McGuire Woods posted an update discussing how Virginia has become the thirteenth state to permit "a settlor to establish an irrevocable trust of which the settlor is a beneficiary and receive spendthrift protection against the claims of the settlor's creditors." The legislation will be effective as of July 1, 2012. Some of the statutory requirements include: the trust must be irrevocable, there must be a Virginia trustee, and the transfer to the trust may not be fraudulent.
See McGuireWoods, "Virginia Enacts Domestic Asset Protection Trust Legislation," April 9, 2012.
Posted by William Alan Nelson II, Associate Editor, Wealth Strategies Journal.
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