A Florida appeals court has affirmed a ruling by a state administrative law judge that state regulators can’t demand information from life settlement firms in the state about business they conduct outside of Florida.
The First District Court of Appeal in Tallahassee affirmed the administrative law judge’s finding in May 2009 that the Office of Insurance Regulation’s rule, which would have required viatical settlement providers to file reports on out-of-state transactions, was an impermissible exercise of legislative authority.
According to the Life Insurance Settlement Association, the rule would have required viatical settlement providers doing business in the state to disclose publicly detailed information about their nationwide and international business activities.
LISA, Orlando, Fla., challenged this rule before the law judge on the grounds that it was an invalid exercise of delegated legislative authority and that LISA’s members would be adversely affected.
“LISA is very pleased with this ruling and looks forward to the development of rules as mandated by the legislature,” the association said in a statement announcing the ruling. The court’s opinion can be found by clicking here.