← Autodidact Archive · Original Dissent · Blond Knight
Thread ID: 19749 | Posts: 2 | Started: 2005-08-20
2005-08-20 12:59 | User Profile
Due to the recent Supreme Court attack on private property & the general disregard shown to the concept of private property ownership by The Powers That Be, I am looking for some information on trusts and/or other ways to protect ones property.
For example, If you were injured in an accident with a Rockefeller type, would you be able to sue them? Or, how are their assets & wealth insulated from liability?
Just thinking that with the war on personal freedom, should we be using some of the tools that the big boys have to protect our ASSets?
Related threads: [url]http://www.originaldissent.com/forums/showthread.php?t=19739[/url] [url]http://www.originaldissent.com/forums/showthread.php?t=19571[/url]
2005-09-03 04:16 | User Profile
For starters, you would definitely want to set up your trust under the laws of Deleware ... it has the most favorable protection against creditors.
merely providing a cursory overview here ... Del. is one of the few, if not only, states that allows for a self-funded spendthrift trust. A spendthrift trust allows the trustee to have complete discretion as to disbursements, so when a creditor tries to attach the trust income, the trustee has the right not to disburse it. Every state has spendthrift provisions which allow for such treatment, but judges in most states have widdled its protection away (the same applies for off-shore accts as well) under the pretense of injustice. However, Deleware not only respects such provisions in the trust instrument but allows the settlor (you) to create this trust, whereas most states only allow spendthrifts to be established for someone else's benefit. Lastly, Deleware allows for disregard of the rule against perputuities, which basically holds that at some point in time a future interest must vest in a certain identifiable person. Because the RAP isnt applied in Del, you could set up a dynasty trust which would disburse income to generations on down the line; thus avoiding the generation skipping tax for each generation passed by and (most importantly) avoiding the probate of any will, where creditors and uncle sam are likely to want some dough.
in sum, I would consult an atty in Del., but hopefully this will give you an idea where to go. There are piles of these attys up there who do nothing but incorporate businesses under Del's favorable laws and set up such trusts.