How can you protect your assets from civil court claims?
I’ve just been on a health and safety course through my employer and a part of the course covered civil claims by individuals against their employers and other employees.
This got me thinking about what would happen if this situation should ever arise in the future.
Is there a way to protect your assets in the event of an individual being successful with a claim against you through the civil courts process?
I once read a book which detailed that individuals with a lot of assets would incorporate everything that they owned so that as an individual they didn’t actually own anything and so would, in effect, protect their assets against lawsuits being brought against them.
Any advice would be appreciated.
Thanks.
Dwayne.
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Member Since February 2011 - Comments: 3453 - Articles: 286
9:48 AM, 9th March 2016, About 10 years ago
Hi Dwayne,
This is not an area of expertise for me, but if you happen to have a specific concern and assets to protect it would be worth talking to our partners at Cotswold Barristers.
You can make contact via P118 members profile of Mark Smith (Barrister-At-Law) >> https://www.property118.com/member/?id=1945
Comments: 297 - Articles: 1
3:19 PM, 9th March 2016, About 10 years ago
I wonder if this would be an application for a trust? I know they are used to avoid assets being used for care fees.
Member Since February 2015 - Comments: 8
8:36 PM, 9th March 2016, About 10 years ago
Hi Neil,
Thanks for your reply. I don’t have any concerns or legal proceedings against me pending at present, I was thinking more towards the future as my portfolio grows and I own more properties. I was just interested to know how landlords with large portfolios would protect their assets against being forced to sell in the event of a civil case being brought against them.
Thanks
Dwayne
Member Since February 2015 - Comments: 8
8:41 PM, 9th March 2016, About 10 years ago
Reply to the comment left by “Jerry Jones” at “09/03/2016 – 15:19“:
Hi Jerry,
Yes I think that’s what I had read in that book many years ago. I think basically the person would create some sort of trust or legal entity which the assets would be transferred to and then in the event of an individual bringing a civil lawsuit against them they don’t actually own anything (the trust/legal entity or whatever it is) does.