Domestic Asset Protection Lawyers in Boca Raton, FL
Serving Clients in Los Angeles, Chicago, New York, and Nationwide
Protecting one’s assets through means inside the United States is referred to as Domestic Asset Protection. There are a number of Domestic Asset Protection tools through which you can achieve financial protection and lawsuit proof your assets.
Below we will discuss some of the more common Domestic Asset Protection strategies and how these tools can help you achieve better financial security.
A Custom Domestic Asset Protection Strategy Is Important
One goal of Asset Protection is to “own nothing but control everything.” We do this by utilizing legal tools to structure an Asset Protection plan which fits your unique situation and provides you with security and leverage against potential litigants.
Common Types of Domestic Asset Protection Strategies
Using the correct business entity to hold and manage your assets is one of the first things to look at. Transferring your personal ownership rights is a crucial step in protecting yourself. We do that by utilizing different types of domestic tools such as corporations, LLCs, LPs, LLPs, Trusts, Equity stripping, and financial exemptions.
- You want to use Limited Liability Companies when protecting liability producing assets such as businesses, real estate, boats, cars, golf carts, and any other risky assets. LLCs are a versatile tool for Asset Protection planning.
- You would want to use Limited Partnerships to secure non-liability producing assets such as cash, stock investments, money market accounts, interest in a business, etc. Be sure that you structure your LP in a way which gives you the least liability and the most control.
- Trusts can offer an additional layer of Asset Protection as well as integrated Estate Planning. Different trusts offer different benefits or advantages. Before creating a trust, you should compare the differences with your Asset Protection Attorney and Estate Planning Attorney.
- Equity stripping is a tool we utilize to remove vulnerable equity from your assets. By stripping the asset of its value, you become a much less appealing target for frivolous lawsuits. There are a few ways to equity strip, but one of the most common ways to do that is to leverage additional mortgages or liens on your property or assets. If the asset is worth $300,000 and you have $290,000 tied up in loans and liens, the available equity is not worth a contingency lawyer's time to pursue a frivolous lawsuit.
What is a Financial Planning Exemption?
Financial Planning Exemptions can offer another layer of protection by transferring exposed assets into assets that are exempt from creditors. Each state offers different exemptions for different assets. Find a list of what is exempt in your state here.
There are numerous ways to protect your assets domestically, but the key is protecting your assets proactively. You don’t get car insurance after the car accident, and likewise you shouldn’t seek to protect your assets once you’ve had a lawsuit filed against you. Protect yourself before you have a problem by speaking with a Boca Raton domestic asset protection attorney at The Presser Law Firm, P.A.. We serve clients all throughout the United States!
What Is A DAPT?
A DAPT, or Domestic Asset Protection Trust, is a type of trust that is designed to protect assets from creditors. This type of trust is created and administered under the laws of the state where it is established, and it can provide a variety of benefits to those who use it.
One of the main benefits of a DAPT is that it can help shield assets from potential creditors. This is accomplished by placing the assets in the trust, where they are managed by a trustee who is responsible for administering the trust in accordance with its terms. If a creditor seeks to collect a debt from the trust's creator (also known as the grantor), the assets held in the DAPT may be protected and unavailable for collection.
DAPTs are recognized in a number of states throughout the U.S., including Alaska, Delaware, Nevada, South Dakota, and Wyoming. However, it's important to note that DAPTs are not recognized in every state, and the laws governing DAPTs can vary widely from state to state. That's why it's important to work with a nationwide domestic asset protection lawyer, such as our team at The Presser Law Firm, P.A., who is familiar with the laws in each state and can provide guidance on the best strategies for protecting your assets.
Our domestic asset protection attorneys serving the U.S. can help you determine whether a DAPT is right for you and can guide you through the process of establishing and funding the trust. We can also provide ongoing advice and support to help you ensure that the trust is being administered in accordance with its terms and that your assets remain protected. Reach out to us to learn more about how we can help protect your assets.
Yes, You Can Lose Everything!
You may think that your wealth is safe and that you don't need protection. But don't delude yourself and accept reality — For every 60 minutes you spend making money, spend 60 seconds thinking about how to protect it!