A married couple came to see me about a foreclosure on their homestead. The man bought a Florida homestead where he lives with his wife. There is a judgment against the husband. He paid cash for the homestead in order to protect the purchase proceeds. The husband used his own…
A client asked me during a consultation whether his employee stock purchase plan was an exempt (“ESSP”) asset. The client’s ESSP was provided by his employer. The employer is a publically traded company. The ESSP plans provides employees the opportunity to purchase employer stock at a ten percent discount to…
A client entered into a criminal plea agreement three years ago stemming from his violation of federal securities laws. The plea agreement included restitution to the victims of his wrongdoing. There is a money judgment against the client for restitution. The client wants to know if the restitution judgment may…
One of my clients disclosed that he was expecting to receive state money to compensate him for his injuries sustained as a result of a criminal attack in his home by an intruder. He had many debts, some of which were related to the crime including medical bills. He is…
Exemption of a debtor’s interest in ESOP plans depends upon statutory provisions and the terms of the company’s written plan documents. One of my clients asked me to evaluate his interest in an ESOP containing stock from Publix. He had accumulated Publix stock in an ESOP through his employment with…
A financial adviser client sold an investment opportunity to his own clients which, unknown to him at the time, was a ponzi scheme. A receiver was appointed over ponzi assets. In addition to promoting the investment scheme to his own clients, my client invested his own money from his self-directed…
Two clients had the same question last week about purchasing annuities. Both client were planning to move to Florida from another state where judgments were about to be entered against them. They are interested in buying annuities which are exempt under Florida law. They want to know if their annuities…
A new client invested in a ponzi scheme. He withdrew his investment, including a “profit” just before the ponzi scheme collapsed. The SEC appointed a receiver to go after investors who received profits as fraudulent transfers. Many courts have held that ponzi profits are fraudulent transfers that may be recovered…
The Department of Justice can seek money restitution from criminals that wrongfully obtain other people’s money. A client sought asset protection advice to protect assets against an already issued restitution order. Asset protection against federal criminal restitution is difficult but not impossible.
Client lives in California and has purchased a Virginia based 529 college savings. His financial adviser told him that Virginia plans offer advantageous investment options. The client says that Virginia law provides that Virginia 529 plans are exempt from creditor claims. The clients asks about the protection of his Virginia…
