assignment of future claims

Assignment of Future Claims and Factoring

InDret, Vol. 4, 2010

41 Pages Posted: 12 Jan 2011

Antonio Ortí Vallejo

University of Granada

Date Written: Ocotober 2010

This paper analyses the assignment of future claims in Spanish law as comparative elements using the Principles of European Contract Law and the Draft Common Frame of Reference. The assignment of future claims, which in most cases places with factoring contracts, may be some future rights to performance that will arise from contracts already concluded and also from contracts have not been done at the time of assignment. First, the paper focuses the general problem and not unique to the assignment of future claims - but here is growing - the boundary between full assignments and another hypothesis that, despite using the mold of the assignment, they cannot have transfer effect claims (assignment for purpose of security or in order to collect). Secondly, it tries to clarify the uncertain scene of the subject in Spain caused the variety of assignments and types of factoring that records the practice, their misleading names and configuration and all without an adequate contrast to the general principles of contract. Third and finally, it deals the central point of work with problems of the assignment effectiveness of future claims against third parties, especially towards the creditors of the assignor and the assignor bankruptcy. The paper combats the criterion to hold in all cases retroactive transfer effect at the assignment time, as it is in the PECL and Spanish disp. add. 3rd of Act 1/1999. Both introduced some special system priorities and effectiveness for certain assignments of future claims. With that aim the paper analyses the general hypothesis of purchase of future assets on the general principles of contract in each cases and regarding the above mentioned disp. which lacks coordination with the Bankruptcy Spanish Act.

Note: Downloadable document is in Spanish.

Keywords: Assignment Of Future Claims, Factoring, Effectiveness Of Assignment Against Third Persons

Suggested Citation: Suggested Citation

Antonio Ortí Vallejo (Contact Author)

University of granada ( email ).

C/Rector López Argueta S/N Granada, Granada 18071 Spain

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European Private Law eJournal

• Corpus ID: 111704465

Assignment of Future Claims and Factoring

• Antonio Ortí Vallejo
• Published 2010

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162611 Assignment of Claims

• Published: August 2018
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‘Contractual claims represent a major tradable asset. They can be sold outright, as in the typical factoring transaction, or assigned by way of security for a loan or other obligation. The purpose of this Chapter is to set out principles and rules which are designed to facilitate the assignment of claims, whether individually or in bulk, whilst at the same time ensuring that the debtor’s rights are not prejudiced by the assignment.

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Assignment of Claims: A Comparative Analysis of the United Kingdom and Australia

The United Kingdom and Australia have recently implemented legislative changes to permit external administrators to assign or sell causes of action available to them. The reforms were directed at bolstering the negotiating position of external administrators, enhancing director accountability and, importantly, allowing added ‘value of [liquidators’ rights of action] to be realised’. [1]  With the benefit of almost five years of implementation in the UK and over three years in Australia, we explore key aspects of both regimes with a view to leveraging this collective experience to assist practitioners to effectively realise the value of their rights of action and maximise returns to creditors in both jurisdictions.

The assignment of claims

Put simply, the assignment of a claim involves the transfer of a cause of action from the company or its external administrator to a third party (commonly a litigation funder) for a purchase price. Following the assignment, the claim is pursued in the name of the purchaser with no requirement for further external administrator involvement (unless agreed), contribution or exposure.

What claims can be assigned?

External administrators in the UK and Australia have historically had power to dispose of a company’s property (including a cause of action) by way of assignment. The recent legislative changes further supplement this power by allowing external administrators to also assign causes of action that are conferred on them personally. Following these changes, the claims that are capable of assignment can be summarised as follows.

• United Kingdom
• Company claims, including claims available to the company prior to the date of liquidation and proceedings commenced prior to that date; and
• causes of action conferred on the external administrator by the  Insolvency Act 1986 , including fraudulent trading (England, Wales and Scotland), wrongful trading (England, Wales and Scotland), transactions at undervalue (England and Wales), preferences (England and Wales), gratuitous alienations (Scotland), unfair preferences (Scotland) and extortionate credit transactions (England, Wales and Scotland).
• Company claims, including debt claims and contractual rights to claim damages; and
• causes of action conferred on the external administrator by the  Corporation Act 2001  (Cth), including unfair preferences, uncommercial transactions, insolvent transactions, unfair loans to a company, unreasonable director-related transactions and insolvent trading claims.

It must also be noted that certain claims cannot be assigned. For example, in both the UK and Australia, it is not possible to assign causes of action under a contract that expressly prohibits assignment. In the UK, it is not possible to assign rights to appeal against the imposition of a tax liability. In Australia, a company’s un-assignable statutory cause of action (e.g. a misleading and deceptive conduct claim) cannot be assigned merely because that company is in external administration, and there is also conflicting authority on whether an external administrator is permitted to assign a claim for breach of directors’ duties.

Why assign?

The post-implementation experience in both jurisdictions supports the proposition that, as intended, assignments do improve external administrators’ ability to effectively ‘realise the value of their rights of action’ by providing them with an additional tool for the monetisation of claims. Notwithstanding the adoption of lawyers’ damages-based and contingency fee agreements in the UK and solicitors’ conditional costs agreements in Australia, there remains a significant proportion of legal claims which external administrators would ordinarily be unable to pursue due to funding and other constraints. However, with the benefit of assignment, external administrators:

• can monetise claims that were not otherwise able to be pursued and, therefore, had no value;
• by monetising claims, can distribute funds to creditors without achieving a successful outcome in the claim and without incurring the significant costs and delays associated with litigation; and
• are able to maximise returns to creditors and receive and distribute funds earlier, while mitigating risk and decreasing cost.

Consequently, the ability to assign claims leads to better outcomes for creditors, external administrators and other stakeholders.

Assignment structure

Although there are a number of ways to structure the purchase of a claim, we suggest that the following are the most commonly negotiated arrangements:

• One-off upfront payment. Such an arrangement can be reached very early in the claim’s lifecycle and has the benefit of requiring no long-term involvement from the company or the administrator. The purchase price can be distributed to creditors without delay and the administration can be closed. All future investigations and litigation are undertaken by the purchaser.
• Funding of investigations and subsequent payment (whether as ‘one-off’ as above, or ‘split’ as below). Such an arrangement allows for the claim to be investigated utilising the investigative powers of the external administrator (available in both the UK and Australia), with the benefit of funding from the purchaser. It allows the claim to be quantified and assessed prior to assignment.
• Split payment including a fixed up-front component and a contingent component payable as a share of the recovery. This arrangement allows for a sharing of risk and reward between the external administrator and the purchaser, and is particularly common in claims with an uncertain quantum.

