Asset Protection
Do You Know in Whose Name Your Car is Titled?
When I meet with clients one of the topics I discuss is protection from lawsuits. Generally the highest risk asset is the automobile or the boat, both of which are a “dangerous instrumentality”. If, for any reason, the driver kills someone the owner can be liable. A...
If you thought your ERISA retirement plan was safe in Bankruptcy from the IRS think again!
A recent unpublished California case, Stuart A. Gross v. Commissioner of Internal Revenue, (CA 9 2/25/2014) AFTR 2d 2014-529, addresses the exemption versus the exclusion of an ERISA plan (basically a retirement plan such as a 401(k) or defined contribution plan, the...
Unhappy Debtor…Creditor with Charging Lien against Debtor’s LLC Interest entitled to Debtor’s LLC Distributions…
Unhappy Debtor…Creditor with Charging Lien against Debtor’s LLC Interest entitled to Debtor’s LLC Distributions… A recent case, John A. Kostoglou v. John Fortuna illustrates the effect of a charging order on a member’s interest in a limited liability company (“LLC”)....
Assets in a Discretionary Trust- Protected or Not? That is the question!
Assume you have a “wayward” child, Sam and you want to create a trust for him so that after your death you can be certain that no matter what he does i.e., , marry a gold digger, go off on a drug tangent, etc, etc… you get the picture, he will have money to live. You...
Retirement Benefits Received in a Divorce? Are They Protected From Creditors in Florida? You May be Surprised!
Under Florida law, retirement benefits, including individual retirement accounts (“IRAs”) and inherited IRAs (“Retirement Benefits”) are generally exempt from creditors. However, what happens in a bankruptcy proceeding? As the Florida legislature opted out of the...
Child Support Claim Not Enforced in South Dakota Against Third Party Spendthrift Trust… Is This What Your Client Wants?
In the Matter of Cleopatra Cameron Gift Trust dated May 26, 1998 and the Cameron Family Exempt GST Trust f/bo Cleopatra Cameron, created under the Cameron Family Trust dated December 20, 1996, as amended, the South Dakota Supreme Court determined that a California...
Are joint tax refunds protected from creditors in Florida?
There is much confusion as to whether a joint tax refund is treated as tenants-by-the- entireties properties in Florida and thus protected from the creditors of one of the spouses. On August 9, 2013, in a bankruptcy decision, Stevenson v. Uttermohlen, the Eleventh...
So You Don’t Want Your Son-in-Law or Daugter-in-Law to Inherit?
Many of my clients love their son or daughter-in-law, but, almost without exception, if their children get divorced, then they do NOT want those ex-spouses to have access to any trust created for their children. In a recent case, Pfannenstiehl v. Pfannenstiehl, the...
Your Car… Do You Know Who Is Liable?
For many of us the most dangerous item we own is our car. Consequently the most likely area where we will face a lawsuit is from driving the car. Most of us are fine with our own driving responsibility but what about the acts of others when they drive our car. You may...