Consider The Eye-opening Odds
Ninety million lawsuits will be filed next year in the United States.
The odds that you will be the target of a lawsuit next year are one in four (a scarier one in two probability if you earn over $50,000 a year). Statistically, you are virtually guaranteed to be targeted by at least one devastating lawsuit within ten years. Are you under age 30? Prepare to defend against no less than five major lawsuits over your lifetime, and most likely many more. Lawsuits are now the American way of life and our courts are a glorified crapshoot with 700,000 lawyers looking for deep pocket defendants.
You may be very happily married today. Still, the odds are that you will someday divorce. Depressing? No more so than the likelihood that the divorce will financially cripple you, whether you are husband or wife.
Own a business?
Here's more unpleasant news. If your business is under five years old, it has an 80percent likelihood of failing. What personal liabilities will this create? What assets will you lose?
Our crazy, unpredictable and unfair tax laws and an increasingly aggressive IRS will make tax troubles more and more common. Four million Americans are audited annually. Most are clobbered by huge tax bills. But there are many other opportunities to get into big trouble with the IRS. And when you owe the IRS you will most likely see how quickly assets can vanish. Twenty million Americans are now on the run from the IRS collection corps. What will they lose? What would you lose if the tax collector suddenly appeared at your door?
And then there are the unexpected bills.
Can you afford enormous hospital or medical bills if you or a family member needed uninsured catastrophic care? Or what would happen if you lost your job, bills mounted and creditors came calling? U.S. bankruptcies have skyrocketed to a record 1.25 million annually, and they continue to soar. Two million Americans may soon go bankrupt annually. Will you become another statistic? And what would you then lose?
These and other dismal facts prove one point: Everyone is vulnerable to countless and unforeseeable legal or financial disasters. There is no surefire way to escape liability but the prudent individual will adopt a defensive philosophy that couples a long term financial plan with a commonsense asset protection strategy that is designed to protect your family, protect your business and preserve the value of your estate.
- Identity Theft
- Contract Liability
- Tort Liability
- Regulatory Liability
- Personal Liability
- Economic Threats
For an attorney counseling a client about wealth preservation techniques, the most critical issue is whether the client is acting in defraud of creditors. If the client succeeds in using a wealth preservation technique to defraud the creditors, the client’s creditors may claim that the attorney conspired with the client, or even that the attorney acted independently, to defraud the client’s creditors.