Asset Protection Planning – Plan Now, Or Lose Later

There's a time to be planning, and there's a time to be putting that plan into action. However, whether it's the battlefield, the sports field, or the legal field, you ought not be planning when the fur begins to fly! Then, it's just too late.

A recent Forbes article is a good reminder that asset protection is like fire insurance – the best time to take out a policy (i.e., make proper asset protection plans) is before the fire department arrives. The article is appropriately titled "Existence Of Claim Renders Some Clients Seeking Asset Protection Effectively Dead On Arrival."

Asset protection is about making sure matters are structured now to protect them if a legal claim may threaten them later. If there already is a claim, then any act to protect assets becomes suspect and reversible (or punishable.)

If you have reason to protect your assets due to some future risk you can envision, then now is the time to plan. Courts do not look favorably on "cute" last minute legal maneuvering to protect assets.

Reference: Forbes (January 31, 2013) "Existence Of Claim Renders Some Clients Seeking Asset Protection Effectively Dead On Arrival"