In our experience, the ‘split payment’ structure is most commonly used in the UK, whereas in Australia the use of the above options is more evenly spread. Every claim and administration will have different characteristics which may invite a different assignment structure. Therefore, we advocate for a flexible approach to assignment negotiations. By way of illustration, an upfront payment provides certainty and eliminates risk, but at a discounted price; whereas a contingent structure shares the risk and delay but offers a potentially greater return. External administrators should consider their priorities, and that of the creditors, before settling on a preferred assignment structure.

Assignment pricing

In the absence of an active market for legal claims, an objective and transparent valuation of a claim is critical to an external administrator’s assessment of its sale price. In our experience, this is best achieved through a discounted cashflow methodology, [2]  using the anticipated cashflows from the cause of action (i.e. likely quantum of the claim or settlement), adjusted for outputs (i.e. legal costs, after-the-event insurance, security for costs, administrator’s fees), risk (i.e. litigation risk, enforcement risk) and time.

With the benefit of clear and transparent modelling, an objective price for the claim can be assessed, negotiated and compared with other monetisation options (like using the administration’s resources to fund the claim or obtaining litigation funding).

LCM case study

The future of assignments

The assignment markets in the UK and Australia are growing and gaining momentum. The benefit of the collective experience in these jurisdictions offers further opportunities to continue to develop the ‘toolkit’ available to external administrators. This toolkit better assists external administrators to ‘realise the value of their rights of action’, thereby maximising returns to creditors and improving outcomes for all stakeholders.

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31 U.S. Code § 3727 - Assignments of claims

In subsection (a)(1), the words “or share thereof” and “whether absolute or conditional, and whatever may be the consideration therefor” are omitted as surplus. In clause (2), the word “authorization” is substituted for “powers of attorney, orders, or other authorities” to eliminate unnecessary words.

In subsections (b) and (c), the word “official” is substituted for “officer” for consistency in the revised title and with other titles of the United States Code.

In subsection (b), the words “Except as hereinafter provided” are omitted as unnecessary. The words “read and” are omitted as surplus. The words “to the person acknowledging the same” are omitted as unnecessary. The text of 31:203(1st par. last sentence) is omitted as superseded by 39:410. The words “Notwithstanding any law to the contrary governing the validity of assignments ” and the text of 31:203(last par.) are omitted as unnecessary.

In subsection (c), before clause (1), the words “bank, trust company, or other . . . including any Federal lending agency” are omitted as surplus. The words “of money due or to become due under a contract providing for payments totaling at least $1,000” are substituted for “in any case in which the moneys due or to become due from the United States or from any agency or department thereof, under a contract providing for payments aggregating $1,000 or more” to eliminate unnecessary words. The text of 31:203(2d par. proviso cl. 1) is omitted as executed. In clause (1), the words “in the case of any contract entered into after October 9, 1940 ” are omitted as executed. In clause (2)(A), the words “payable under such contract” are omitted as surplus. In clause (3), the words “true” and “instrument of” are omitted as surplus. The words “department or” are omitted because of the restatement. The words “if any” and “to make payment” are omitted as surplus.

In subsection (d), before clause (1), the words “During a war or national emergency proclaimed by the President or declared by law and ended by proclamation or law” are substituted for “in time of war or national emergency proclaimed by the President (including the national emergency proclaimed December 16, 1950 ) or by Act or joint resolution of the Congress and until such war or national emergency has been terminated in such manner” to eliminate unnecessary words. The words “ Department of Energy (when carrying out duties and powers formerly carried out by the Atomic Energy Commission)” are substituted for “Atomic Energy Commission” (which was reconstituted as the Energy Research and Development Administration by 42:5813 and 5814) because of 42:7151(a) and 7293. The words “other department or . . . of the United States . . . except any such contract under which full payment has been made” and “of any moneys due or to become due under such contract” before “shall not be subject” are omitted as surplus. The words “A payment subsequently due under the contract (even after the war or emergency is ended) shall be paid to the assignee without” are substituted for “and if such provision or one to the same general effect has been at any time heretofore or is hereafter included or inserted in any such contract, payments to be made thereafter to an assignee of any moneys due or to become due under such contract, whether during or after such war or emergency . . . hereafter” to eliminate unnecessary words. The words “of any nature” are omitted as surplus. In clause (1), the words “or any department or agency thereof” are omitted as unnecessary. In clause (2), the words “under any renegotiation statute or under any statutory renegotiation article in the contract” are omitted as surplus.

Subsection (e)(1) is substituted for 31:203(4th par.) to eliminate unnecessary words.

In subsection (e)(2), the words “person receiving an amount under an assignment or allotment” are substituted for “assignees, transferees, or allottees” for clarity and consistency. The words “or to others for them” and “with respect to such assignments , transfers, or allotments or the use of such moneys” are omitted as surplus. The words “person making the assignment or allotment” are substituted for “assignors, transferors, or allotters” for clarity and consistency.

Assignment of Claims

• First Online: 02 September 2017

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• İlhan Helvacı 2  

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A claim arising from a contract or some other source of obligation, such as a tort or unjust enrichment, may be transferred to third parties. A claim may be transferred by an agreement, by a court order or by law. In this section, assignment of claims effected by agreement and those effected by a court decision or operation of law are analysed respectively.

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For further explanations, see Kocaman ( 1989 ), Dayınlarlı ( 2008 ), Günergök ( 2014 ).

Cession des créances , Abtretung von Forderungen .

Becker ( 1941 ), art. 164, N. 4.

Tercier ( 2004 ), p. 304; Thévenoz and Werro ( 2012 ), art. 164, N. 32–35; Eren ( 2015 ), p. 1236; Tercier et al. ( 2016 ), p. 521; Engel ( 1997 ), p. 872.

Eren ( 2015 ), p. 1237; Tercier et al. ( 2016 ), p. 522; Engel ( 1997 ), p. 872; Tercier ( 2004 ), p. 305; Thévenoz and Werro ( 2012 ), art. 164, N. 36.

Tekinay et al. ( 1993 ), p. 247; Eren ( 2015 ), p. 1237; Oğuzman and Öz ( 2016 ), pp. 571–574; Tercier et al. ( 2016 ), p. 522.

Becker ( 1941 ), art. 164, N. 5; Tercier ( 2004 ), p. 305; Tekinay et al. ( 1993 ), p. 240; Tercier et al. ( 2016 ), p. 522.

Déclaration de volonté , Willenserklärung .

Thévenoz and Werro ( 2012 ), art. 164, N. 20; Oğuzman and Öz ( 2016 ), p. 566.

Oğuzman and Öz ( 2016 ), pp. 562–563; Reisoğlu ( 2014 ), p. 466; Nomer ( 2015 ), p. 449.

