involvement.
8. Anti-assignment provisions are often included in structured settlement agreements
under the mistaken belief that they are required to prevent the application of the “constructive
receipt” tax doctrine. These anti-assignment provisions were not included as a form of
spendthrift trust nor were they intended as a restriction on alienation of the right to receive
structure settlement payments. Rather they are a result of an overly cautious reading of several
private letter rulings from the early 1980's and a misunderstanding of the constructive receipt tax

Application for Approval of Page 2
A Transfer of Structured Settlement Payment Rights
doctrine. Any lingering doubts as to whether an anti-assignment provision is required
to prevent
constructive receipt were dispelled in 2002 with the passage of 26 USC Section 5891, et seq.
which made it clear- by way of a clarification
of existing law - that
a sale or transfer
of structure
payments rights would not alter the tax treatment applicable to the annuitant or annuity issuers.
Notwithstanding this, anti-assignment clauses remain a vestige of common practice and are
hence present in many settlement agreements.
9. The one common failing of structured settlements is that they are relatively
inflexible. Once established
they cannot
be altered. As a consequence, a secondary market for
structured settlements evolved
in the 1990's. Because of the significant
demand from structured.
settlement recipients to restructure/refinance how and when they receive these payments, a
secondary market flourished. In 2002, the United States Congress, after hearings before the
Ways and Means committee, passed 26 USC Section 5891, et seq. making it clear that structured
settlements could be transferred and that no adverse tax consequence would attach. As part of
providing this clarification, Congress required that a transfer of structured settlement payment
tights be pursuant to a state transfer statute finding that the transfer was in the best interest of the
selling annuitant. Employees and officers of the petitione, U.RRM, appeared at the
congressional hearing referenced above and worked tirelessly in the late 90’s and early 2000's to
obtain the passage
of 26 USC Section 5891 and to pass state transfer laws around the country.
Almost every state now has a structured settlement statute which provides for unprecedented
levels of consumer safeguards prior to an individual being pemmitted to sell a structured
settlement. This is so notwithstanding the fact that the decision to accept the structured
settlement, as outlined above, is typically the result of a simple negotiation between plaintiff and
defendant and not as consequence of the independent judgment that the recipient is unable to
manage
their financial affairs. The structured settlement transfer statutes and the provisions of 26
USC Section 5891, et seq. make it clear that both federal and state legislators recognized the
need for liquidity in the secondary market for structured settlement payments. Provided that the
transfer statute is adhered to, the court should pennit the transfer of the structured settlement
payments provided that such transfer is in the best interest of the payee.

Application for Approval of Page 3
A Transfer of Structured Settlement Payment Rights
Statement of Facts:

10. All claims were settled on behalf of Payee arising out of a personal injury claim.
The resolution of the matter involved a structured settlement (the “Settlement Agreement”).
11. As a result of the Settlement Agreement, Payee became entitled to receive
“Periodic Payments” under an annuity.
12. In order to fulfill the obligation to Payee under the Settlement Agreement,
Structured Settlement Obligor purchased an annuity contract from Annuity Issuer, naming Payee
as the annuitant. Under the annuity, Annuity Issuer is obligated to make, and currently makes
the Periodic Payments directly to Payee.
13. Payee desires to sell a portion of the Periodic Payments in retum for a lump sum.
payment for payment for those purposes stated or as may be offered in testimony at the hearing
on this matter. Subject to this Court's approval, Payee, accordingly, has agreed to transfer to
Transferee, the following:

ee
ee
14. In this regard, Payee executed an Absolute Assignment Agreement (the
“Assignment Agreement”), under which Payee agreed to transfer to Transferee the Assigned
Payments. This document constitutes a Transfer Agreement as defined
by the Act. (Exhibit 1)
15. SSC timely provided Payee with the Disclosure Statement required by the Act not
less than three (3) days prior to the date on which Payee executed
the Transfer Agreement. Tex.
Civ. Prac. & Rem. Code§ 14.1.003. (Exhibit 2)
16. Attached hereto as Exhibit 3 is the Payee's request that all identifiable
information be redacted pursuant to CPRC § 141.006 (d).

