A qualified settlement fund (QSF) is a 468b* trust that holds settlement funds before distribution to claimants and law firms. It is an especially useful tool in the post-settlement process for high-dollar single-event cases. The defendant pays the settlement into the QSF instead of the law firm’s IOLTA. Those funds are not constructively received until the law firm and claimant(s) independently plan and decide to receive the distribution.
Single Event Qualified Settlement Funds
Milestone serves as a partner to law firms, alleviating them from post-settlement administrative tasks. When settlement is coming, we can work with your firm to determine which account is the best choice. If a qualified settlement fund (QSF) is the right move, we'll handle setup and distribution while keeping your firm informed at every step.
Post-settlement, handled.
What is a qualified settlement fund?
Why add a QSF to your firm's toolbox?
Delays caused by bankruptcy issues, probate issues, lien resolution issues, divorce proceedings, and other factors, can cause settlement funds to sit for a long time.
Interest from high-dollar settlements, especially those that will sit for a long time, can go to your client, earning them even more.
While the settlement funds remain within the QSF, your client can explore options for preserving government benefits and long-term financial planning.
You and your firm are also afforded the extra time to plan for receipt of your fees and consider tax planning options.
When is a QSF the right move? There's a calculator for that.
Milestone has created a simple calculator to help law firms consider their options. Submit your contact info, and a member of our team will send it to you today.
