Family Asset Protection
Asset Protection
“Asset protection” uses legal structures to protect assets from creditors, civil money judgments, and administrative penalties or fines. Asset planning aims to protect your net worth within the bounds of the law (i.e., without engaging in fraudulent concealment or tax evasion). If you or your family is engaged in any profession or business that might expose you to civil liability, then it is prudent to explore the options for securing your assets against a catastrophic loss.
Generally, business entities such as corporations, partnerships, and limited liability companies are intended for commercial purposes and are not meant to operate as personal expense funds. When you combine personal and business assets, you risk exposing them to creditors and judgment holders. Plaintiffs and creditors have several tools available to help them recover what they claim they are owed. These include federal bankruptcy laws and state laws against fraudulent transfers. Most states, including Mississippi, have adopted the Uniform Fraudulent Transfer Act (Miss. Code Ann. §15-3-101 to 15-3-121).
The First Rule of Asset Protection
The number one rule in individual asset protection is to plan long before a problem arises. Before the problem arises you usually have several options to minimize your risk. However, your options are much more limited once the problem occurs. Proper asset protection planning involves identifying the best structures to accomplish your goals.
Insurance
An essential piece of any asset protection plan involves having the right insurance. There are many types of insurance available. Unfortunately, there are also many different types of exclusions that insurance companies incorporate into their policies to limit the actual coverage provided. Our lawyers have the experience to answer your insurance questions and help you choose the right combination of policies.
Contact us to discuss your protection needs.
Contact us online or call our office locally at tel:6019573101601-957-3101 to schedule a consultation.