August 19, 2015

Most people are aware of how devastating one lawsuit can be, even if they have never been victims of one. Despite this, many people are under the assumption that it could never happen to them, leaving them exposed to major risks in the form of litigation. 

There are 20 million lawsuits filed in the U.S. each year, and it’s unnerving to think that an investor or owner of a company can work upwards of 2000 per year only to have a few hours set them back financially for life. Bear in mind that not all of these cases will go to litigation. In fact, 95 percent of them are settled out of court. This means that your asset protection plan should include a goal of putting yourself in the best possible position for a settlement.

The key to doing this is to make legitimate legal barriers that are difficult or uncomfortable to surmount. Some common approaches to this might include an offshore account, a Domestic Asset Protection Trust, or even retitling assets. Make sure you discuss what will work best for you with your estate planning attorney.