Del. High Court Rules On STOLI Policy Row, Says Buyer Can’t Collect Death Benefits

Mealey's (March 22, 2023, 12:55 PM EDT) -- NEW CASTLE, Del. — The Delaware Supreme Court affirmed in part a lower court’s determination that a securities intermediary and purchaser of stranger originated life insurance (STOLI) policies could not recover death benefits for those illegal policies but reversed and remanded the lower court’s decision ordering return of premiums and denying prejudgment interest, finding that the lower court failed to apply the Supreme Court’s “STOLI precedents” when addressing the claims for premiums and interest....