Asset protection is one of the basic components of estate planning. We will discuss asset protection as part of our estate planning conferences when you choose me as your estate planning attorney. If you wish to engage in advance estate planning, then Alaska law offers a unique opportunity.
Alaska is one of the few states to allow “self-settled” domestic asset protection trusts, which is an irrevocable trust in which the trustee has absolute discretion to distribute to a class of beneficiaries – including the settlor of the trust.
This is a departure from traditional trust law. Historically, if a settlor of a trust was also a beneficiary of the trust, then the settlor’s creditors would be able to look through the trust and obtain the assets of the trust. Under current Alaska law, a settlor can set up an irrevocable trust, be a beneficiary of the trust, and the assets of the trust can be protected from the settlor’s creditors.
To protect the assets of the trust, strict procedure must be followed when establishing the trust and funding it – including every time a transfer is made to the trust. If the correct procedure is not followed, then the creditors of the settlor may be able to characterize any transfers to the trust as a fraudulent transfer, thus opening the assets of the trust up to the creditors.
Call me to discuss pricing for the establishment of a domestic asset protection trust.
Anchorage Estate Planning and Probate Services, LLC is conveniently located in suite 3-396 in the Dimond Center Mall in Anchorage. I serve clients throughout Alaska. If you live outside of Anchorage, please call me to see what special accommodations can be made so that I may help you with your estate planning and probate needs.
This website is maintained for advertising purposes. The information contained herein is not intended to create, and the receipt of it does not constitute, an attorney-client relationship. Please contact me if you would like to hire Anchorage Estate Planning and Probate Services, LLC. Your initial conference will be free of charge.
800 E. Dimond Blvd. (Dimond Mall)
Anchorage, Alaska 99515
Phone: (907) 223-1148