Asset Protection Law
Asset Protection Laws consist of legal strategies to protect personal and business assets from seizure as a result of adverse judgments, bankruptcy, separation/divorce, death, and other situations.
Types of assets
An accrued asset is one that arises from revenue made but not yet due. For example, an accrued dividend could be a share of the net earnings of a corporation that has been declared but has not yet been paid out to its shareholders.
A fixed asset is one meant to be long term in nature, used in the operation of a business and not intended for sale.
A frozen asset is one that cannot be easily converted into cash (like real estate when there is little to no demand), or an asset that cannot be accessed due to a legal restriction (such as being tied up in a spend-thrift trust).
An intangible asset is one in which an arbitrary dollar value amount is attached to the asset because it lacks a market value, but embodies financial value, such as the good will of a business, trademarks, or patents.
A capital asset is property held by a taxpayer for private enjoyment or investment (e.g., a home, furniture, stocks and bonds, or an automobile). It does not include inventory, commercial accounts, receivables, depreciable property, commercial property, copyrights, or short-term government obligations. When a capital asset is sold, any gain received assumes preferential tax treatment.
A current, liquid, or quick asset is an item that can be easily converted to cash, such as stocks and bonds.
In Bankruptcy, an asset is any type of property owned by a borrower who is insolvent that is not exempt from being used to repay debts.
Asset protection is the use of laws designed to shield each type of asset from legal forfeiture. For more information about asset protection, please refer to the resources found below. Additionally, you can get in touch with an attorney in your area by reviewing our Law Firms page and finding an attorney with experience in asset protection laws.
Articles on HG.org Related to Asset Protection Law
- Protect Assets From Creditors in CaliforniaEveryone who opens a business does so with the intention of making a profit, so why do so many businesses in Fremont, Livermore, and elsewhere end up failing?
- U.S. Economic Sanctions: A 3/4-Year ReviewAside from one last mid-January initiative by the Obama Administration to begin rolling back sanctions targeting Sudan, the U.S. Treasury Department's Office of Foreign Assets Control ("OFAC") was quiet at the start of 2017 and during the first 100 days of the transition.
- Startup Securities Law BasicsWhen startup companies are planning on raising funds through investors outside of the business, it is important to understand securities laws and the implications of what violations and offenses could mean for the organization. This means an expert should be contacted such as a securities law lawyer.
- Planning for Life after the Practice of LawCriminal defense lawyers need to plan for retirement like everyone else.
- IRS Assesses Another 150% Civil FBAR PenaltyThe IRS has asserted multiple maximum civil FBAR penalties against Ashvin Desai, who failed to disclose the existence of offshore accounts or report interest income from the accounts on his tax returns. Desai, a sixty-four year old born in Mumbai, India, was sentenced last week to six months of imprisonment in his criminal trial.
- 6 Circumstances Where an LLC or Corporation Won’t Provide Asset Protection for Personal WealthMany business owners establish their enterprises as a limited liability company (LLC) or corporation for asset protection purposes.
- How to Safeguard the Liability Protection of Your Florida LLCA majority of new business entities in the U.S. are formed as Limited Liability Companies (LLC) to provide business owners with a shield from personal liability.
- What if I Ignore a Florida Credit Card Lawsuit?After served with a Florida Credit Card lawsuit, depending on the balance alleged by the creditor or debt buyer, the Defendant has to either: File a written response to the lawsuit within 20 days (balance over $5,000), or Attend a small claims pretrial/mediation conference (balance under $5,000).
- 5 Common Debt Buyer Lawsuit DefensesIn addition to each of the defenses available in an original creditor lawsuit, debt buyer lawsuit defenses include standing, limited admissibility of documents, conditions precedent, and additional damages under the FDCPA.
- How Does U.S. Law View Offshore Bank Accounts?Perhaps you are one of the fortunate few who has achieved a level of wealth where you are legitimately concerned that the ebb and flow of the U.S. economy could have a dramatic effect on your personal finances. Or, perhaps, you have heard that there are ways to avoid certain taxes if you keep your money offshore.
