On April 20, 2005, the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 was enacted into law. The stated purpose of the Act is to “improve bankruptcy law and practice by restoring personal responsibility and integrity in the bankruptcy system and ensure that the system is fair for both debtors and creditors.”
For years now we have stressed the importance of implementing asset protection strategies before any type of claim or threat of litigation arises. Why is advance planning continuously emphasized?
It is often said that the key to effective asset protection is ADVANCE PLANNING. This truism is repeatedly emphasized, because of the “fraudulent transfer” laws. Fraudulent transfer laws in one form or another are in effect in every state and civilized jurisdiction in the world.