Asset protection planning is an important part of a complete estate plan. An experienced asset protection planning attorney can help you protect your property against creditor claims, lawsuits, or other debts in the future. Here are 5-key points to consider:
1. What is asset protection planning?
A planning process that is done in advance of any creditor claims to protect your assets against future risks, by transferring assets to different types of entities.
2. What asset protection planning is not.
Asset protection planning is not hiding assets, evading taxes, defrauding current creditors, or fraudulent conveyances of your assets.
3. Why is Asset Protection Planning needed?
The U.S. court system is one of the best in the world, both fair and transparent. However, legal claims against business owners and people with wealth can be unpredictable, and the expense of defending against these legal claims can be costly. Asset protection planning can help protect your assets against these unpredictable legal claims.
4. What are the goals of the Asset Protection Planning?
– Provide an incentive for settling a lawsuit or debt
– Improve the client’s bargaining position in a lawsuit
– Offer options when a claim is asserted
– Deter litigation
– Keep assets of our reach against creditor claims
5. Ethical considerations.
The use of legal strategies to help a client protect their assets from future claims should comply with the rules of professional conduct for attorneys. These rules do not allow assisting or counseling a client with fraudulent or criminal conduct.
The Real Truth about Asset Protection Planning
Asset protection planning is not only an ethical and acceptable form of wealth planning, but attorneys and other advisors who do not provide this advice for their clients are not providing a complete estate plan.
“Please contact us if you have any questions about asset protection planning!”