17. Attached hereto as Exhibit 4 is the Payee’s Statement of Professional
Representation.

18. SSC will provide written notice of the transfer to all interested parties, including
payee and the annuity issuer. Non-redacted exhibits, identical to those redacted exhibits filed
with the court, have been served
on all parties.

Application for Approval of Page 4
A Transfer of Structured Settlement Payment Rights
19. The transfer is in the best interests of Payee, taking into account the welfare and.
support of Payee's dependents,
if any. Payee has been advised in writing to seek independent
professional advice regarding the financial, legal, and tax implications of the transfer, as
provided in the Act.
20. More than twenty days prior to the hearing for approval of the transfer, Transferee
will send written notice of the hearing, along with Transferee's name, address, and taxpayer
identification number to Annuity Issuer, Annuity Owner, Structured Settlement, Obligor, and
Payee, and all other interested parties (if any), and will file same with the Court as provided in
the Act. Specifically, Annuity Issuer, Annuity Owner, Structured Settlement Obligor, Payee, and
all interested parties will be provided with the following documents:
1 A copy of this Application for Approval of a Transfer of Structured
Settlement Payment Rights;
i A copy of the transferA
I. A copy of the Disclosure Statement;
Iv. A list of Payee's dependent(s), together with each dependents age;
Vv. Notification that any interested party is entitled to support, oppose, or
otherwise respond to this Application, either in person or by counsel, by
submitting written comments to the court or by participating in the
hearing; and
Notification of the time and place of the hearing and notification of the
manner in which, and the time by which, written responses to the
Application must be filed in order to be considered by the court.

21. The transfer satisfies all statutory requirements of the Structured Settlement
Protection Act, Chapter 141 of the Texas Civil Practice and Remedies Code, and does not
contravene any applicable statute or an order of any court or other govemmental authority; the
transfer also satisfies the Intemal Revenue Code Section 5891 and does not contravene any
Federal or State statute or the order of any court or responsible administrative authority.

Application for Approval of Page 5
A Transfer of Structured Settlement Payment Rights
PRAYER

Based upon the foregoing, Applicant, Stone Street Oniginations, LLC, respectfully
requests that the court grant this Application
and approve the transfer of the Assigned Payments
to Applicant, Stone Street Originations, LLC, its successors or assigns.
Respectfully submitted,

Korduba& Rogers, LLP
19535 Champion Forest Dr.
Spring, Texas 77379
Ko il.com.
281-351-8877 (Telephone)
281-516-1180 (Facsimile)
KordubaRogers@gmail.com

/s/ Laryssa Korduba
Laryssa Korduba
State Bar No.: 24043763

ATTORNEY FOR APPLICANT
STONE STREET ORIGINATIONS, LLC

Application for Approval of Page 6
A Transfer of Structured Settlement Payment Rights
DocuSign Envelope ID: 8D2A7052-E641-4810-963F-C12E8F1EF8AF

Account ID: 1514798

a StoneStreet EXHIBIT 1
PURCHASE CONTRACT
(LIFE CONTINGENT)

This is a Purchase Contract (“Contract”) for the sale of structured settlement payments between
a (You, Your), and Stone Street Originations, LLC (We, Us, Our)
1200 Morris Drive, , Chesterbrook, PA 19087.

GENERAL INFORMATION

In connection with the resolution of a personal injury claim, You or someone acting for You, signed a Settlement
Agreement that entitles You to receive certain future payments (“Settlement Payments”), according to a set schedule.

Those Settlement Payments are being paid to You from an annuity policy (“Annuity Policy”) purchased by the Person
responsible for making the Settlement Payments to You (“Obligor”).

