In the Headlines
July 14, 2023
How The Ultra-Rich Use Trusts to Protect the Family Fortune If Their Heirs Get Sued or Divorced
Business Insider
Attorney Cynthia Brittain was featured in a recent Business Insider article examining how the use of spendthrift trusts can shield assets when a beneficiary is sued or goes through a contentious divorce. The spendthrift clause dates back to 1875 and is still routinely used today as parents set up irrevocable trusts for the benefit of their children.
To strengthen the trust’s power, Ms. Brittain recommends “having external investment advisors and professional, respected trustees.” She notes that “it also helps to have a business purpose for the trust, such as preserving privacy or taking advantage of another jurisdiction's tax laws.”
READ: How The Ultra-Rich Use Trusts to Protect the Family Fortune If Their Heirs Get Sued or Divorced