Qualified Settlement Funds & Section 468B
Qualified Settlement Funds (QSFs) are tax qualified trusts for litigation settlement proceeds. They are easy to set up, and offer unparalleled tax and structural benefits. Defendants get an immediate tax deduction and full release, but plaintiffs can defer their income, structure their recovery, etc. They are revolutionizing case settlements, from complex class actions to mom & pop litigation.
Plaintiffs love QSFs, for they can determine when and how to be paid, structure, cash or both.
Defendants love QSFs, for they get their tax deductions immediately!
Plaintiff Lawyers love QSFs, for they can structure their fees, or get paid immediately, even while their clients are still negotiating.
Settlement Administrators love QSFs, which are orderly, tax qualified, and advance settlement goals.
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