Rather than wait for the Settlement Payments to be made to You in the future, You want to sell all or some of those
Settlement Payments (“Purchased Payments”) to Us now for a lump sum.

THIS CONTRACT CONTAINS AN ARBITRATION PROVISION WHICH YOU SHOULD READ CAREFULLY,
IT WILL HAVE A SUBSTANTIAL IMPACT ON HOW DISPUTES BETWEEN YOU AND US ARE RESOLVED.

For additional defi: ions, see Section 3 of this Contract.

You and We agree as follows:

1 SALE OF THE PURCHASED PAYMENTS

A Upon the signing of this Contract and subject to certain conditions including Court Approval, You sell, transfer and
assign to Us the right to receive the Purchased Payments specifically identified in the Disclosure Statement.

We will pay You the Net Purchase Price as agreed to in the Contract Documents, subject to certain conditions,
including meeting Our underwriting requirements, Court Approval and satisfactory completion of the Closing
Documents. We will do this in exchange for You:

. selling the Purchased Payments to Us;

changing the beneficiary of the Annuity Policy to Your estate and not changing it again until We have been
paid all of the Purchased Payments;

having any current beneficiaries waive their rights to the Purchased Payments; and

fulfilling Your promises under this Contract.

PURCHASE CONTRACT FORM 1
DocuSign Envelope ID: 8D2A7052-E641-4810-963F-C12E8F1EF8AF

in
Account ID: 1514798

toneStreet

If We are buying only a portion of Your payments, this will have no effect upon Your rights in the unsold portion. You
will continue to receive the unsold portion unless You have already sold or encumbered that portion. However,
sometimes the Issuer, the Obligor or the court may require Us to receive the entire amount of Your payment. If so,
We will then forward the portion of the payment still due to You and You hereby agree to this payment servicing
arrangement.

2. PURCHASE PRICE

A. The Gross and Net Purchase Prices are shown on the Disclosure Statement and are fair and acceptable to You and Us.

B. We will pay You the Net Purchase Price in the manner You designate for Us.

C. Before we pay You, You agree that We will adjust for the following amounts, /f applicable:

Purchased Payments Owed to Us — The Issuer may have already paid You some of the
Purchased Payments before We have paid You for them. If that happens, We will deduct the
amount of those Purchased Payments.

Holdbacks — Due to possible delays in the Issuer beginning to make the Purchased Payments to
Us instead of You, We will hold back an amount equal to any Purchased Payments that the
Issuer owes Us post Court Approval, that are due within 90 days of the Funding Date. If We
subsequently receive those particular Purchased Payments directly, We will return the amount
of any related holdback to You.

Payment of Debts Owed — If You owe any past due child support, bankruptcy payoffs or taxes,
or have any judgments or liens against You or Your assets, We may pay those amounts and
deduct them from the amount We pay You, and You hereby provide Us with specific authority to
take such action. We will provide You with notice of the amounts that We are going to pay,
prior to actual payment.

If any Purchased Payments are mistakenly sent to You after We have paid You for them, You will immediately contact
Us. If We then determine that any deductions or holdbacks as set forth above are not enough to reimburse Us, We
will advise You of the amount You owe Us. You agree to immediately send that amount to Us by bank or certified
check.

3 DEFINED WORDS

Certain words used in this Contract have the specific meanings shown below.

Affiliate
An entity controlled by, controlling, or under common control with, another entity.

Annuity Policy
The policy purchased by the Obligor to ensure that the Settlement Payments are made to You as required by the
Settlement Agreement.

Closing Documents
Any documents necessary to carry out the purchase of the Purchased Payments, other than the “Contract or Contract
Documents” as defined below.

PURCHASE CONTRACT FORM 1
DocuSign Envelope ID: 8D2A7052-E641-4810-963F-C12E8F1EF8AF

Account ID: 1514798

a StoneStreet
Contract or Contract Documents
Collectively, only this Contract and the Disclosure Statement.

