Asset Protection & Trusts
“Secure your and your family's future by protecting your assets. We will use every legal technique available to devise a custom-made plan that insulates your wealth. And we will do it together!”
Shoham Segal, Esq.
Hard work pays off. So why not protect it? We know that you worked hard your entire life. We agree that you deserve to enjoy the fruits of your labor and retain your wealth for the benefit of your loved ones. Our legal tools put us in the position to protect and preserve your hard-earned assets.
What is a Trust?
A trust is a legal tool that holds your assets in accordance with rules that you establish when you create the trust. The trust and the assets placed in the trust are managed by a person called the “trustee” (could be multiple trustees), who is obligated to follow the guidelines set in the trust document that you and your lawyer create.
The trust holds the assets for the benefit of people that you specifically name called the “beneficiaries.” Trusts can be arranged in many ways and can specify exactly how and when the assets are used and passed to the beneficiaries. Trust laws are very intricate and require a keen legal mind to navigate.
Properly structured trusts are very powerful tools that can provide many benefits, including:
What is an Asset
Fundamentally, asset protection utilizes a wide range of strategies and legal tools that work together for the purpose of reallocating and shielding your assets. An asset protection lawyer will review your assets, risks, need and goals; and create legal “vehicles” (such as trusts) that fit your circumstances.
The Nevada Asset Protection Trust (“NAPT”) is a unique tool that protects your wealth from creditors. It should be used as a “Rainy Day Fund,” and should not be funded with assets that you and your family use to live. Nevada is one of only a handful of states that allows you to set up a discretionary, spendthrift trust for your own benefit. In order to protect the trust from creditors, the NAPT is structured with a Family Trustee (investment trustee) and an Independent Trustee (distribution trustee). In Nevada, the Family Trustee can be the same person who creates the NAPT, which is another beneficial element.
Why Create a Nevada Asset Protection Trust?
Lawsuits come for people with deep pockets. Lawyers and plaintiffs alike know that it makes no sense to sue someone if there is nothing to recover. For those of us who have money in the bank, own real and personal property, and possess other assets that we have accumulated over years of hard work, it is vital to be protected from predatory creditors and overzealous lawyers.
Under the Nevada Revised Statutes, a transfer to a NAPT is protected from creditors two years after the date of transfer (for future creditors), or the later of two years from the date of transfer or six months from when the creditor reasonably should have learned of the transfer (for known creditors).
The NAPT provides the trustee with considerable control over the trust assets and in making decisions when it comes to distributing the trust property. It also helps protect against waste and unwise investing or spending.
After your passing, the assets in the trust will continue to be held in a discretionary trust for your named beneficiaries. This protects the trust assets from the beneficiaries’ creditors. The trust will continue as a dynasty trust, and will continue to split for the beneficiaries’ descendants.
At LVNV Legal, we understand trusts and will use our knowledge to protect your assets and secure your family’s future. And because every trust has its own features and characteristics to consider, we will work together to create the most fitting trust document. Take a proactive approach to preserving your assets, and take comfort in knowing that our team can help protect and preserve your hard-earned property and money.