Acte de disposition , Verfügungsgeschäft . See Chap. 14 fn. 5–6.

Conversely, such a contract is an acquisitive transaction with regard to the assignee.

Pouvoir de disposer, Verfügungsmacht .

Tercier ( 2004 ), p. 306.

Oğuzman and Öz ( 2016 ), p. 560.

Eren ( 2015 ), p. 1231; Tekinay et al. ( 1993 ), pp. 241–242.

von Tuhr and Escher ( 1974 ), § 93, II, p. 333; Oğuzman and Öz ( 2016 ), p. 560; Reisoğlu ( 2014 ), p. 465; Becker ( 1941 ), art. 164, N. 1. For further explanations see Honsell et al. ( 2003 ), art. 164, N. 23–25.

Nomer ( 2015 ), p. 449; Oğuzman and Öz ( 2016 ), p. 569.

Oğuzman and Öz ( 2016 ), p. 563.

See Sect. 8.2.2 .

Nomer ( 2015 ), p. 449; Oğuzman and Öz ( 2016 ), pp. 566–567; Eren ( 2015 ), pp. 1234–1235.

See Sect. 29.2 .

Thévenoz and Werro ( 2012 ), art. 164, N. 19.

See Sect. 29.3 .

Tekinay et al. ( 1993 ), p. 250; Thévenoz and Werro ( 2012 ), art. 164, N. 61; Tercier ( 2004 ), p. 307.

Tercier et al. ( 2016 ), p. 524; Oğuzman and Öz ( 2016 ), pp. 574–575; Eren ( 2015 ), p. 1238.

Oğuzman and Öz ( 2016 ), p. 577.

Feyzioğlu ( 1977 ), p. 641; Tekinay et al. ( 1993 ), p. 241; Oğuzman and Öz ( 2016 ), p. 575.

See Sect. 26.4 .

Tekinay et al. ( 1993 ), p. 251; Oğuzman and Öz ( 2016 ), pp. 577–578.

For further explanations, see Helvacı ( 2008 ).

Thévenoz and Werro ( 2012 ), art. 170 fn. 30, cf. Feyzioğlu ( 1977 ), p. 651; Tekinay et al. ( 1993 ), p. 260.

For further explanations see Çetiner ( 2010 ).

Eren ( 2015 ), p. 1240; Oğuzman and Öz ( 2016 ), p. 576; Oğuzman et al. ( 2016 ), p. 1049, compare to Thévenoz and Werro ( 2012 ), art. 170, N. 9.

Oğuzman and Öz ( 2016 ), p. 576; Nomer ( 2015 ), p. 450.

Feyzioğlu ( 1977 ), p. 651; Tekinay et al. ( 1993 ), p. 259; Oğuzman and Öz ( 2016 ), p. 578.

Thévenoz and Werro ( 2012 ), art. 170, N. 11; Oğuzman and Öz ( 2016 ), p. 578; Feyzioğlu ( 1977 ), p. 651; Tekinay et al. ( 1993 ), p. 260.

For further explanations see Günergök ( 2014 ).

Tercier ( 2004 ), p. 308.

Thévenoz and Werro ( 2012 ), art. 167, N. 21; Oğuzman and Öz ( 2016 ), pp. 582–583; Nomer ( 2015 ), p. 452; Reisoğlu ( 2014 ), p. 470.

Becker ( 1941 ), art. 168, N. 7; Engel ( 1997 ), p. 884; Thévenoz and Werro ( 2012 ), art. 168, N. 4; Feyzioğlu ( 1977 ), p. 656; Oğuzman and Öz ( 2016 ), pp. 583–584.

Öz ( 1990 ), pp. 57–58.

Tekinay et al. ( 1993 ), p. 252 ff ; Oğuzman and Öz ( 2016 ), p. 586; Eren ( 2015 ), p. 1241

See Sect. 18.4.2.2 .

Thévenoz and Werro ( 2012 ), art. 169, N. 11; Feyzioğlu ( 1977 ), p. 658; Oğuzman and Öz ( 2016 ), p. 587; Eren ( 2015 ), p. 1241.

For further explanations see Engin ( 2002 ).

Oğuzman and Öz ( 2016 ), p. 591.

Oğuzman and Öz ( 2016 ), p. 593.

See Sect. 24.2 .

Tekinay et al. ( 1993 ), p. 266; Eren ( 2015 ), p. 1227; Oğuzman and Öz ( 2016 ), p. 596.

See Sect. 25.4.2 , fn. 43.

The transfer of possession is of a factual nature. The material transfer of possession must be complemented by the parties’ agreement (referred to as a real agreement) concerning the transfer of ownership or the constitution of rights in rem . The real agreement is a bilateral legal act and does not require any specific form. It may be formed by the parties’ express or implied declarations of will (intention).

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Helvacı, İ. (2017). Assignment of Claims. In: Turkish Contract Law. Springer, Cham. https://doi.org/10.1007/978-3-319-60061-1_32

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Release of Claims

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Release of claims is an extensive procedure by which one party relinquishes all unknown and known claims against another party. It is generally utilized in settlement negotiations and can be a useful instrument in settling disputes. In addition, releasing claims is voluntary and can be started by either party. Furthermore, the release of claims is usually used in settlement negotiations to settle conflicts, such as employment disputes, personal injury claims, and contract disputes.

How Release of Claims Helps Resolve Disputes

Release of claims is a statutory document that expresses that a party decides to give up all claims against another person in exchange for something of worth. It is usually used in settlement negotiations to resolve disagreements, such as employment disputes, personal injury claims, and contract disputes.

Furthermore, the release of claims procedure starts with a negotiation between the parties concerned. The party seeking the release of the claim usually offers some consideration, such as money or another form of payment, to the other person in exchange for releasing all claims. Once both parties decide on the provisions of the release of claims, both parties draft and sign a written document. Moreover, the release of claims documents generally comprises the following:

• The specific claims released
• The names and addresses of the parties involved
• The consideration being offered in exchange for the release
• A statement that the release is unforced and that the party signing it comprehends its provisions
• A provision that the release is binding on both parties and their heirs, successors, and assigns
• A statement that the release is a final settlement of all claims, known and unknown, arising from the dispute

Release of Claims Advantages

The release of claims process has several advantages for both parties involved in the conflict. Some of the advantages include the following:

The release of the claims process can effectively resolve conflicts between parties. Both parties decide to fix their differences and move on by executing a release of claims. It can be especially helpful when the dispute is causing considerable pressure or monetary hardship for one or both parties. In addition, the release of claims can offer closure and help parties avoid the time and cost associated with litigation.