Contract Date
The date Your signature at the end of this Contract is notarized. However, if You happen to sign this Contract before the
number of days stated at the end of Your Disclosure Statement for waiting has passed, You will have no obligation under
Your Contract until that time has passed.

Court Order
A legally binding ruling issued by a judge or properly empowered administrative officer, approving the sale of the
Purchased Payments to Us (“Court Approval”).

Disclosure Statement
The document which identifies for You, the Purchased Payments, expenses, Purchase Price and various other disclosures.

Encumbrance
Any claim, right, lien, policy loan, or restriction. In addition, this includes any limits on rights of ownership (such as the
use, voting, transfer, receipt of income, etc.).

Funding Date
The date We pay You the Net Purchase Price.

Issuer
The insurance company that issued the Annuity Policy.

Life Insurance Policy
The Policy We (as defined in this section below, including successors, assigns and designees) may purchase to ensure that
We recover the value of any Life Contingent Purchased Payments should You die before We receive them.

Mortality Adjustment
The total cost of the Life Insurance Policy, if any.

Obligor
The Person who is obligated to make payments to You under the Settlement Agreement.

Party
One of You or Us. Parties means both You and Us.

Person
Any natural person or legal entity.

Purchased Payments
Only those certain payments that We are purchasing from You under this Contract. Some of the Purchased Payments may
be conditioned upon You still being alive at the time those Purchased Payments are made to Us. If so, those Purchased
Payments are referred to as “Life Contingent.”

Purchase Price:

Gross Purchase Price

PURCHASE CONTRACT FORM 1
DocuSign Envelope ID: 8D2A7052-E641-4810-963F-C12E8F1EF8AF

Account ID: 1514798

a StoneStreet
The amount shown as the “gross amount payable to the seller (You)” on the Disclosure Statement. This is the
sum We have agreed to pay You before any deductions as setforth in the Contract Documents.

Net Purchase Price
The amount shown as the “net amount payable to the seller (You)” on the Disclosure Statement. This is the sum
We have agreed to pay You after any deductions as set forth in the Contract Documents.

Settlement Agreement
The agreement that You and the Obligor signed to resolve Your personal injury claim.

Settlement Payments
All of the payments that the Obligor has agreed to make to You in the Settlement Agreement.

We, Our, or Us
Stone Street Originations, LLC, along with any of its successors, assigns, and designees. Some of the Contract Documents
or Closing Documents may refer to Us as the purchaser.

You or Your
The Person named on this Contract’s first page. Some of the Contract Documents or Closing Documents may refer to You
as the seller.

4. YOUR REPRESENTATIONS AND WARRANTIES

You represent and warrant to Us the following:

A You understand that THIS IS A SALE AND NOT A LOAN.

B. The Annuity Policy is in full force, You are the sole and undisputed recipient of the right to the Purchased Payments
have the right to sell them free and clear of any Encumbrances and have not previously sold any of the Purchased
Payments to any other Person.

You understand that Court Approval is required for this purchase; and You agree to fully cooperate with Us to obtain
that approval.

You gave Us all requested information and signed all documents necessary to complete the purchase. Every
statement made by You in the Contract Documents and Closing Documents is true and complete.

No law, divorce decree or other legal obstacle:

. requires You to keep the Purchased Payments for the benefit of a current or former spouse, dependent
children, or other person; or

. legally prevents You from contracting with Us, selling the Purchased Payments or changing the Annuity
Policy’s beneficiary.

F. Either:

PURCHASE CONTRACT FORM 1
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Account ID: 1514798

a Capi treet

You have never filed for bankruptcy, will not do so before the Funding Date and there are no lawsuits or
efforts by any of Your creditors to put You into bankruptcy or take any of the Purchased Payments; or

If You filed for bankruptcy, the Purchased Payments were not subject to the claims of Your creditors. You will
give Us a copy of any of Your bankruptcy documents that We request including evidence of a final
bankruptcy payoff or case closing, if any.

