Coffey v. Singer Asset Finance Co., LLC
Appellants Rebecca Coffey, Angela Douglas, Donna Kisor, and Elizabeth Wallace appealed summary judgments dismissing their claims against Singer Asset Finance Company, Settlement Capital Corporation, and Merrick Bank Corporation. Appellants had previously settled personal injury lawsuits, receiving structured payments, and later took loans from appellees, using their future settlement payments as collateral. They sought to void these security interests, arguing they were prohibited by the insurance code, structured settlement documents, and public policy, contending the pledges constituted unlawful assignments or commutations. The court affirmed the trial court's judgment, concluding that the loan transactions created security interests, not assignments or commutations, and were thus permitted under the insurance code. Furthermore, the court found that the appellants had either waived or were estopped from asserting anti-assignment provisions in their original settlement agreements, and that these transactions did not violate public policy.