Posted by MaggieMae_CA on 7/18/11 6:27pm
Msg #390085

Government bailing out borrower after fraud?

Last Friday I performed a general notarization at a lawfirm. The client was coming in to sign an Assigment of Judgment in a suit involving a realtor who defrauded the client. Apparently, the client received a judgment for $69,000 and there is some government fund whereby she could assign the judgment she received to the government and receive $55,000. In exchange, the government would go after the realtor and revoke the realtor's license and collect the $69,000 judgment.

I didn't read the document and the plantiff was the client's name and the defendant was realtor's name and I don't know if this was the state or feds the judgment was being assigned to. The client was a very angry lady who wouldn't stop talking, the attorney was a mild mannered gentleman who added an additional $20.00 to my requested fee because his client was late for the appointment and I was 3 minutes early.

In any case, that was a first for me seeing a government entity (I'm assuming from the conversation between the client and attorney) obtaining a judgment at a discount and I was wondering if anyone else has seen this. Is the government getting into structured settlements?

Reply by John Schenk on 7/18/11 6:48pm
Msg #390088

Didn't see anything in your post referring to any structuring of a settlement, which would include funding through an annuity and a payout.

Interesting, nonetheless.

JJ

Reply by MikeC/NY on 7/19/11 12:14am
Msg #390102

"Apparently, the client received a judgment for $69,000 and there is some government fund whereby she could assign the judgment she received to the government and receive $55,000. In exchange, the government would go after the realtor and revoke the realtor's license and collect the $69,000 judgment."

I have never heard of any state program that would discount a judgment if you assign it to the state, but with all the problems CA is having anything is possible.

Also, a RE license is issued by the state and here are strict rules for revoking it, so that alone would peg my BS meter..... Sounds very iffy to me...