The release of claims provides certainty to both parties, as it eliminates the risk of future litigation or claims arising from the dispute. In addition, the release of the claims process can be kept confidential, which can be especially important in cases where reputational harm is a concern.

By executing a release of claims, parties have more authority over the result of their disagreement. Instead of leaving the outcome of their argument up to a magistrate or jury, parties can work jointly to come to a mutually advantageous resolution. It can be exceptionally valuable when parties want to keep an association after resolving the dispute, such as in business disputes.

A release of claims can save parties money and time. Litigation can be lengthy and costly, and releasing claims can deliver a quicker and more cost-effective solution. Also, releasing claims can help parties avoid the emotional toll that litigation can take on people and businesses.

Another advantage of a release of claims is that it can save parties from prospective legal action. Once a release of claims is executed, the releasing party cannot seek any further legal action against the released party. Doing this can be especially helpful for organizations that want to safeguard themselves from future legal action by former workers or companies that want to protect themselves from future legal action by clients or suppliers.

Employers usually use the release of claims to safeguard themselves from liability. When employees sign a release of claims, they give up their lawful privilege to sue the employer for any suits related to their employment. This comprises claims for discrimination, wrongful termination, or harassment. It is valuable for companies who want to avoid costly legal battles and protect their enterprise reputation.

Eventually, a release of claims can be customized to fulfill the specific requirements of both parties. It can comprise specific terms and conditions decided upon by both parties. This allows for higher flexibility in settling conflicts and can lead to a more satisfactory result for all parties involved.

Key Terms for Release of Claims

• Claims: Allegations or requests made by one party against another for losses or damages incurred due to a particular incident or action.
• Settlement Agreement : A lawfully binding contract between parties that summarizes the terms of a settlement, including the release of claims.
• Waiver : An intentional and voluntary relinquishment of a legal privilege or claim.
• Consideration: Something of worth provided in exchange for a release of claims, such as goods, money, or services.
• Indemnification: A provision in a release of claims that demands one party to pay another party for any damages or losses that may occur.
• Mutual Release: A release of claims executed by both parties, which allows both parties to release each other from suits or liabilities.

Final Thoughts on Release of Claims

In a nutshell, the release of claims is a useful tool in resolving conflicts between parties. It saves time and money, offers assurance and finality, maintains privacy and associations, and can be used in different contexts. And if you are involved in a conflict and are considering a release of claims, it is necessary to seek legal guidance to ensure that you comprehend the terms of the release and that your rights are safeguarded.

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FAC Number: 2024-05 Effective Date: 05/22/2024

32.304-5 Assignment of claims under contracts.

(a) The agency shall generally require a contractor that is provided a guaranteed loan to execute an assignment of claims under defense production contracts (including any contracts entered into during the term of the guaranteed loan that are eligible for financing under the loan); however, the agency need not require assignment if any of the following conditions are present:

(1) The contractor’s financial condition is so strong that the protection to the Government provided by an assignment of claims is unnecessary.

(2) In connection with the assignment of claims under a major contract, the increased protection of the loan that would be provided by the assignments under additional, relatively smaller contracts is not considered necessary by the agency.

(3) The assignment of claims would create an administrative burden disproportionate to the protection required; e.g., if the contractor has a large number of contracts with individually small dollar amounts.

(b) The contractor shall also execute an assignment of claims if requested to do so by the guarantor or the financing institution.

(c) A subcontract or purchase order issued to a subcontractor shall not be considered eligible for financing under guaranteed loans when the issuer of the subcontract or purchase order reserves-

(1) The privilege of making payments directly to the assignor or to the assignor and assignee jointly, after notice of the assignment, or

(2) The right to reduce or set off assigned proceeds under defense production contracts by reason of claims against the borrower arising after notice of assignment and independently of defense production contracts under which the borrower is the seller.

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Understanding the release of all claims form: a comprehensive guide by the dressie law firm.

Your Trusted Advocates: Maximizing Justice, Minimizing Stress.

Dive into our comprehensive guide on the release of all claims form, where The Dressie Law Firm breaks down its importance, implications, and how we can assist you through the process.

In personal injury cases, the resolution often involves a legal document called a release of all claims. This form signifies the end of a dispute and prohibits any further compensation claims by declaring that the involved parties forgo liability. It’s a binding agreement that accompanies a settlement agreement, and its purpose is clear-cut: to prevent future legal action regarding the injury once compensation is accepted.

Navigating the complex language and ensuring that your rights are protected without inadvertently waiving potential claims requires proficient legal guidance—because knowing what you are signing is as vital as the settlement itself.

The Dressie Law Firm is here to guide you through your personal injury case, from the initial filing to the settlement.

What Is the Release of All Claims Form?

When resolving disputes, particularly in personal injury cases, it is common practice for insurance companies to require claimants to sign release of all claims forms. This document marks the conclusion of your bodily injury case, indicating that you have agreed to accept a settlement from the party responsible for your injuries. As experienced injury attorneys, we ensure you understand that by signing this form, you waive your right to any further legal action related to the accident.

Considering the implications of this form, we guide our clients through each step, ensuring they understand the full extent of the agreement. Should you agree to a settlement, it’s imperative that you are adequately compensated for your losses before signing the document. Our team is dedicated to maximizing case value and advising on the weight of the decision to sign a release, as it prevents future claims for the same incident.

If you’re navigating early legal procedures, understanding the pre-litigation process is essential, and we stand ready to inform and support you every step of the way.

Key Components of the Release of All Claims Form

Generally, the release of all claims form includes the following elements:

Identification of Parties: The parties involved, including the releasor and the releasee, must be clearly identified to eliminate any ambiguity regarding who is responsible and who is being released from liability.

Settlement Amount: The form specifies the settlement amount, signaling the payment agreed upon to compensate for damages.

Release of All Claims: Explicit language details the waiver of current and future claims against the release related to the incident, solidifying that no further legal action will be pursued once the agreement is signed.

Governing Law: A statement indicating which state laws govern the agreement, which is essential for enforcing the terms of the form, must also be included.

Our commitment at Dressie Law Firm is to make sure any form you sign represents a fair and comprehensive agreement for the financial and emotional damages you have endured.

Potential Pitfalls of Signing the Release of All Claims Form

Upon negotiating a settlement, it’s crucial to understand the significance of a release of all claims form. This legally binding document relinquishes the right to sue the released party in the future for the same incident. It’s often a definitive close of legal action, but signing a release form without due diligence can bear risks:

• Premature Closure: Signing may occur before the full extent of injuries or damages is known. This could inhibit the ability to claim costs for future medical needs or ongoing complications. We advise waiting until a clear picture of the injury’s long-term impact emerges.
• Waiver of Rights: Once signed, the claimant cannot pursue further legal action, even if new evidence of fault or additional damages comes to light. To protect your rights, a thorough assessment by a qualified attorney is indispensable.
• Non-Admission of Fault: These forms commonly include a non-admission of fault clause. This could affect future claims or negotiations related to the incident, as it constrains the acknowledgment of responsibility. Our support can help decipher these clauses and their implications.

