TRUST IN BUSINESS™

Trust Lesson

Asset Protection Trust

A trust drafted to limit creditor access to trust assets, sometimes allowing the grantor to be a discretionary beneficiary.

How it works

Domestic versions exist in a limited number of U.S. states; offshore versions in some foreign jurisdictions. Effectiveness depends on timing, jurisdiction, and conduct.

Common uses

  • — Long-term planning against future, unknown claims

Key considerations

  • — Transfers to defeat existing creditors may be voidable
  • — Courts may disregard protections across state lines
  • — No guarantee of protection

Educational content only. Not legal, tax, or investment advice. Trust law differs by jurisdiction. Consult qualified professionals before acting.

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