How will the $50,000 lifetime aggregate be distributed among clients who have received judgments against a licensee?

The lifetime aggregate of $50,000 is intended to provide compensation to clients who have suffered losses due to the actions of a licensee. The distribution method being prorated according to the loss of each client means that each individual will receive an amount that reflects the extent of their loss compared to the total claims.

This approach is fair and ensures that clients who may have incurred larger losses receive more compensation than those with lesser losses. It recognizes the varying degrees of impact that the licensee's actions have had on different clients, allowing for an equitable distribution based on actual financial harm rather than simply dividing the fund equally or based on submission order.

Prorating takes into account the total claims submitted, meaning each claimant's share is adjusted to match their specific loss in relation to the total amount being distributed. This method ensures that the limited funds available are allocated in a way that accurately represents the severity of each claimant's situation.