To navigate these pitfalls, partner with an experienced personal injury lawyer. Our team at Dressie Law Firm is adept at ensuring clients do not settle for less than they deserve. We’re committed to meticulously evaluating the full scope of your damages and guiding you through the process.

How The Dressie Law Firm Can Help

When you are on the verge of resolving a personal injury claim, you may be required to sign a release of all claims to ensure that no further claims can be made after the settlement is accepted. It is vital to have the guidance of a skilled personal injury attorney to protect your rights. Here’s how we can help:

• Free legal consultation: We offer a free consultation to review your case. This is where our attorneys listen and understand the specifics of your situation.
• Legal guidance: We provide essential legal advice to help you comprehend the content and implications of the release of all claims form.
• Negotiate with the insurance Company: Our attorneys are experienced in negotiating with insurance companies to secure a fair settlement.

Our commitment is to ensure you receive fair compensation and that your rights are adamantly protected. Trust us for clear legal guidance as we navigate this process together.

Contact The Dressie Law Firm

When dealing with the complexities of personal injury or workers’ compensation cases, you deserve legal guidance you can trust. Our attorneys at The Dressie Law Firm are dedicated to providing that trust through personalized attention and in-depth legal advice to maximize the outcomes of your case.

Should you have any reservations or need clarification about the claims process, our knowledgeable team is here to aid you each step of the way. Do not hesitate to reach out for a free consultation on your case.

Let us help you on your journey to obtain the compensation and justice you are entitled to.

Frequently Asked Questions (FAQs)

What exactly is a release of all claims form?

A release of all claims form is a legally binding document where you agree to settle your personal injury claim and not pursue any further legal action in exchange for payment from an insurance company or negligent party.

Will signing a release of all claims affect my legal options?

Yes, by signing this form, you generally waive your right to seek additional compensation later. We strongly advise consulting with us to review the specifics of your case and the settlement payment terms to ensure your rights and interests are fully protected.

How can I be sure the settlement payment is fair?

Our team diligently reviews payment details and advises on the appropriateness of the offer. We negotiate with insurance companies to maximize your case value, drawing on our experience in personal injury law to advocate for your best interest.

The Dressie Law Firm Can Help You

Assignment of Benefits: What It Is, and How It Can Affect your Property Insurance Claim

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What is an Assignment of Benefits?

In the context of insured property claims, an assignment of benefits (AOB) is an agreement between you and a contractor in which you give the contractor your right to insurance payments for a specific scope of work .  In exchange, the contractor agrees that it will not seek payment from you for that scope of work, except for the amount of any applicable deductible.  In other words, you give part of your insurance claim to your contractor, and your contractor agrees not to collect from you for part of its work.

The most important thing to know about an assignment of benefits is that it puts your contractor in control your claim , at least for their scope of work.  Losing that control can significantly affect the direction and outcome of your claim, so you should fully understand the implications of an AOB (sometimes called an assignment of claims or AOC) before signing one.

How Does an Assignment of Benefits Work in Practice? 

Let’s say you’re an insured homeowner, and Hurricane Ian significantly damaged your roof.  Let’s also assume your homeowner’s policy covers that damage.  A roofer, after inspecting your roof and reviewing your insurance policy, might conclude that your insurer is probably going to pay for a roof replacement under your insurance policy.  The only problem is that it’s early in the recovery process, and your insurer hasn’t yet stated whether it will pay for the roof replacement proposed by your contractor. So if you want your roof replaced now, you would ordinarily agree to pay your roofer for the replacement, and wait in hopes that your insurer reimburses you for the work.  This means that if your insurance company refuses to pay or drags out payment, you’re on the hook to your roofer for the cost of the replacement.

As an alternative to agreeing to pay your roofer for the full cost of the work, you could sign an assignment of benefits for the roof replacement.  In this scenario, your roofer owns the part of your insurance claim that pertains to the roof replacement.  You might have to pay your roofer for the amount of your deductible, but you probably don’t have to pay them for the rest of the cost of the work.  And if your insurance company refuses to pay or drags out payment for the roof replacement, it’s your roofer, and not you, who would be on the hook for that shortfall.

So should you sign an AOB?  Not necessarily.  Read below to understand the pros and cons of an assignment of benefits.

Are There any Downsides to Signing an Assignment of Benefits?

Yes.  

You lose control of your claim . This is the most important factor to understand when considering whether to sign an AOB.  An AOB is a formal assignment of your legal rights to payment under your insurance contract.  Unless you’re able to cancel the AOB, your contractor will have full control over your claim as it relates to their work. 

To explain why that control could matter, let’s go back to the roof replacement example.  When you signed the AOB, the scope of work you agreed on was to replace the roof.  But you’re not a roofing expert, so you don’t know whether the costs charged or the materials used by the roofer in its statement of work are industry appropriate or not.  In most cases, they probably are appropriate, and there’s no problem.  But if they’re not – if, for instance, the roofer’s prices are unreasonably high – then the insurer may not approve coverage for the replacement.  At that point, the roofer could lower its prices so the insurer approves the work, but it doesn’t have to, because it controls the claim .  Instead it could hold up work and threaten to sue your insurer unless it approves the work at the originally proposed price.  Now the entire project is insnared in litigation, leaving you in a tough spot with your insurer for your other claims and, most importantly, with an old leaky roof.

Misunderstanding the Scope of Work.   Another issue that can arise is that you don’t understand the scope of the assignment of benefits.  Contractor estimates and scopes of work are often highly technical documents that can be long on detail but short on clarity.  Contractors are experts at reading and writing them.  You are not.  That difference matters because the extent of your assignment of benefits is based on that technical, difficult-to-understand scope of work.  This can lead to situations where your understanding of what you’re authorizing the contractor to do is very different from what you’ve actually authorized in the AOB agreement.

In many cases, it’s not necessary .   Many contractors will work with you and your insurer to provide a detailed estimate of their work, and will not begin that work until your insurer has approved coverage for it.  This arrangement significantly reduces the risk of you being on the hook for uninsured repairs, without creating any of the potential problems that can occur when you give away your rights to your claim.

Do I have to sign an Assignment of Benefits?

No.  You are absolutely not required to sign an AOB if you do not want to. 

Are There any Benefits to Signing an Assignment of Benefits?

