Asset Protection Planning

Chicago Estate Planning | Asset ProtectionAsset protection refers to the legal shielding of personal property and possessions against possible lawsuit charges. Asset protection functions as a specific form of estate planning by reorienting assets which were previously within the reach of creditors’claims, known as nonexempt assets,  and positioning these assets beyond the reach of creditors’ claims. An asset that has been placed outside of the reach of a credit is referred as an exempt asset because this asset is now exempt from involvement in legal disputes.

The most crucial lesson of asset protection planning is that any plan to protect assets must be preemptive and prudent. If a creditor has already pressed legal charges against an asset, it is now impossible to arrange for this asset to become exempt. Any attempt to protect an asset after a credit has already begun filing claims against this asset could be considered a fraudulent transfer. Fraudulent transfers are easily proven, easily reversed and often counterproductive for ongoing legal battles.

Our Chicago estate planning attorneys strive to incorporate your financial, professional and business goals into the development of a proper asset protection plan so that creditors cannot press claims against your most valuable assets. Our estate planning attorneys also hope to understand your short-term and long-term estate planning goals to ensure that the protection of your assets aligns with these interests.

Asset protection planning may the most effective method to prevent against potentially damaging lawsuit claims. A business owner can also outline measurable legal safeguards against unnecessarily combative charges of professional misconduct, malpractice, civil disability or even criminal punishment, by protecting their assets preemptively.
The integration of estate planning and financial interest often frame the parameters for the protection of personal assets. Financial goals however can be restrictive to estate planning goals; in the same way, estate planning goals heavily influence the financial assets available and constantly reshape short-term and long-term financial goals. Our Chicago estate planning attorneys fortunately understand the complex dynamic of financial planning and estate planning and apply this understanding to develop a personalized asset protection plan for individuals, professionals and businesses alike.