Question 3. If I establish one or more Limited Liability Companies ("LLC's") for the ownership of my assets, will I obtain substantial asset protection as claimed by certain promoters?

Answer. Contrary to the claims of many ill-informed promoters, the vast majority of the states do NOT limit a creditor's remedy solely to a "charging order" and, thus, the sought-for asset protection would actually be unavailable in those states. We believe that there are really only three good states for the establishment of LLC's.  Please remember, however, that a judge may not apply their laws and, instead, may apply the law where the judge sits. Thus, certain creditors may still litigate a successful claim against many LLC's or FLP's. Therefore, additional vehicles, such as asset protection trusts, will almost always be necessary if you truly desire substantial asset protection.