Potentially, but only if you’ve fully vetted your contractor and your claim involves complicated and technical construction issues that you don’t want to deal with. 

First, you must do your homework to fully vet your contractor!  Do not just take their word for it or be duped by slick ads.  Read reviews, understand their certificate of insurance, know where they’re located, and, if possible, ask for and talk to references.  If you’ve determined that the contractor is highly competent at the work they do, is fully insured, and has a good reputation with customers, then that reduces the risk that they’ll abuse their rights to your claim.

Second, if your claim involves complicated reconstruction issues, a reputable contractor may be well equipped to handle the claim and move it forward.  If you don’t want to deal with the hassle of handling a complicated claim like this, and you know you have a good contractor, one way to get rid of that hassle is an AOB.

Another way to get rid of the hassle is to try Claimly, the all-in-one claims handling tool that get you results but keeps you in control of your claim.  

Can my insurance policy restrict the use of AOBs?

Yes, it’s possible that your Florida insurance policy restricts the use of AOBs, but only if all of the following criteria are met:

• When you selected your coverage, your insurer offered you a different policy with the same coverage, only it did not restrict the right to sign an AOB.
• Your insurer made the restricted policy available at a lower cost than the unrestricted policy.
• If the policy completely prohibits AOBs, then it was made available at a lower cost than any policy partially prohibiting AOBs.
• The policy includes on its face the following notice in 18-point uppercase and boldfaced type:

THIS POLICY DOES NOT ALLOW THE UNRESTRICTED ASSIGNMENT OF POST-LOSS INSURANCE BENEFITS. BY SELECTING THIS POLICY, YOU WAIVE YOUR RIGHT TO FREELY ASSIGN OR TRANSFER THE POST-LOSS PROPERTY INSURANCE BENEFITS AVAILABLE UNDER THIS POLICY TO A THIRD PARTY OR TO OTHERWISE FREELY ENTER INTO AN ASSIGNMENT AGREEMENT AS THE TERM IS DEFINED IN SECTION 627.7153 OF THE FLORIDA STATUTES.

627.7153. 

Pro Tip : If you have an electronic copy of your complete insurance policy (not just the declaration page), then search for “policy does not allow the unrestricted assignment” or another phrase from the required language above to see if your policy restricts an AOB.  If your policy doesn’t contain this required language, it probably doesn’t restrict AOBs.

Do I have any rights or protections concerning Assignments of Benefits?

Yes, you do.  Florida recently enacted laws that protect consumers when dealing with an AOB.

Protections in the AOB Contract

To be enforceable, a Assignments of Benefits must meet all of the following requirements:

• Be in writing and executed by and between you and the contractor.
• Contain a provision that allows you to cancel the assignment agreement without a penalty or fee by submitting a written notice of cancellation signed by the you to the assignee:
• at least 30 days after the date work on the property is scheduled to commence if the assignee has not substantially performed, or
• at least 30 days after the execution of the agreement if the agreement does not contain a commencement date and the assignee has not begun substantial work on the property.
• Contain a provision requiring the assignee to provide a copy of the executed assignment agreement to the insurer within 3 business days after the date on which the assignment agreement is executed or the date on which work begins, whichever is earlier.
• Contain a written, itemized, per-unit cost estimate of the services to be performed by the assignee .
• Relate only to work to be performed by the assignee for services to protect, repair, restore, or replace a dwelling or structure or to mitigate against further damage to such property.
• Contain the following notice in 18-point uppercase and boldfaced type:

YOU ARE AGREEING TO GIVE UP CERTAIN RIGHTS YOU HAVE UNDER YOUR INSURANCE POLICY TO A THIRD PARTY, WHICH MAY RESULT IN LITIGATION AGAINST YOUR INSURER. PLEASE READ AND UNDERSTAND THIS DOCUMENT BEFORE SIGNING IT. YOU HAVE THE RIGHT TO CANCEL THIS AGREEMENT WITHOUT PENALTY WITHIN 14 DAYS AFTER THE DATE THIS AGREEMENT IS EXECUTED, AT LEAST 30 DAYS AFTER THE DATE WORK ON THE PROPERTY IS SCHEDULED TO COMMENCE IF THE ASSIGNEE HAS NOT SUBSTANTIALLY PERFORMED, OR AT LEAST 30 DAYS AFTER THE EXECUTION OF THE AGREEMENT IF THE AGREEMENT DOES NOT CONTAIN A COMMENCEMENT DATE AND THE ASSIGNEE HAS NOT BEGUN SUBSTANTIAL WORK ON THE PROPERTY. HOWEVER, YOU ARE OBLIGATED FOR PAYMENT OF ANY CONTRACTED WORK PERFORMED BEFORE THE AGREEMENT IS RESCINDED. THIS AGREEMENT DOES NOT CHANGE YOUR OBLIGATION TO PERFORM THE DUTIES REQUIRED UNDER YOUR PROPERTY INSURANCE POLICY.

• Contain a provision requiring the assignee to indemnify and hold harmless the assignor from all liabilities, damages, losses, and costs, including, but not limited to, attorney fees.

Contractor Duties

Under Florida law, a contractor (or anyone else) receiving rights to a claim under an AOB:

• Must provide you with accurate and up-to-date revised estimates of the scope of work to be performed as supplemental or additional repairs are required.
• Must perform the work in accordance with accepted industry standards.
• May not seek payment from you exceeding the applicable deductible under the policy unless asked the contractor to perform additional work at the your own expense.
• Must, as a condition precedent to filing suit under the policy, and, if required by the insurer, submit to examinations under oath and recorded statements conducted by the insurer or the insurer’s representative that are reasonably necessary, based on the scope of the work and the complexity of the claim, which examinations and recorded statements must be limited to matters related to the services provided, the cost of the services, and the assignment agreement.
• Must, as a condition precedent to filing suit under the policy, and, if required by the insurer, participate in appraisal or other alternative dispute resolution methods in accordance with the terms of the policy.
• If the contractor is making emergency repairs, the assignment of benefits cannot exceed the greater of $3,000 or 1% of your Coverage A limit.

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Biden holed up at camp david with first lady jill, family to discuss campaign’s future after debate disaster: report.

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President Biden hunkered down with family at Camp David Sunday to discuss the future of his re-election campaign following his disastrous debate performance , according to a new report.

People close to Biden, 81, believe only the president and first lady Jill Biden, will determine the future of his presidency, NBC News reported , citing several top Democrat sources.

“The decision-makers are two people — it’s the president and his wife,” one of the sources told the outlet. “Anyone who doesn’t understand how deeply personal and familial this decision will be isn’t knowledgeable about the situation.”

