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each of the other trustors held a one-sixth beneficial interest.
The trust agreement provides that the trust shall within 5
business days after the receipt of any cash amount from the Texas
Lottery Commission, distribute all cash amounts received by the
trust to the beneficiaries in proportion to their respective
beneficial interests in the trust. A portion or all of each
beneficial interest could be assigned to any other person or to
any organization. The first prize payment was made in June 1997,
with subsequent installments to be paid on or about June 15 of
every year continuing through June 15, 2021. There is no
evidence that the trust has held any other property or has been
involved in any other activity.
On July 28, 1999, Mr. Clopton and Singer Asset Finance Co.,
LLC (Singer) entered into a “Sale Agreement for Lottery Prize
Payments of Alden Clopton” and “Terms Rider to Sale Agreement for
Lottery Prize Payments of Alden Clopton” (the sale agreements),
which provided that Mr. Clopton’s interest in the rights, title,
and interest in the lottery prize were sold and assigned to
Singer. Under the terms of the sale agreements, 20 annual
payments of $120,000, payable on or about June 15 of the years
2000 through 2019, were sold to Singer for $1,155,000. The sale
agreements provided that the law of Texas required the parties to
consummate an agreement and to obtain a court order directing the
Texas Lottery Commission to make the payments to Singer. The
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Last modified: May 25, 2011