Asset Protection for Professionals at Risk
Helping Business Clients in NJ and PA Avoid Financial Losses
Professionals, such as doctors, bankers, architects, real estate developers, business owners and brokers, face a unique set of challenges when it comes to managing their high-net wealth. Many of today’s professionals are concerned about exposure to malpractice or creditor lawsuits. According to statistics released by the American Medical Association, they are right to be concerned. For example, in a survey of 100 physicians in 2008, the AMA revealed that 95 of them had been sued at least once.
Professionals should protect themselves by talking to the high net asset protection lawyers at Bratton Scott. We know you went to school, worked hard and have established a professional practice or business you are proud of and want to secure. We will help by drafting asset protection documents that protect your livelihood and deter potential lawsuits.
Why Professionals Need to Protect Their Assets Up Front
There are many good reasons to protect the business and income you’ve worked to build for yourself and your family. That being said, many high-risk professionals put off enacting asset protection vehicles until they have no choice. By the time the lawsuit has been filed, it’s too late.
The experienced lawyers at Bratton Scott strongly advise you to protect yourself before you get sued. Why? Simply put, if you implement an asset protection plan after someone files a lawsuit, or even if you wait until you think the suit may be filed, the court will likely see the activity as “fraudulent conveyance.” This means the court will believe you suspected a problem and, in anticipating the lawsuit, attempted to protect your assets so there would be nothing available to claim if you lost the lawsuit. By then, all of your attempts to protect your assets will likely be for naught.
We invite you to contact us to discuss your professional risk and asset protection requirements as soon as possible.
Won’t Malpractice Insurance Protect My Business if I Get Sued?
Doctors make medical mistakes that attract malpractice lawsuits. Accountants and financial advisors are often the target of lawsuits when clients lose investments. Regardless of what business you are in, if you are dealing with the public, you are in a position to get sued. Even when you think you are at a reduced risk because you don’t have direct contact with your customers’ health or wealth, you still need to think about protecting your business. Sexual harassment cases, slips and falls and breach of contract issues can come from customers, employees, vendors and more.
No one goes into business expecting to be sued. If you are a doctor, a dentist, a lawyer, real estate developer or a financial advisor, as well as many other professionals, you need to protect the business you’ve built along with your accumulated wealth. That’s what malpractice insurance is supposed to do. However, often, it’s not enough.
Many insurance companies are balking at writing new malpractice insurance policies or raising premium rates to astronomical levels.
Further, even with asset protection insurance in place, the insurance payout may not be enough to cover a judgment against you. You need to cover all your bases. Bratton Scott can help.
What Can You Do to Protect Your Business & Your Other Assets?
Professionals can put in place many vehicles that will protect against loss and, perhaps at the very least, deter would-be plaintiffs from filing a lawsuit. This is especially true if they feel your assets are protected to the point that they would have to pay high legal fees in an attempt to be compensated.
Form a Corporation: Professional corporations provide protection from employees and business liability among other things.
Form an LLC: A Limited Liability Company is designed to protect the owners from liability from some or all of the LLC’s business obligations. We explain and advise you on the legal, financial, tax, business and personal benefits and drawbacks to forming an LLC.
Set up a Trust: The asset protection trust is an extremely strong asset protection tool and it’s often recommended for professionals with a business and professional assets to protect.
Re-titling of Assets: Personal, real and business assets can be re-titled to preclude creditors from an ability to seize your assets. Re-titling assets can also help avoid the need to have the assets go through probate. We explain the process and analyze the advantages and disadvantages to re-titling assets. Again, this is something you want to do before you get sued.
The attorneys at Bratton Scott will also discuss some other asset protection options with you, including: irrevocable life insurance trusts and offshore or domestic trusts. Some of the cities we help people from are Princeton, Mount Laurel, Voorhees, and Medford.
Contact Bratton Scott for Comprehensive High-Risk Asset Protection Advice
At Bratton Scott, we work with you to protect the business you’ve built and your livelihood. Call 856-857-6007 or fill out our convenient online form to make an appointment. We have New Jersey offices in Haddonfield, Linwood, and Ewing, as well as one in Philadelphia, PA.