Fee Structure Plus® Provides Creditor Protection
Recently a settlement consultant met with a plaintiff attorney who was about to settle a large personal injury case. The 44-year-old attorney was going to receive a $1.2 million contingency fee from the settlement. The consultant knew that the attorney would realize a significant tax consequence on the fee, so the consultant introduced Fee Structure Plus. Once the attorney understood how the FSP program worked, he was eager for the fee to be placed in the program.
The attorney liked the thought of being able to defer and invest the entire $1.2 million rather than paying $475,200 immediately in taxes at the highest tax rate. The attorney was also pleased with the ability to use a non-qualified assignment with Structured Assignments, Inc. The assignment protects the attorney from claims from potential creditors as the attorney only has the right to receive periodic payments without any ownership rights of the underlying assets. A big attraction to FSP for the attorney was that he could select an investment strategy based on his own risk tolerance that would provide market-related returns.
Without Fee Structure Plus, the attorney said he would never have structured his fee.