Blog

FAKE NEWS OF THE DEMISE OF DOMESTIC ASSET PROTECTION TRUSTS:  Takeaways From Toni 1 Trust v. Wacker (2018)
BAD FACTS Good fences make good neighbors, except in Montana. Donald Tangwall and William Wacker, both residents of Montana, were not good neighbors. Tangwall sued Wacker in 2007.  Wacker then counter-sued Tangwall, which started a legal war that would last over ten years. Wacker won the first battle and obtained a significant money judgment against ...

Read The Full Post


Preserve Wealth for Yourself and Your Heirs Using Asset Protection Strategies
There are many techniques you can use to protect your assets, from giving them to loved ones to placing them in offshore trusts. It’s important to understand that asset protection isn’t about evading legitimate debts, hiding assets or defrauding creditors. Rather, it’s about preserving your hard-earned wealth in the face of unreasonable creditors’ claims, frivolous ...

Read The Full Post


DISRUPTIVE INNOVATIONS IN ESTATE PLANNING (Electronic Wills)
A new disruptive innovation is on the horizon in the area of estate planning, namely electronic wills.  An electronic will is one that is digitally (not physically) signed and stored electronically. Traditionally, all parties to a will (the testator, two witnesses and a notary) must be physically present and in the same room for the ...

Read The Full Post


The Business Judgment Rule:  Protect Your Management Decisions
Most people - even lawyers - choose to do business in some corporate form, rather than individually, in order to protect personal assets from business liabilities. The most common forms of business entities are corporations and limited liability companies. The choice of entity often depends on which entity offers the best tax attributes for the ...

Read The Full Post


Piercing the Corporate Veil:  An Ounce of Prevention Is Worth A Ton
Every person has skin and bones that protect their body from bumps and bruises from the outside world. A corporation or other business entity is no different. In short, a corporation (or limited liability company or partnership) is a legal “person.” The corporate body is supposed to protect the owners from bumps, bruises and liabilities ...

Read The Full Post


Two Sides of the Same Coin:  Planning For the Wealthy and Non-Wealthy Client
Not everyone is lucky enough to have an estate tax problem, which is a good problem. As a practical matter, the vast majority of individuals in this geographic region are well below the net worth that Congress has deemed to be “rich” (currently $5.49 million per person). For individuals fortunate enough to have wealth issues, ...

Read The Full Post


Liability Protection is Uncertain for Single Member Limited Liability Companies in Louisiana
Bad Facts Make Bad Law Shaun Olmstead and Julie Connell were residents of Florida when the trouble started.  Shaun and Julie operated a credit card business and were charged by the FTC with perpetrating an advance-fee credit card scam. The FTC eventually obtained a $10 million judgment against Shaun and Julie, individually, and then sought ...

Read The Full Post


A GOOD WALK SPOILED (LLC Charging Order Protection Affirmed by 4th Circuit)
(Channelside Services, LLC v. Chrysochos Group, Inc. (La. App. 4 Cir., May 13, 2016)) “The Louisiana LLC Act affords LLCs different and greater protections …compared to Louisiana laws pertaining to creditors of corporate shareholders or partners in a partnership.”   ~Fourth Circuit Court of Appeal,  State of Louisiana The Starter Paul Garfunkel, a Louisiana resident, ...

Read The Full Post


A BUNDLE OF MAGIC STICKS (Beneficiary Controlled Trusts Now Authorized in Louisiana)
(La. R.S. 9:2114.1 (Effective August 1, 2015)) “THE WAND CHOOSES THE WIZARD, MR. POTTER.   IT IS NOT ALWAYS CLEAR  WHY.”   ~J. K. Rowling, Harry Potter and the Sorcerer’s Stone Law School of Wizardry In the first year of law school, students are introduced to the concept that property rights are like a bundle of ...

Read The Full Post


MISSISSIPPI BECOMES DOMESTIC ASSET PROTECTION TRUST JURISDICTION (And Beats Louisiana In The Trust Business Game)
“MOST PEOPLE WANT SECURITY IN THIS WORLD, NOT LIBERTY.” H.L. Mencken OLD RIVALS Mississippi and Louisiana are close competitors on many fronts, such as football, education and diabetes.  However, Mississippi has surged ahead of Louisiana  with the recent enactment of the Mississippi Qualified Disposition in Trust Act" (MS Code Section 91-9-701  et seq ). In so ...

Read The Full Post


EVERY WORD COUNTS (IRS Busts Discretionary Support Trust for Child)
(Duckett v. Enomoto, D. Ariz. 2016) “BE SURE WHEN YOU STEP, STEP WITH GREAT CARE AND GREAT TACT.  AND REMEMBER THAT LIFE’S A GREAT BALANCING ACT.” ~Dr. Seuss Dr. Dennis Enomoto was a gifted and dedicated physician, but a terrible business person.  After failing to meet his tax obligations in 2007 through 2011, the IRS ...

Read The Full Post


THE CASE FOR THE TRUST PROTECTOR
“TRY TO BE LIKE A TURTLE — AT EASE IN YOUR OWN SHELL” Bill Copeland THE BLACK AND WHITE TELEVISION GENERATION Ozzie Nelson was an actor and a band leader.  Harriet Nelson was a stay at home mom who mostly wore aprons and never left the kitchen.  Ozzie and Harriet had two children, David and ...

Read The Full Post