We can rely on Your representations, warranties, and promises in this Contract. These representations, warranties,
and promises are for Our benefit and the benefit of any future owners of the Purchased Payments. You understand
that Our reliance on any intentional misrepresentation by You may result in Our enforcing Our rights against You in
court.

You had enough time to consider the sale of the Purchased Payments, understand the terms of the Contract
Documents and Closing Documents (including the arbitration provision), are of legal contracting age and sound mind,
not under the influence of drugs or alcohol, and freely and voluntarily, enter into this Contract and agree to all of its
terms.

You were advised by Us to obtain independent legal advice and professional tax advice about the sale of the
Purchased Payments and to have those advisors review the terms and legal, tax and other effects of this Contract with
You prior to Your execution of this Contract. You have also explored all appropriate financial options before entering
into this transaction.

We did not provide tax, financial, or legal advice to You about this Contract and have advised You that We may not
refer You to any specific attorney for such purpose.

If You are married, Your spouse understands all of the terms and conditions of this Contract including, but not limited
to the fact that, after the Funding Date, You (and Your spouse) will not receive the same amount of money on the
same payment schedule as You would have received under the Annuity Policy. Your spouse has been provided with all
information relating to the transaction and has had every opportunity to review the terms of the transaction and to
seek any advice relating thereto. Your Spouse also understands that he or she will be giving up any property or
contract rights that he or she may have in the Purchased Payments.

We may sell, transfer, or assign Our right to the Purchased Payments and Our right in the Life Insurance Policy
described in subsection N below in a sale, securitization, or other financing transaction (resale). Any resale would
involve disclosing certain information about You (including Your personal information) to the parties to a resale.

Any future owner of the right to the Purchased Payments will have all of the same rights We have, including the right
to the duties You owe Us under this Contract. This includes the right to make a claim against You for violating any of
the representations, warranties, or promises You made in this Contract.

You understand that as part of this Contract, We (as defined in the “Defined Words” section above, including
successors, assigns and designees) may purchase a Life Insurance Policy on Your life in the total amount of the
Life Contingent Purchased Payments sold to Us and that We will be the owner and beneficiary of the Life
Insurance Policy. You authorize Us, Our subsidiaries and affiliates to obtain certain medical information in order
to purchase the Life Insurance Policy. You agree to cooperate with Us in obtaining the Life Insurance Policy and
understand that this transaction may be contingent upon Us obtaining the Life Insurance Policy. If We attempt
to purchase a Life Insurance Policy on Your life to ensure that We recover Our Life Contingent Purchased
Payments, and We are unable to obtain that Life Insurance Policy at all, or We are unable to obtain it at an
amount substantially close to that shown on the Disclosure Statement as the Mortality Adjustment, We may

PURCHASE CONTRACT FORM 1
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Account ID: 1514798

a StoneStreet
cancel this transaction at any time. If We cancel this transaction after entry of a Court Order, You will cooperate
in the withdrawing or vacating of the Court Order. We may unilaterally waive this provision at any time.

5. YOUR PROMISES TO US

Before and after the Funding Date:

A. You will tell us right away if Your address or telephone number changes and do everything necessary, including
completing and signing all documents to:

. sell the right to the Purchased Payments to Us;

. change the beneficiary as required by this Contract;

. correct any documentation errors in the Contract Documents or Closing Documents.

. Assist Us in obtaining and maintaining the Life Insurance Policy.

You will also tell Us if any of the following occurs:

. a violation of this Contract; or

. anything that could negatively affect the Annuity Policy, the Purchased Payments, the Life Insurance Policy or
this Contract.

You will not:

. agree to sell the Purchased Payments to any Person other than Us;

. change the Annuity Policy’s beneficiary to any Person other than Your estate until We have collected all of
the Purchased Payments; or

. withdraw cash from, borrow against, or change the Annuity Policy.

