Cameron is happily married and a physician with four children.
Cameron’s profession makes him a target for frivolous lawsuits and potential future creditors.
Cameron would like to protect a portion of his assets during his lifetime. He has malpractice insurance but would like additional insulation for his assets.
How can Cameron protect a portion of his assets but still have access to the assets (albeit sparingly) if needed?
Cameron’s attorney drafts a Nevada Asset Protection Trust where he is the grantor and the beneficiary of the trust.
Cameron contributes a portion of his assets to the Nevada Asset Protection Trust.
2 years after the date of transfer, Cameron’s assets should be protected from his creditors, including divorcing spouses, and child support/alimony.
The trust should be a rainy-day fund and distributions should be limited.
Players in the NAPT strategy:
Cameron is the grantor. He can also retain investment discretion and determine the investments inside the trust.
IconTrust is typically the administrative and distribution trustee to handle the books and records and distributions from the trust.
