A Belleville resident is suing numerous defendants alleging violation of the Illinois Consumer Fraud and Deceptive Business Practice Act.
Valerio Sanders filed a class action complaint Feb. 11 in the St. Clair Circuit Court against JGWPT Holdings Inc., JGWPT Holdings LLC, J.G. Wentworth LLC, Peachhi LLC, Peach Holdings Inc., Peachtree Financial Solutions LLC, Peachtree Settlement Funding LLC, Settlement Funding LLC, doing business as Peachtree Settlement Funding, Brian P. Mack and the Mack Law Group PC, citing violations of the Illinois Consumer Fraud and Deceptive Business Practice Act.
According to the complaint, JGWPT entities were engaged in the business of purchasing deferred payment annuities, including structured settlements. The plaintiff states the defendants used advertisements that stated beneficiaries of deferred payment annuities could get quick cash in exchange for the annuity.
Since 1995, JGWPT companies and its predecessors have purchased over $9.1 billion in future payment obligations, the firm's website states.
The JGWPT entities purchased deferred payment annuities from consumers, including the plaintiff, for an amount that was discounted to present cash value, but intentionally failed to inform consumers that if their settlement contained an anti-assignment clause, no lump sum payment could be made to the consumer, according to the complaint. The plaintiff further alleges, JGWPT entities failed to inform consumers, including the plaintiff, that anti-assignment clauses prohibited the sale of deferred payment annuities.
In order to facilitate the process, Brian P. Mack and the Mack Law Group PC would obtain Qualified Orders for the JGWPT entities so they could purchase the deferred payments at a discounted rate and to avoid tax consequences, according to the complaint. The plaintiff contends the defendants' actions violated the Illinois Consumer Fraud and Deceptive Business Practices Act.
The plaintiff is seeking compensatory damages, punitive damages, injunctive relief, costs and fees.
He is being represented in the case by David Cates and Ryan Mahoney of Cates Mahoney LLC and Brad L. Badgley of Brad L. Badgley PC.
St. Clair County Circuit Court case no. 14-L-148.