Taylor | Foley: Asset Protection

Due to the litigious nature of our society, every individual is exposed to the risk of a lawsuit from any number of causes.  An individual with substantial wealth or one who works or invests in a risk-filled industry is at a higher risk of being named a defendant in a lawsuit.  While unfortunate, the possibility exists that one regretful decision, accident or even a frivolous lawsuit could put your business and assets at risk.  Asset protection planning is designed to limit the unnecessary exposure of personal assets to the claims of potential creditors.  For an individual, business owner or professional, asset protection planning can provide the safeguards you need to keep your personal and business assets free from potential liability and creditor exposure.

The various components of a well-structured asset protection plan are not unique when viewed individually.  Limited liability companies, limited partnerships and various types of trust agreements are common components of an asset protection plan.  It is when these components are combined in specific arrangements, and with proper language included in the documentation implementing the plan, that the full range of protections are provided.

Asset protection planning can frequently be incorporated into other types of planning work done by our attorneys at Taylor | Foley.  Asset protection considerations are taken into account when forming a new business entity for a client and in most estate plan designs.