You will give Us information necessary to update Your representations, warranties, and promises in this Contract. You
will also update any documents and information so they will be true and complete on the Funding Date.

We are now, and will continue in the future, to rely on the representations and warranties You have given Us. We will
confirm the accuracy of Your representations and warranties. You must cooperate with this confirmation and provide
complete access to any information We believe necessary.

You agree that updating representations, warranties, promises, documents and other information will not cure a
breach of any representation or warranty made by You that was not true and complete.

You agree that Our obligation to You under this Contract is strictly limited to the requirement to pay You what We owe
You under the terms of this Contract, after receipt and approval of the Closing Documents, final underwriting approval
and Court Approval. Under no circumstances will We be liable for any consequential damages.

You agree to cooperate with Us at any time to establish the Life Insurance Policy. You will not be required to pay any
Life Insurance Policy costs other than those shown on the Disclosure Statement as the Mortality Adjustment. You also
agree that You will, at Your own expense, on a quarterly basis, during the period that the Life Contingent Purchased
Payments are outstanding, execute and notarize the forms We have provided to confirm You are still alive. You
understand that the Annuity Company Issuer requires this in order to pay Us the Life Contingent Purchased Payments
and that You will be in Default under this Contract if You fail to do so.
PURCHASE CONTRACT FORM 1
DocuSign Envelope ID: 8D2A7052-E641-4810-963F-C12E8F1EF8AF

Account ID: 1514798

a StoneStreet

I You hereby appoint Us and any of Our designees, with full power of substitution as your Attorney in Fact, to act in
Your name and place for the purpose of assigning and transferring ownership of any and all right, title and interest
that You have in the Purchased Payments and for Us to obtain all benefits contemplated by this transaction. You also
give Us full authority to act in any way proper and necessary to exercise this Attorney in Fact appointment including,
but not limited to: (1) negotiating, endorsing and executing checks, drafts and other instruments in Your name; and
(2) instituting, maintaining, compromising, settling and terminating any litigation or other proceedings related to the
Purchased Payments. This power of attorney is coupled with an interest and shall survive death or disability.

6. CANCELLATION BY US

We may cancel this Contract before the Funding Date if:

A You breach any representation, warranty, or promise in any Contract Documents or Closing Documents.

B. The petition for the Court Order is contested, opposed, or not approved.

We are sued or threatened with a lawsuit or an arbitration about this Contract or the Annuity Policy, or the Life
Insurance Policy, if any.

There is any threatened, pending, or final action, or change in law or rule challenging the legality of, or negatively
affecting this transaction.

You file for, or are forced into bankruptcy.

You die.

Final approval has not been given by Our underwriting department.

The Purchase Contract is not signed by You and received back by Us by January 19, 2024.

A major rating agency downgrades the Issuer's credit rating.

The Issuer is, or becomes insolvent, or under regulatory supervision.

If applicable, We are unable to obtain the Life Insurance Policy at all, or are unable to obtain it at an amount
substantially close to the amount shown on the Disclosure Statement as the Mortality Adjustment.

With respect to A through K above, to the extent permitted by applicable law, the arbitration provision in Section 10 of
this Contract shall survive the termination, cancellation or rescission of this Contract.

7. CANCELLATION BY YOU

A. (1) YOU MAY CANCEL THIS CONTRACT WITHOUT PENALTY OR FURTHER OBLIGATION AT ANY TIME
WITHIN FIVE (5) BUSINESS DAYS AFTER THE DATE YOU RECEIVE PAYMENT HEREUNDER FROM US. IN
ORDER FOR THE CANCELLATION TO BE EFFECTIVE, YOU MUST SEND A NOTICE POSTMARKED AT ANY
TIME WITHIN FIVE BUSINESS DAYS AFTER YOU RECEIVE PAYMENT HEREUNDER FROM US (This is the
rescission period).

