Asset protection planning involves figuring out and applying a lawful series of techniques that protect your assets from claims of future creditors. The techniques are designed to deter potential creditors from going after you, and frustrate them if they do, generally by making it difficult or impossible for future creditors to grab hold of your assets or collect judgments against you.
In cases where significant sums are involved, asset protection planning often includes setting up a series of trusts, partnerships and/or off-shore entities to hold legal title to your assets. A future creditor who recognizes how difficult it would be to collect on any judgment it may win, might decide it makes little sense to pursue a claim, or be willing to settle for pennies on the dollar.
If you are facing the possibility of filing for bankruptcy, you want a lawyer who you can trust. At the law offices of Ronald A. Luzim, P.A., we understand that the financial needs of our clients vary considerably, which is why we pride ourselves on our personal service. We will work with you so you understand your options and pursue the most effective path to debt relief.
Chapter 7 liquidation is available to individuals, partnerships, and corporations. The debtor is allowed to keep exempt assets. For individuals filing bankruptcy in Florida, the exemptions are primarily determined by Florida law which include the debtors homestead, (subject to a cap of $125,000.00 in equity if owned less than 1215 days), along with a debtors interest, not to exceed $1,000.00 in a single motor vehicle.
All non-exempt assets must be turned over to the Chapter 7 trustee for liquidation and distribution to creditors. For individuals filing Chapter 7, most debts, including some tax obligations, are discharged.