- All Banking and Finance Law Articles
Asset Protection Law - US
- ABA - Real Property, Trust and Estate Law Section
The Real Property Division focuses on legal aspects of property use, ownership, development, transfer, regulation, financing, taxation and disposal. The Trust and Estate Division focuses on all aspects of trusts, estate planning, employee benefits, insurance, and probate and trust litigation.
- Asset Guarantee Program (AGP)
Under the Asset Guarantee Program (AGP), Treasury will guarantee certain assets held by the qualifying financial institution. The set of insured assets is selected by the Treasury and its agents in consultation with the financial institution receiving the guarantee. In accordance with section 102(a), assets to be guaranteed must have been originated before March 14, 2008.
- Asset Protection - Wikipedia Overview
Asset protection consists of methods available to protect assets from liabilities arising elsewhere. It should not be confused with limiting liability, which concerns the ability to stop or constrain liability to the asset or activity from which it arises. Assets that are shielded from creditors by law are few (common examples include some home equity, certain retirement plans and interests in LLCs and limited partnerships (and even these are not always unreachable)). Assets that are almost always unreachable are those that one does not hold legal title to. In many cases it is possible to vest legal title to personal assets in a trust, an agent or a nominee, while retaining all the control of the assets.
- Asset Protection Trust - Overview
An asset protection trust is a self-settled spendthrift trust. This means it is a trust that an individual creates a trust for himself that is protected from creditors. Asset protection trusts are normally found outside of the United States. Asset protection trusts do not generally exist in the United States.
- Financial Stability Plan
To address the financial crisis, the Financial Stability plan is designed to attack our credit crisis on all fronts with our full arsenal of financial tools and the resources commensurate to the depth of the problem. To be successful, we must address the uncertainty, troubled assets and capital constraints of our financial institutions as well as the frozen secondary markets that have been the source of a significant portion of our lending for everything from small business loans to auto loans.
- IRS - Distressed Asset Trust (DAT) Tax Shelters
This paper addresses a variation on the use of distressed assets (including creditors’ interests in debt) to shift economic losses from a tax-indifferent party to a U.S. taxpayer. A distressed asset trust (DAT) transaction typically involves the use of trusts to shift built-in losses from a tax-indifferent party to a U.S. taxpayer who has not incurred an economic loss.
- Special Inspector General for the Troubled Asset Relief Program (SIGTarp)
The Office of the Special Inspector General for the Troubled Asset Relief Program ("SIGTARP") was established by the Emergency Economic Stabilization Act of 2008 ("EESA"). Under EESA, the Special Inspector General has the responsibility, among other things, to conduct, supervise and coordinate audits and investigations of the purchase, management and sale of assets under the Troubled Asset Relief Program ("TARP"). SIGTARP's goal is to promote economic stability by assiduously protecting the interests of those who fund the TARP programs - i.e., the American taxpayers.
- Troubled Assets Relief Program (TARP)
The Troubled Assets Relief Program (TARP) was established under the EESA with the specific goal of stabilizing the United States financial system and preventing a systemic collapse.
Organizations Related to Asset Protection Law
- Asset Protection
Total asset protection – legally, quickly, conveniently, inexpensively and privately by the Web's oldest and most knowledgeable asset protection site.
- Asset Protection Information
Sadly the first question usually asked when a lawsuit is being considered is the extent of the other parties net worth. And in Canada as long been the practice in the States, lawyers are now allowed to be take cases on an agreed percentage of the awards if they win. Asset protection strategies are definitely something every one needs to put in place.
Publications Related to Asset Protection Law
- Asset Protection Law Journal
Asset protection involves careful judgment about what would ultimately happen in a courtroom under various circumstances. An attorney who has participated in some trials and who has taken and defended depositions will more likely have a good idea what will happen in a lawsuit brought by one of your creditors. Experience with limited liability companies, limited partnerships and trusts is also important.
- Trusts and Estates - Asset Protection
Trusts & Estates is the town center where experts who serve the planning needs of the ultra-wealthy gather to gain insight into their specialties and to learn about related professions. Community members include estate-planning lawyers, corporate and individual trustees, financial planners, accountants, investment advisors, charitable giving specialists, family office executives, insurance agents, and valuation experts.