More and more people are using the legal system to deprive others of their life’s work. A 2000 American Bar Association study found that there were over 20 million new lawsuits filed in the United States every year. Last year, Predator-Plaintiffs filed 30 Million new lawsuits! That’s over 82,000 PER DAY! and the number keeps growing. Many of these lawsuits are frivolous or settled for sums greater than the actual liability.
Business owners, professionals such as doctors, dentists, lawyers and accountants, and property owners in particular should be aware of the risk associated with conducting their business, practicing in their respective fields, and taking responsibility for others.
Without a massive overhaul of our legal system, the risk and potential liability is not going to decline. In fact it has steadily increased over the last few decades. Assets can be at risk due to a number of vulnerabilities, including:
- Professional malpractice liability
- Personal liability of corporate officers and directors
- Lawsuits by former business partners
- Personal injury suffered on your premises
- Personal injury resulting form a motor vehicle accident
- Liability as guarantor for the debts of another
- Liability arising from misconduct
Asset Protection is not about giving in to fear. It is about empowering yourself in the face of it. Our firm will work with clients to implement proven, legally-sound strategies that will help preserve their wealth and safeguard their assets.
- Our firm has a solid working knowledge of:
- Domestic and offshore trusts;
- Domestic and offshore and domestic business entity formation;
- Exempt asset protections under state law; and Negotiation and preparation of pre and post-marital agreement.
Offshore foreign trusts are complex and cost more than domestic trusts. However, the asset protection reason to go offshore is to take the structure and the liquid funds of the client outside the scope of the US judicial system. When this is done properly, with no vialble fraudulent conveyance intent, it works much better than anything else. Nevada and other Domestic Asset Protection trusts also work but to a lesser degree. Such asset protection benefits for desired offshore foreign trusts include great privacy protection, greater control of the trust, such offshore jurisdictions do not recognize foreign judgments, and if they seek to access your offshore trust, such creditors will have to retain counsel in such offshore jurisdiction, file a new lawsuit in this foreign jurisdiction. Additionally, desired offshore jurisdictions prohibit contingency fees, and they have statutes that make it more difficult for a creditor to prove its case or file it in a timely fashion. Each of these factors is yet another hurdle for a creditor to overcome. When confronted with so many barriers, creditors are often willing to settle for pennies on the dollar.
The exact strategies employed by our firm may vary depending on the client, the nature of the assets, the country of origin, and the tax regulations that apply to those assets. The ultimate goal is to protect the status of current assets in a manner that is effective, legal and ethical.