West Virginia’s new Domestic Asset Protection Trust statutes have just recently been enacted making West Virginia one of the most recent states to allow asset protection trusts that can help shield finances from creditors without having to use an off-shore trust. While not for everyone, residents of West Virginia who are looking for additional protection from potential liability may find the new trusts beneficial. West Virginia relied heavily on Virginia’s domestic asset protection trust but also incorporated elements from other states’ existing statutes, for example, the requirement of affidavits in addition to the trust agreement itself. All in all, West Virginia’s new trust does not offer as much protection as some states, but it is certainly better than nothing, especially for West Virginia residents who would like to keep management of their trust close to home.
If you are a business owner, physician, or engaged in some other occupation with a high-risk of liability, a domestic asset protection trust, whether created under the laws of West Virginia or elsewhere, may be a good way to reduce exposure and ensure that you and your family continue to have financial security even in the event of a law suit.