Asset Protection Trusts

Here’s a good example of the uselessness of these trusts. I doubt the domestic versions are any better, but we will have to wait for actual cases to know for sure.

The short version is that a husband gave his soon to be ex wife a few million dollars if she did not contest the agreement. If she did, she had to give the money back. She put the money in an offshore trust and then contested the agreement. The judge ordered her to return the money. She refused and now is a fugitive.

The point is that judges don’t buy the line that the individual cannot repatriate the assets, even though the trustee refuses because the individual is under assault. Worst case so far is Lawrence, who spent 6 years in prison for contempt. Offshore asset protection trusts work if you plan to spend time in prison or are willing to leave the US and remain a fugitive.

I found this working link.