(2) YOUR NOTICE IS TO BE SENT EITHER BY CERTIFIED OR REGISTERED MAIL (RETURN RECEIPT
REQUESTED) OR FEDEX OR ANOTHER MAJOR OVERNIGHT DELIVERY SERVICE. THE NOTICE MUST

PURCHASE CONTRACT FORM 1
DocuSign Envelope ID: 8D2A7052-E641-4810-963F-C12E8F1EF8AF

Account ID: 1514798

a StoneStreet
INCLUDE A BANK OR CERTIFIED CHECK MADE PAYABLE TO US, IN THE FULL AMOUNT RECEIVED BY
YOU. YOUR NOTICE MUST BE SENT TO:

Stone Street Originations, LLC
Attentio Manager of Operations
1200 Morris Drive,
Chesterbrook, PA 19087

GEORGIA RESIDENTS: YOU MAY CANCEL THIS TRANSACTION AT ANY TIME PRIOR TO 5:00 P.M.
OF THE TWENTY-FIRST DAY FOLLOWING RECEIPT OF THE ENCLOSED “NOTICE OF CANCELLATION
RIGHTS” FORM, OR AT THE HEARING ON THE APPLICATION FORAUTHORIZATION OF A TRANSFER OF
STRUCTURED SETTLEMENT PAYMENT RIGHTS, OR AT ANYTIME WITHIN FIVE (5) BUSINESS DAYS
AFTER YOU RECEIVE PAYMENT HERE UNDER FROM US, WHICHEVER EVENT OCCURS LAST (This is the
Georgia rescission period). IN ORDER FOR THE CANCELLATION TO BE EFFECTIVE, YOU MUST SIGN THE
ENCLOSED “NOTICE OF CANCELLATION RIGHTS” FORM AND MAIL OR DELIVER IT TO US AS SPECIFIED
IN THAT NOTICE AND YOU MUST RETURN ALL AMOUNTS (PURCHASE PRICE OR OTHERWISE) RECEIVED
BY YOU ACCORDING TO THE REQUIREMENTS OF 7 (A) (2) ABOVE.

WEST VIRGINIA RESIDENTS: IN ORDER FOR YOUR CANCELLATION TO BE EFFECTIVE, YOUR NOTICE
CAN BE SUBMITTED VIA PHONE, MAIL, OR FACSIMILE. ANY AMOUNTS ADVANCED BY US IN
CONTEMPLATION OF THE TRANSFER SHALL BE IMMEDIATELY REFUNDED TO US. IF YOU DISMISS
YOUR ACTION AFTER APPOINTMENT OF A GUARDIAN AD LITEM, OR RESCIND YOUR TRANSFER,
AGREEMENT (PURCHASE CONTRACT) WITHIN THE RESCISSION PERIOD IN 7(A) (1) ABOVE, YOU SHALL
BE RESPONSIBLE FOR THE FILING FEE AND ANY GUARDIAN AD LITEM FEES.

With respect to A through C above, to the extent permitted by applicable law, the arbitration provision
in Section 10 of this Contract shall survive the termination, cancellation or rescission of this Contract.

8. NOTICES

A All notices about this Contract must be in writing.

B. All notices must be sent either by: (1) certified or registered mail (return receipt requested); or (2) FedEx or another
major overnight delivery service with a delivery tracking system and are considered given when delivered as follows:
If to You: to the most recent address for You listed in Our files. If to Us: to the address listed in Section 7(A) (2) of
this Contract.

9. EVENTS OF DEFAULT

You will be in default if You:

A fail to comply with any terms or conditions of this Contract; or

B. breach any of Your representations, warranties and promises in this Contract.

If You are in default, even if You have not rejected the arbitration provision (see Section 10 of this Contract), We have the right
to enforce Our rights against You in court to make You perform Your promises or to get money from You. If We sue You in
court in connection with a Claim that is subject to arbitration under the arbitration provision in Section 10 of this Contract, and
You have not rejected the arbitration provision, You will have the option of remaining in court or seeking to compel arbitration
of that Claim under the terms of the arbitration provision.

