Monday, May 16, 2016
Jonathan Gopman, Michael Sneeringer, and Alan Glassman, recently published an article entitled, Here Comes The Mountainair Trust- West Virginia Passes Asset Protection Trust Legislation, Wealth Strategies Journal (2016). Provided below is an excerpt of the article:
West Virginia became the 16th state in the United States to establish a public policy and statutes enabling its citizens and persons residing outside of West Virginia to establish an irrevocable trust that can benefit the grantor without being subject to creditors of the grantor when appropriate circumstances apply. Unlike the handful of jurisdictions that have established legislation that invites those from outside the state to have the strongest protection available for transfers to trusts, West Virginia’s statute requires that there be no creditors existing that would be expected to be able to pursue the assets of the trust upon funding, and requires an extensive affidavit to be executed when any contribution is made to the trust that such contribution does not constitute a fraudulent transfer or other inappropriate arrangement.