Published:
William F. McMurry - Lead Class Counsel Obtains $16.4 Million Settlement for Elderly Clients
LOUISVILLE, Ky., July 17 /PRNewswire/ -- William F. McMurry, a Nationally
Board Certified Specialist in Medical Malpractice and Legal Malpractice,
obtained today final Court approval of a settlement in the first nationwide
class action suit ever certified by aKentucky state court judge. The
settlement gives economic and equitable relief as many as 24,000 purchasers of
deferred annuities. The Settlement is valued at approximately $16,400,000.
American Equity Investment Life Insurance Company was accused of
participating in a Living Trust mill. Working in concert with aDallas-based
insurance and legal marketing firm (Advanced Legal Marketing Services and
Addison Insurance Marketing) and local attorneys, agents persuaded senior
citizens to buy a Living Trust out of fear that probate proceedings were
costly and not in their family's best interest. After the victims purchased
the Living Trust, agents of the insurance and marketing companies, appearing
as representatives of the law firm, approached the victims and encouraged the
victim to sell their current investments and purchase deferred annuities from
American Equity Investment Life Insurance Company ofDes Moines, Iowa.
These deferred annuities were often sold to elderly couples with 20-year
terms, even though they were approaching their life expectancy. Surrender
charges for early withdrawal were substantial.
As part of the Settlement, American Equity agreed that it would no longer
sell deferred annuities where the Company has knowledge that sales leads were
generated through the sale and/or marketing of living trusts.
The Settlement offers Class Members a new option in connection with their
annuity contracts, namely, the right to immediately annuitize funds, with a
2.4% bonus added to the value of their policies. American Equity also agreed
to waive the penalties and forfeitures, such as surrender charges, that Class
Members who decide to annuitize immediately would incur but for the
Settlement.
American Equity agreed that Class Members who claim that an annuity sale
was unsuitable or based on a misrepresentation, the Claimant will receive
appropriate relief, which under the Settlement "shall include a full refund of
premiums plus interest, the current policy value, modification of surrender
charges, or other appropriate relief."
In addition, the Settlement provides that any Class Member who submits a
claim form, and who was 79 or older when he or she purchased a deferred
annuity from American Equity, will receive the opportunity to withdraw up to
25% of the policy value for each of the next four years, penalty free.
William F. McMurry served as Lead Class Counsel, along with other
attorneys serving as co-counsel. Mr. McMurry has obtained several large
verdicts in personal injury cases, including medical malpractice, legal
malpractice, insurance fraud and serious automobile accident cases.
For more information about William F. McMurry visit
http://www.courtroomlaw.com
SOURCE Courtroomlaw.com
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Copyright © 2008, NewsBlaze,
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