Intellectual Property Structured Settlements

Intellectual Property

Structured Settlements

Tax Efficient Customized Payment Streams as compensation for victims of Copyright, Patent and Trademark Infringement

From Silicon Alley to Silicon Valley


What is Intellectual Property?

Intellectual property (IP) refers to creations of the mind, such as inventions; literary and artistic works; designs; and symbols, names and images used in commerce.


IP is protected in law by, for example, patentscopyright and trademarks, which enable people to earn recognition or financial benefit from what they invent or create. By striking the right balance between the interests of innovators and the wider public interest, the IP system aims to foster an environment in which creativity and innovation can flourish.   Source: World Intellectual Property Organization  (WIPO)


Why Structure Intellectual Property Lawsuit Settlements?


Intellectual Property settlements are taxable


What matters is how the proceeds are characterized.


  • If the proceeds of such an action are intended to reimburse the plaintiff for lost profits, the award would be taxed as ordinary income.
  • If the payment is actually meant to reimburse the company for damages to a capital asset, such as loss of goodwill or diminished value of its capital investment, the proceeds could be treated as a nontaxable return of capital. Any proceeds that exceed the company’s basis in that asset would be taxed as a capital gain.


Tax authorities will look at the text of the award or settlement agreement, with heavy emphasis on the wording of the lawsuit complaint or claim.


Don't Be Left With the Proverbial "Lousy T-Shirt"



After legal fees and taxes plaintiffs are left with what feels like the short end of the stick. Perhaps you feel like "I invented this, someone stole my idea, I sued, and all I got was this lousy t-shirt". But there is a potential mitigation solution, using intellectual property structured settlements in conjunction with a
Plaintiff Recovery Trust.  Plan ahead!


For Plaintiffs


Instead of being victimized twice, a plaintiff using a  non qualified structured settlement,  can move forward with a custom designed payment plan as compensation for intellectual property damages that meets their specific needs and defer taxes in the process! A win-win IP settlement solution from 4structures.com LLC. Keep moving forward with stable income to help compensate for your loss.


For Defendants


Using a non-qualified assignment, Defendants can offer a more creative solution that meets the plaintiff's needs and get a complete novation.


Last updated August 17, 2023 .

Copyright

Trademark

Patent

Friendly Support

Who do we work with?


We work with innovators, inventors, copyright holders, patent holders, trademark holders and intellectual property lawyers to help bridge gaps in negotiations to help them resolve intellectual property disputes and provide a creative tax efficient means to maximize the net value of intellectual property claims and other lawsuit settlements with taxable damages.



What are some of the payment options?


How do we get paid?


A variety of customized periodic payment solutions are available for intellectual property settlements including fixed,  interest rate linked,  indexed -linked (uncapped), treasury backed, and  market based solutions in combination, or stand alone.


 




We are paid by commission or fees on the placement of the funding instrument(s).



Why Structure the Intellectual Property Settlement?

John darer structured settlement expert

Intellectual Property Settlements

Have a question about intellectual property structured settlements?  Would you like a structured settlement quote to support an offer or demand in an intellectual property case?  Call  888-325-8640 or send me a message and we’ll be in touch.

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