How can I protect my assets from a civil lawsuit in Florida?
The options/strategies that are available for asset protection in Florida are:
- Homestead or personal residence protection.
- Annuities and life insurance.
- Qualified accounts (IRAs, 401ks, and 403bs) and wage accounts.
- Domestic business entities (LLCs, corporations and limited partnerships)
Can you lose your home in a lawsuit in Florida?
In most cases, you cannot lose your house in a lawsuit in Florida. The most important and well-known exemption from creditors is the homestead exemption of real property. Your home is protected from creditors in Florida subject to acreage limitations.
Is inherited money protected from creditors?
Your creditors cannot take your inheritance directly. The court could issue a judgment requiring you to pay your creditors from your share of inherited assets. Sometimes this type of judgment is enforced through a lien against inherited real estate or a levy against inherited assets in a checking or savings account.
Are there exceptions to homestead protection in Florida?
There are exceptions to what a homestead protects you from in Florida. The Constitution states that homestead is not protected from the following debts: -Liens on the homestead voluntarily given to secure a loan, such as the mortgage to purchase your home or a home equity loan.
Are there any asset protection laws in Florida?
For example, Florida statutes provide protection for “inherited IRAs” so that they can be claimed exempt from creditor actions, even in bankruptcy settings. However, it still might wise to consider a IRA Trust in Florida. The reasoning for heightened asset protection of qualified accounts is that they generally are for retirement purposes.
Can a judgment debtor buy a homestead in Florida?
Some judgment debtors living in other states will move to Florida and purchase a Florida homestead to protect their hard-earned money from collection by a creditor. The Florida homestead protection against a judgment is especially strong compared to other states because it stems from the state’s constitution rather than a state statute.
Are there any creditor protection laws in Florida?
Florida law provides creditor protection to the “proceeds” of “annuity contracts.” This exemption is subject to the 730-day residency requirement provided in the Bankruptcy Code (“BC”) section 522(b)(3)(A).
What kind of assets are protected in Florida revocable trust?
Florida law provides special protection for many types of assets, including assets owned by a husband and wife as “tenants by the entirety.” Consideration should be given to these assets when you decide how to fund your revocable trust.
There are exceptions to what a homestead protects you from in Florida. The Constitution states that homestead is not protected from the following debts: -Liens on the homestead voluntarily given to secure a loan, such as the mortgage to purchase your home or a home equity loan.
Who is eligible for asset protection in Florida?
Florida’s asset protection laws apply to permanent residents of Florida and people in other states who own property in Florida. People anticipating substantial civil judgments often move from other states to Florida to become a Florida resident for asset protection purposes. Florida Statutes exempt many types of assets from creditor execution.
Who is entitled to an intestate estate in Florida?
The surviving spouse of a decedent possesses the strongest rights to an intestate estate as far as Florida inheritance lawsare concerned. In fact, he or she will receive your entire estate if you have no surviving children or if your only surviving children were with your spouse.