Another source added, “The only person who has ultimate influence with him is the first lady. If she decides there should be a change of course, there will be a change of course.”

Biden’s trip to the presidential retreat in Maryland — where he spent a week preparing for last Thursday’s debate — was planned in advance, White House Senior Deputy Press Secretary Andrew Bates said Saturday.

During the 90-minute trainwreck of a debate against former President Trump, Biden often appeared vacant or slack-jawed, and on several occasions froze mid-thought, misspoke or struggled to form coherent sentences.

The octogenarian president returned to Camp David with the first lady Saturday night, joining their children and grandchildren.

But a source told NBC News that the Camp David get-together wasn’t considered a formal family meeting.

“Any discussion about the campaign is expected to be informal or an afterthought,” the source told the outlet. “No one is sitting down for a formal or determinative discussion.”

The trip to Maryland will serve as a break for Biden, who spent the weekend at posh fundraisers in the Hamptons and at New Jersey Gov. Phil Murphy’s mansion .

The planned Camp David stop comes after White House aides revealed Biden has difficulty functioning outside of a six-hour window, between 10 a.m. to 4 p.m.

Biden is prone to absent-minded gaffes and fatigue outside of those hours or while traveling abroad, White House aides  told Axios  in a bizarre attempt to spin his disastrous debate performance.

Biden is scheduled to remain at Camp David until Tuesday.

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Editorial boards of the New York Times and the Atlanta Journal-Constitution have both called for Biden to drop out of the race days after his debate appearance.

Leading Democrats, including former House Speaker Nancy Pelosi, have been publicly circling the wagons while privately panicking over Biden’s “abysmal” debate performance.

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‘It’s Beneath You!’ Steve Bannon Rages in WILD Interview After ABC’s Jon Karl Asks Him About Beheading His Foes

Bill maher compares biden to amber heard for ‘sh*tting the bed so hard’ at cnn debate, ‘the two bidens’: top white house aides tell axios biden only ‘dependably engaged’ a few hours per day, msnbc host asks top biden adviser point blank if they’ve talked about him dropping out, ‘choke’: trump complains news all about biden’s ‘poor performance’ instead of his ‘fantastic’ one at debate, nbc news editors clap back at wh spox who made a false claim about their blockbuster report on biden and family discussing campaign’s ‘future’.

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NBC News editors promptly corrected a White House spokesman who made a false claim about their blockbuster report that President Joe Biden is huddling with his family at Camp David to discuss “the future” of his reelection campaign.

In a post to X/Twitter late Saturday, White House Senior Deputy Press Secretary Andrew Bates claimed that in its report, NBC failed to note that the trip to Camp David has been public knowledge for days.

“We publicly announced the Camp David trip on 6/23, which @NBCNews apparently missed,” Bates wrote.

But that claim is false. In the second paragraph of the NBC report, it was indeed noted that the Camp David trip has been on the books.

“Biden’s trip was planned before Thursday’s debate,” the report stated. “He and first lady Jill Biden are scheduled to join their children and grandchildren there late Saturday.”

NBC News’ Politics Managing Editor Amanda Terkel completely spiked the false claim .

“Our second paragraph acknowledges that the trip to Camp David was planned before the debate,” Terkel wrote on X/Twitter .

NBC News Digital’s senior executive editor added simply , “Paragraph 2.”

Bates also claimed NBC News did not seek comment from the White House prior to its report.

“They never came to us for comment about it at all,” Bates said.

NBC’s Terkel vehemently disputed that claim as well.

“We also reached out to the campaign before publication — which is also in the piece — and the campaign declined to give us a comment,” she wrote.

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Carville responds to biden campaign using his name to fundraise after he predicted president will drop out of race, cnn panel stunned by jill biden boasting that biden was himself at debate: ‘i don’t know that’s what she meant’, ‘he intimidated your network’: rep. dan goldman tells anderson cooper his cnn colleagues gave ‘no pushback’ on trump, trump sheepishly bows head when biden says ‘the only person on this stage who’s a convicted felon is the man i’m looking at’.

Aric Almirola suspended for physical altercation with Bubba Wallace: Sources

A physical altercation between Aric Almirola and Bubba Wallace is the reason why Joe Gibbs Racing removed Almirola as driver of its No. 20 car for the May 25 Xfinity Series race at Charlotte Motor Speedway, then subsequently indefinitely suspended him, multiple industry sources briefed on the matter told The Athletic .

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The altercation occurred early in the week leading into the Charlotte race during a weekly competition meeting that includes both the drivers of JGR and 23XI Racing — Toyota supports both teams, and they have a close technical alliance.

The exact reason for the dispute is unknown, but those sources said the team viewed Almirola as the instigator. The decision was then made to suspend Almirola for the Charlotte race for which he had been originally listed as the driver of the No. 20 car.

On May 22, JGR removed Almirola from the entry list and replaced him with Ty Gibbs, the grandson of team owner Joe Gibbs. JGR did not disclose a reason for the change.

Ty Gibbs said during the Charlotte race weekend he found out Wednesday of race week that he’d be racing that Saturday. When The Athletic asked Joe Gibbs following the Charlotte race why his grandson was driving and not Almirola, Gibbs said it was a “team decision.”

Almirola’s suspension is set to be lifted soon. He is expected to return to the team for the July 20 Xfinity race at Indianapolis Motor Speedway, according to sources briefed on the team’s plans.

Almirola returned to JGR’s Xfinity program this offseason after the past dozen years competing full-time for various teams in the Cup Series, where he amassed three wins in 460 career starts. Almirola previously drove for JGR in Xfinity across parts of two seasons (2006-07). He was brought back to the team to serve as a mentor to JGR’s bevy of young drivers.

Almirola has driven for JGR in five Xfinity races during the 2024 season, with a best finish of first (Martinsville). Gibbs drove the car to a ninth-place finish at Charlotte after setting the fastest time in qualifying.

Christopher Bell most recently drove the No. 20 car, winning last Saturday’s Xfinity race at New Hampshire Motor Speedway.

(Photo of Aric Almirola: Jared C. Tilton / Getty Images)

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Jordan Bianchi is a motorsports reporter for The Athletic. He is a veteran sports reporter, having covered the NBA, NFL, Major League Baseball, college basketball, college football, NASCAR, IndyCar and sports business for several outlets. Follow Jordan on Twitter @ jordan_bianchi

Supreme Court tosses out claim Biden administration coerced social media companies to remove content

WASHINGTON — The Supreme Court on Wednesday threw out claims that the Biden administration unlawfully coerced social media companies to remove contentious content.

In reaching its conclusion, the court overturned an injunction that would have limited contacts between government officials and social media companies on a wide variety of issues if it were allowed to go into effect. The Supreme Court had previously put the injunction on hold .

