In the realm of asset protection planning, understanding the true goal is paramount to crafting an effective strategy. The name itself, “asset protection planning,” suggests that the objective is to create impenetrable barriers, rendering assets unreachable by creditors. While such an outcome may have been feasible in the past, the evolving landscape of creditor tactics makes it an impractical and unrealistic objective today.
The current goal of asset protection planning is to make it challenging and expensive for creditors to pursue your assets. By strategically designing asset protection structures, we aim to alter the economic analysis of the case for potential plaintiffs. Our extensive experience, spanning numerous client representations, has revealed three primary outcomes when confronting asset protection structures.
As you explore various asset protection planning structures, focus on the goal of making it difficult and expensive for creditors, all while adhering to legal guidelines. The notion of a “bulletproof” structure may not be realistic, but crafting a well-considered and robust plan can significantly enhance your asset protection.