Tennessee

Tennessee has chosen to opt out of the federal bankruptcy exemption structure. A debtor in Tennessee has to choose the state bankruptcy exemptions. The homestead protection afforded is nominal but, in some cases, life insurance and annuities are exempted.

Texas

The state of Texas has traditionally been debtor-friendly. It has expansive and unlimited exemptions for homestead, life insurance policies and their cash value, and annuities. In addition, Article 16, Section 28 of the Texas state constitution bans garnishing of wages except in cases involving child or spousal support. There have been literally decades of litigation regarding oil & gas partnerships, thereby giving Texas the best limited partnership laws of all the states. However, new Bankruptcy legislation caps the unlimited homestead exemption at $125,000 if the homestead property is acquired within 1215 days of filing the bankruptcy petition.

Utah

Even though the state of Utah’s statutory creditor exemptions is typical of a Western state (i.e., little or no protection for real estate, and only a moderate amount of protection for a properly structured life insurance arrangement), Utah has gained notoriety as the nation’s cesspit of asset protection planners. Along with the now-defunct Merrill Scott & Associates, who embezzled their client funds, Utah is home to several planning groups who roam throughout the U.S. giving seminars for expensive asset protection kits that have forms for do-it-yourself asset protection.

Vermont

No information available

If you would like more information regarding asset protection, trusts, family limited partnerships or the subject of this article please call or email our office.