White House press secretary Karine Jean-Pierre welcomed the ruling, saying it will help the administration "continue our important work with technology companies to protect the safety and security of the American people, after years of Republican attacks on public officials who engaged in critical work to keep Americans safe."

The court found on a 6-3 vote that plaintiffs did not have standing to sue, in part because they had failed to adequately allege that the content moderation at issue was as a result of government actions.

Writing for the majority, conservative Justice Amy Coney Barrett said the plaintiffs, Republican attorneys general in Louisiana and Missouri, along with five social media users, had failed to show they had suffered harm at the hands of specific government officials.

She noted that social media platforms routinely moderated content even before the alleged coercion happened.

"In fact, the platforms, acting independently, had strengthened their pre-existing content moderation policies before the government defendants got involved," she added.

While the evidence shows government officials "played a role" in moderation choices, that is not enough to justify a sweeping injunction, Barrett wrote.

The plaintiffs also failed to show that previous examples of content moderation could be linked to the communications government officials had with the platforms, she added.

The states, for example, alleged that a Louisiana state representative's Facebook post about the Covid-19 vaccines was restricted because of government intervention, but Barrett said there was "no evidence to support the states' allegation."

Justice Samuel Alito wrote a sharp dissent, joined by two other conservatives, Clarence Thomas and Neil Gorsuch.

Alito suggested the dispute was "one of the most important free speech cases to reach this court in years," saying the government actions were "blatantly unconstitutional."

The majority "permits the successful campaign of coercion in this case to stand as an attractive model for future officials who want to control what the people say, hear and think," he added. That the coercion was "more subtle" than other examples made it "even more dangerous," he said.

Jenin Younes, a lawyer at the New Civil Liberties Alliance who represents the individual plaintiffs, said the court had "green-lighted the government's unprecedented censorship regime."

Her clients include doctors who questioned Covid-19 policies and Jim Hoft, founder of The Gateway Pundit, a right-wing news site.

Hoft had claimed that posts about a notorious laptop owned by Hunter Biden, President Joe Biden's son, were suppressed. But Barrett wrote in Wednesday's ruling that there was no evidence to show that content moderation decisions could be traced to the FBI or the Cybersecurity and Infrastructure Security Agency, as he claimed.

Barrett pointed out that Hoft cited an allegedly censored post written by his brother, not one he wrote himself, which was another reason he could not show harm.

Alito focused on another plaintiff, health activist Jill Hines, who Barrett agreed had the best argument for standing.

Hines was subject to content moderation by Facebook over posts she wrote questioning pandemic health guidance, including the use of vaccines, at a time the government was communicating with social media companies about the spread of misinformation. She also reposted content from vaccine skeptic Robert F. Kennedy Jr., an independent presidential candidate.

Alito wrote that it is "reasonable to infer ... that the efforts of the federal officials affected at least some of Facebook's decisions to censor Hines."

A Justice Department spokesman declined to comment.

The plaintiffs filed the underlying lawsuit alleging that U.S. government officials went too far in putting pressure on platforms to moderate content.

The lawsuit included various claims relating to activities that occurred in 2020 and before, including efforts to deter the spread of false information about Covid and the presidential election. Donald Trump was president at the time, but the district court ruling focused on actions the government took after Joe Biden took office in January 2021.

In July last year, Louisiana-based U.S. District Judge Terry Doughty barred officials from “communication of any kind with social-media companies urging, encouraging, pressuring, or inducing in any manner the removal, deletion, suppression, or reduction of content containing protected free speech.”

The New Orleans-based 5th U.S. Circuit Court of Appeals later narrowed the scope of Doughty’s injunction. But it still required the White House, the FBI and top health officials not to “coerce or significantly encourage”  social media companies  to remove content the Biden administration considered misinformation.

The case is one of two the justices decided this term about the practice known as “jawboning,” in which the government leans on private parties to do what it wants, sometimes with the implicit threat of adverse consequences if demands are not met.

In the other case, the court ruled in favor of the National Rifle Association, which claims that a New York state official unlawfully pressured companies to stop doing business with the gun rights group.

Those challenging the government actions say that in each case there was a violation of the Constitution’s First Amendment, which protects free speech rights.

Alex Abdo, litigation director at the Knight First Amendment Institute at Colombia University, which has raised concerns about the dangers of jawboning, said the court missed an opportunity to clarify the law on the issue.

"The platforms are attractive targets for official pressure, and so it’s crucial that the Supreme Court clarify the line between permissible attempts to persuade and impermissible attempts to coerce," he said. "This guidance would have been especially valuable in the months leading up to the election.”

Lawrence Hurley covers the Supreme Court for NBC News.

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Red Sox Claim Ex-Astros Flamethrower To Help Add Needed Pitching Depth

Patrick mcavoy | 21 hours ago.

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• Houston Astros

The Boston Red Sox added some intriguing depth on Saturday afternoon.

Boston has been looking for ways to add more pitching with big-league upside and did so on Saturday by claiming young fireballer Alex Speas from the Houston Astros, according to MassLive.com's Christopher Smith.

"The Red Sox claimed right-handed reliever Alex Speas off waivers from the Astros and optioned him to Triple-A Worcester on Saturday," Smith said. "The 26-year-old throws hard. He was up to 100.4 mph with his fastball in three major league outings for Texas last year. He reached 99.7 mph with his fastball in one major league outing for the Astros this year.

"Command is an issue though. The 6-foot-3, 205-pounder has walked 22 batters in 21 ⅔ innings in Triple-A this year with three different organizations (Oakland Athletics, Chicago White Sox, and Astros). In all, he has a 10.38 ERA, 2.26 WHIP, 31 strikeouts, 22 walks, and a .303 batting average against in 21 relief outings at the Triple-A level in 2024. He owns a 5.01 ERA in 127 minor league outings (14 starts)."

Speas' numbers may not jump off the page, but he is someone to look out for. He's just 26 years old and boasts a blistering fastball. His command may not be great, but Red Sox pitching coach Andrew Bailey has shown this year that he can get the most out of seemingly any hurler.

The young fireballer has something you can't teach with his fastball. If he could improve his control in the minors, maybe he could help Boston out this season.

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PATRICK MCAVOY

Patrick McAvoy's experiences include local and national sports coverage at the New England Sports Network with a focus on baseball and basketball. Outside of journalism, Patrick also is pursuing an MBA at Brandeis University. After quickly rising as one of the most productive writers on the site, he expanded his reach to write for Baseball Essential, a national baseball site in Sports Illustrated Media Group. For all business/marketing inquiries regarding Inside The Cardinals, please reach out to Scott Neville: [email protected]

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