Articles Posted in Executive Life Insurance Company of New York

The United States remains obligated to make periodic payments even though it paid for annuities to make those structured settlement payments.  This situation arose because the annuity issuer, Executive Life Insurance Company of New York, failed to make all of the future payments.

In Langkamp v. U.S. the United States Court of Appeals reversed and remanded the United States Court of Federal Claims’ decision that the U.S. had no continuing liability for future structured settlement payments.

Due to financial difficulties of the annuity issuer, the plaintiff suffered a shortfall of approximately 60% of the future structured settlement payments.  The lower court denied Langkamp’s claim for damages saying that the disbursement of funds and the purchase of the annuities was the only obligation of the U.S.  The U.S. Court of Appeals, however reversed this stating in part that, the STIPULATION FOR COMPROMISE SETTLEMENT says that the U.S. will pay “… the sum of $239,425.45 as an upfront payment…and a structured settlement for the benefit of Trevor Landkamp”.