ASSET PROTECTION

Our attorneys delve into your individual situation to make sure we deliver smart solutions, and peace of mind. 

Hard work and diligence built your wealth and legacy. Our clients are business owners, entrepreneurs, and executives. They want counsel that will work with them to examine how to legally protect themselves in a divorce. 

As a prior and current business owner, Founding Attorney Lisa J. Gill has an entrepreneurial spirit. She has been a small business owner before and during her legal career. She understands the passion that comes with owning a business, and the protection that is needed as clients approach each of the seasons of life.

Our clients want to know how their family law case will impact other life-changing decisions like marrying/remarrying, selling a business or transferring ownership.  The WHY doesn’t matter as much as HOW we’re going to guide you through a process and devise a plan to defend your prosperity. 

Once you’ve met with our team, and we’ve explored your plans and circumstances, we can formulate the best options. We’ll plan not only your current circumstances, but also for your future and any changes on the horizon.

Limited Liability Corporations (LLC’s)

These are the most familiar and widely used tool in the drawer for asset protection among business owners. We can help clients with multiple entities and businesses. Under current State of TN laws, creditors cannot directly take the assets of the LLC to satisfy the personal debt of the member. It supports and encourages the retention of control over special family assets, such as businesses, investments, farms and other real estate, as well as inherited property.

Family Limited Partnerships (FLP’s)

With a Family Limited Partnership (FLP), multiple entities are used to obtain similar benefits afforded to Limited Liability Companies. This makes the administration of a Family Limited Partnership-centered plan more difficult than the administration of a LLC-centered plan. 

Domestic Asset Protection Trusts (DAPT’s)

In Tennessee, as well as Mississippi, clients could benefit from the use of Tennessee Domestic Asset Protection Trusts (DAPT’s). These are an excellent way for individuals to protect their assets from lawsuits, bankruptcy, divorce or other similar financially damaging situations, but still allows the trustee to benefit personally from these assets. Put simply, the trust is set up for you, by you, and is administered by a non-partial trustee.

UNDER THIS LAW:

  • Assets (including homes) are protected from creditors, however individuals may take out income or principal and direct the investments of the trust.

  • This type of trust can exist for up to 360 years, therefore protecting family wealth for many generations.

  • Tennessee residents can keep their assets in state, while residents of other states may create an asset protection trust in Tennessee with a Tennessee trust company.

BASIC REQUIREMENTS:

  1. Must be governed by Tennessee law

  2. Must be an irrevocable trust

  3. Must include a spendthrift clause

  4. Must have a qualified trustee

  5. Must be an executed affidavit

A QUALIFIED TRUSTEE:

Must be a Tennessee resident or a corporate trustee licensed under Tennessee law.

  1. Must have at least some certain duties such as custody of assets, preparing tax returns or materially administering the trust.

  2. Must be a Tennessee resident or a corporate trustee licensed under Tennessee law.

It is very important to ensure trusts are set up properly and that all necessary requirements are satisfied.  Clients with trusts facing family law decisions rely on a qualified attorney to examine trusts to determine if they can withstand legal attack.  We work with clients to guide them quickly through an information gathering process to determine if appropriate requirements have been satisfied, to identify the supporting proof, and to organize the supporting proof to resolve these arguments for any pending or contemplated family law matter.