Whether or not you have a massive accumulation of wealth, you need to make sure your domestic assets are well protected. These can include businesses, investments, real estate properties, bank accounts, and any other valuable resource you possess, and each of these has its own nuances when it comes to securing it against seizure or loss.
Creditors, lawsuits, foreclosures, even ex-spouses—all of these can pose a risk to your assets. Making sure they are well protected, therefore, is of utmost importance. Hart & David has extensive experience with asset protection planning, including forming trusts and partnerships, developing documentation and agreements, and representing our clients in the event of litigation or lawsuits.
Family Limited Partnerships
Protecting your estate from massive blows from taxes and creditors can be done through a family limited partnership, or FLP. It is a partnership that is controlled within the family, and it can provide certain tax benefits to limited and general partners. It thus becomes an efficient, secure vehicle by which your assets can be transferred to the next generation, but only if it is properly structured.
A pre-inheritance trust, or PIT, allows your beneficiaries to benefit from assets prior to your passing on. As an irrevocable trust, you are not considered to own the assets within the trust, thus avoiding attacks from creditors and lowering your estate tax liability. In addition, the trust is structured in such a way that the beneficiaries also receive these same benefits.
Healthcare Professional Asset Protection
Sooner or later, healthcare professionals will likely face a lawsuit of some kind. Making sure your assets are protected in the event of a lawsuit is vital. Hart & David can assist with structuring trusts and other financial instruments to keep assets secure while also helping with HIPAA and other regulatory compliance. We can also represent you in the event of litigation, lawsuit, or other risks.
Real Estate Owner Asset Protection
If you own investment property, your real estate may be at risk in the event of litigation or a lawsuit. Keeping real estate secure requires the use of a number of strategies, including titling the property to a trust, using an LLC to mortgage the property, and having other entities manage it. Properly structuring all of these elements into a cohesive whole will require legal expertise in real estate, property transfers, and trust structuring, to name a few.
Domestic Asset Protection Trusts
When properly structured, a domestic asset protection trust (DAPT) can be instrumental in safeguarding assets against lawsuits. However, “properly structured” is the key. If it isn’t designed well, it can come under attack as a fraudulent transfer of assets. Therefore, assistance from a legal representative is vital to protecting your assets through a DAPT.
The expertise we possess at Hart & David has been highly instrumental in protecting the domestic assets of clients throughout the Chicago-Metro area. We can help with all aspects of asset protection, whether you are a healthcare provider seeking protection from unfounded malpractice claims or a business owner in need of a trust. Contact us today for a free consultation, and we’ll work with you to develop a domestic asset protection plan that will satisfy your needs.