Your Asset Protection May be Ineffective

There are many variables that affect the usefulness of asset protection planning, and you may not be fully protected. For example, if you used an attorney who is not a specialist to draft your partnership agreement, you probably won’t get all the legal benefits available to you. In addition, if you enter into transactions with your LLC in which you don’t seem to be keeping your LLC as a separate entity from yourself, courts also may not see it as a separate entity.

There is no cookie cutter approach to asset protection, and the laws are constantly changing. If you need asset protection, make sure you find a specialist and work with them to develop a custom-fit strategy for your needs.

See Tim Berry, Foregone Conclusions are Gone, Trustmakers, July 2010.

Special thanks to Jim Hillhouse (WealthCounsel) for bringing this to my attention.