Resource Center

Resource Center

Paley Rothman shares this library of resources with clients and friends of the firm to help them stay ahead of legal and business developments and trends. Here, you will find helpful tips and tools written by our attorneys and relevant to our areas of practice. If you have any questions about the content available in the resource center, please contact us.

Estate & Trust Administration

FAQ: What is asset protection and how do Trusts provide that protection?

Asset protection consists of various planning methods to protect assets from liabilities of a beneficiary not arising from, or with respect to, those assets. Since a Trust can be a legal entity separate and apart from its beneficiaries, it may in many circumstances be structured to protect its assets from the claims of creditors of the Trust beneficiaries. An increasingly common instance of this type of planning involves creating a Trust for the benefit of the Trust grantor’s children or grandchildren, which can serve, in effect, as a prenuptial agreement for the children/grandchildren’s inherited property.