Oct 10

The most important objective of your asset protection strategy is to secure your assets from loss in case lawsuits are filed against you. Once someone proves that fraud was used to dispose or transfer your properties, a creditor may seize your properties. Helter-skelter approaches in transferring your assets to associates, friends and relatives will prove futile in the face of serious legal challenges from outsiders. Asset protection techniques will help discourage the filing of lawsuits and instead encourage plaintiffs to settle their claims because of potential difficulties in collecting their judgments. Asset protection is the fine art of minimizing one’s chances of losing all assets in case of legal attack. Asset protection techniques are anchored on sound legal principles. Property owners have practiced these methods for many years. A few asset protection practitioners have employed some methods to the extreme. John D. Rockefeller was a classic example of the absolutist school of thought when he declared, “Own nothing and control everything.” Asset protection simply means that a property owner takes a proactive stance with his real and personal properties by legally placing them beyond the reach of potential or future claimants and other predators.