B.__The day on which the investor paid the required consideration for the purchase of the viatical settlement contract.

2.__Form of notice.__The notice is sufficient if addressed to the entity designated for such notice, at the address given in the disclosure statement pertaining to the transaction.__Notice of rescission is effective upon deposit in the United States mail.__The notice of rescission need not take a particular form and is sufficient if it expresses the intention of the purchaser to rescind the transaction.

SUMMARY

This bill clarifies the regulation of viatical settlement contracts when they are sold as investments. First, the legislation makes clear that fractional or pooled interests in viatical settlement contracts sold as investments are securities subject to the Revised Maine Securities Act and they are currently covered in the statutory definition as investment contracts, but are not named specifically. Second, this bill adds "viatical settlement contract" to the definition of security. Since viatical settlement contracts are a new investment product, the undivided viatical settlement contracts are not specifically covered in the bill's definition. This bill adds "viatical settlement contract" to the definition to provide consumers who purchase undivided viatical settlement contracts with the same consumer protections provided to the purchasers of other investments in Maine.

The bill provides for an exemption from registration if the seller provides the consumer with a disclosure statement.