Qualified Settlement Fund


Also found in: Acronyms.

Qualified Settlement Fund

A fund into which a defendant in a lawsuit may deposit assets to pay multiple plaintiffs. Under a qualified settlement fund, the plaintiffs may not have agreed how to distribute the assets among themselves, but they have agreed that the defendant has no further liability to pay beyond what is in the qualified settlement fund. This means that the defendant cannot be forced to pay any more to settle the claim with the plaintiffs. The amount the defendant puts into a qualified settlement fund is tax deductible. Qualified settlement funds are also called 468B settlement funds or 468b settlement trusts.
References in periodicals archive ?
Qualified settlement funds include the designated settlement fund plus liabilities under tort, environmental, breach-of-contract, violation-of-law, and other claims as designated by the IRS.
The Administrator can be contacted by writing: Lynn Lincoln Sarko, Exxon Qualified Settlement Fund, P.
The final regulations allow the Trust to be classified as a Qualified Settlement Fund on Jan.
To date, the company has paid approximately $200 million into qualified settlement funds pursuant to the terms of previously announced agreements.
July 12, 2011 /PRNewswire-USNewswire/ -- Due to the expansion of qualified settlement funds regulations, dispute resolution mechanisms have grown exponentially and a new BNA Tax and Accounting Portfolio, Qualified Settlement Funds and Section 468B, written by Robert Wood of Wood & Porter, considers all aspects of the QSF maintenance process and gives guidance through the complex policies.
lump-sum payout considerations, taxation issues, 468b qualified settlement funds, and mass-tort settlement issues.
IRS guidance: In a series of letter rulings, (16) the Service ruled that contingent attorneys' fees paid from qualified settlement funds, as defined by Sec.
pension plans and bankrupt estates) and (4) administrators of qualified settlement funds.
468B dealing with qualified settlement funds did not provide guidance for accounts and funds governed by Sec.

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