Concerns with Domestic Asset Protection Trusts as Viable Tools, Especially After the Kloiber Case

April 27, 2017

As I again read through the Delaware Court’s view in the recent Kloiber case about a Delaware trust that a divorcing spouse wanted to tap into as part of a divorce settlement, I could not help sense that the Delaware Court took every opportunity to suggest that Delaware law may not be available to protect the Delaware trust assets. Continue reading

Make Sure This Provision is NOT in Your Trust; Otherwise Asset Protection Disappears

April 19, 2017

Mr. Reynolds encountered debt problems at a very inconvenient time. He had inherited a trust with multiple millions of dollars in it from his parents when they died. The very thought of such new found wealth going to pay multiple creditors can leave a bad taste in one’s mouth. Mr. Reynolds was hopeful that he could file for Chapter 7 bankruptcy relief from his debts while still being able to receive sizable distributions from the trust his parents had created for him. Continue reading

Do It Now: Name a Guardian for Your Minor Child(ren)

April 13, 2017

We know it’s hard. Thinking about someone else raising your children stops us all in our tracks. It feels crushing and too horrific to consider. But you must. If you don’t, a stranger will determine who raises your children if something happens to you – your child’s guardian could be a relative you despise or even a stranger you’ve never met. Continue reading

Aloha to Asset Protection Using Hawaii Trusts—May Need to Go Further “Offshore”

April 5, 2017

In a Hawaii Supreme Court case, a debtor engaged in a fraudulent transfer to a Hawaii asset protection trust. The debtor was hoping to rely on Hawaii’s one year statute of limitations period that bars any fraudulent transfer claims after a transfer to such a trust is discovered by the creditor (plaintiff). Continue reading