The state often favored for trust creation, Delaware, may be losing its preferential status. According to the annual ranking by Trust Advisor/Oshins for best jurisdictions for asset protection, Delaware is ranked seventh. One reason for this drop in rank may be due to a lack of a state statute created to undue a family law court’s decision back in the 1970s that found a duty of support to be present between spouses, requiring support to a spouse from a trust that gives “support” to any beneficiary even when that spouse was excluded from the trust.
See Todd Ganos, Delaware’s Asset Protection Problem, Forbes, Feb. 13, 2015.
Special thanks to Jim Hillhouse (Professional Legal Marketing (PLM, Inc.)) for bringing this article to my attention.
