### Question
How is the term applicable State statute defined?


### Answer
The term **applicable State statute** is defined in *26 U.S.C. § 5891* as the following:

> a statute providing for the entry of an order, judgment, or decree described in paragraph (2)(A) which is enacted by—



(A) the State in which the payee of the structured settlement is domiciled, or



(B) if there is no statute described in subparagraph (A), the State in which either the party to the structured settlement (including an assignee under a qualified assignment under section 130) or the person issuing the funding asset for the structured settlement is domiciled or has its principal place of business

#### Citation:
  - *26 U.S.C. § 5891*
  - Heading: **Subtitle E-Alcohol, Tobacco, and Certain Other Excise Taxes > CHAPTER 55-STRUCTURED SETTLEMENT FACTORING TRANSACTIONS**

