Two lawyers stand in front of a judge's bench in a courtroom, discussing litigation paperwork with a judge.

Can a Creditor Foreclose on a Member’s Interest in a Single-Member LLC?

Stephen Speiser, Esq. March 12, 2025 The single-member limited liability company (SMLLC) offers solo entrepreneurs a mix of liability protection and operational ease, but personal financial distress raises a critical question: can a creditor foreclose on the member’s interest in the SMLLC? The answer hinges on state law, judicial rulings, and the distinction between the member’s ownership interest and the …

A picture of the Statue of Liberty with the New York City skyline in the background.

The Folly of Domestic Asset Protection Trusts (DAPTs)

By Stephen Speiser, Esq. We need to have a serious conversation about domestic asset protection trusts (DAPTs). By our last count, 20 states now have DAPT laws: Alabama, Alaska, Connecticut, Delaware, Hawaii, Indiana, Michigan, Mississippi, Missouri, Nevada, New Hampshire, Ohio, Oklahoma, Rhode Island, South Dakota, Tennessee, Utah, Virginia, West Virginia, and Wyoming. Yet, the rush to implement DAPT legislation – motivated by state bar …

A paperclipped stack of papers sits on a desk next to a judge's gavel. "Fraudulent transfer" is written on the top sheet of paper in black text.

Is All Asset Protection Planning Bad Under the UVTA?

A state’s enactment of a DAPT law should be regarded as the state legislature’s expression per se “actual intent” under the UVTA not be imputed in any form of asset protection planning.  While this is an incredibly broad inference, it reflects the reality that DAPTs do not exist in a vacuum.