10. ARBITRATION PROVISION
PURCHASE CONTRACT FORM 1
DocuSign Envelope ID: 8D2A7052-E641-4810-963F-C12E8F1EF8AF

Account ID: 1514798

a StoneStreet

To the extent permitted by applicable law, You and We agree to the following arbitration provision.

YOU HAVE THE RIGHT TO REJECT THIS ARBITRATION PROVISION AS SET FORTH BELOW. If You do not reject
this arbitration provision and a Claii is arbitrated, You will not have the right to: (1) have a court or a jury
decide the Claim; (2) engage in information gathering (discovery) to the same extent as in court; (3) participate
in a class action in court or in arbitration; or (4) join or consolidate a Claim with claims of any other person. The
right to appeal more lit ited in arbitration than in court and other rights in court may be unavailable or
li ited in arbitration.

Claims Subject to Arbitration. A “Claim” subject to arbitration is any claim, dispute or controversy between You and Us
(other than an Excluded Claim or Proceeding as set forth below), whether preexisting, present or future, which arises out of, or
relates to the Contract, the negotiations related thereto, the breach thereof or any other transaction conducted with us in
connection with the Contract. “Claim” has the broadest possible meaning and includes initial claims, counterclaims, cross-
claims, third-party claims and federal, state, local and administrative claims. It includes disputes based upon contract, tort,
consumer rights, fraud and other intentional torts, constitution, statute, regulation, ordinance, common law and equity and
includes claims for money damages and injunctive or declaratory relief. Upon the demand of You or Us, Claim(s) will be
resolved by individual (not class or class-wide) binding arbitration in accordance with the terms specified in this arbitration
provision.

Special Defi: ions. Solely for purposes of this arbitration provision, in addition to the meanings set forth in this Contract:
(1) “We,” “Us” and “Our” also (a) refer to Our employees, officers, directors, parents, controlling persons, subsidiaries and
affiliates and (b) apply to third parties if You assert a Claim against such third parties in connection with a Claim you assert
against Us; and (2) “You” or “Your” also refer to Your current or former spouse(s), children. heirs, estate, executors,
successors, assigns, representatives and beneficiaries.

Excluded Claim or Proceeding. Notwithstanding the foregoing, “Claim” does not include any dispute or controversy about
the validity, enforceability, coverage or scope of this arbitration provision or any part thereof (including, without limitation, the
“Class Action Waiver” set forth below and/or this sentence); all such disputes or controversies are for a court and not an
arbitrator to decide. However, any dispute or controversy that concerns the validity or enforceability of the Contract as a whole
is for the arbitrator, not a court, to decide. In addition, We will not require You to arbitrate any individual action brought by
You in small claims court or Your state’s equivalent court, unless such action is transferred, removed, or appealed to a different
court.

Federal Arbitration Act. Notwithstanding any other provision in this Contract, You and We agree that this Contract
evidences a transaction involving interstate commerce and that the Federal Arbitration Act (Title 9 of the United States Code)
Cri ") shall govern its interpretation and enforcement and proceedings pursuant thereto. To the extent state law is applicable
under the FAA, the law of the state of Your domicile (where You regularly reside on the Contract Date) shall apply.

Class Action Waiver. Notwithstanding any other provision of thi: Contract, if a Claim is arbitrated, neither You
nor We will have the right: (a) to participate in a class action, private attorney general action or other
representative actior court or in arbitration, either as a class representative or class member; or (b) to join or
consolidate Cl. s with claims of any other Persons. No arbitrator shall have authority to conduct any
arbitration in violation of this provision (provided, however, that the Class Action Waiver does not apply to any
lawsuit or adi istrative proceeding filed against us by a state or federal government agency even when such
agenc

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