Kurt V Beasley | Living Trust Protected | Kurt V Beasley

Are assets held in a living trust protected from creditors’ claims? – By Kurt V Beasley

Generally speaking, when assets are held in a revocable trust, they are not protected from the legitimate claims of the trust maker’s creditors.

This is because the maker can revoke the trust and take back the trust property at any time. The law finds that it is inequitable to allow the trust maker to have this control and full use and benefit from the trust property while denying creditors the power to compel revocation in order to satisfy their just claims.

An irrevocable trust may provide some creditor protection because the maker is not able to revoke the trust and get the property back. The maker may have a beneficial interest in the trust, such as a right to income or to principal, and that interest may be reached by the maker’s creditors.

However, if the beneficial interest is subject to the discretion of the trustee and the maker is not the sole trustee, creditors can be thwarted. Since the contribution of property to an irrevocable trust is a completed gift, the property generally is outside the reach of the maker as well as his or her creditors.

About Kurt V Beasley

Kurt V Beasley is the founding Partner of Waterford Law Group, PLLC and has been practicing business law and providing management consulting for over 20 years. Kurt Beasley unique approach to the art of law is based deeply in his relationships and commitment to his clients. Kurt Beasley brings previous years of banking and private accounting experience into his caring approach to his profession, which is matched by a commitment to excellence in research, preparation, and issue resolution.

Kurt V Beasley has enjoyed a challenging and diverse experience history that has enabled him to obtain deep industry knowledge in the areas of corporate structure, merger & acquisition counsel, corporate and individual litigation, and capital planning. “I feel very fortunate to have started my career as a practicing CPA and banker, because from that early experience I learned the realities of what it takes to run a business…and an understanding of the challenges that business owners face in their everyday efforts.”

Kurt Beasley | Protect Family Trust | Kurt Beasley

Can I protect my family trust from my spouse’s remarriage? – By Kurt Beasley

The terms of the trust can provide that on your spouse’s remarriage he or she is removed as a beneficiary of the family trust. It can also provide that on a subsequent divorce or on the death of the new spouse your spouse can again be taken care of by its terms. The appropriate language would be something like the following:

1. Distribute the income and principal to my surviving spouse and children, depending on who needs it.

2. If my surviving spouse dies or remarries, stop any distributions to my surviving spouse and distribute the income and principal among my children.

3. If my spouse becomes single again, go back to my instructions in number 1 above.

About Kurt Beasley

Kurt V Beasley is the founding Partner of Waterford Law Group, PLLC and has been practicing business law and providing management consulting for over 20 years. Kurt Beasley unique approach to the art of law is based deeply in his relationships and commitment to his clients. Kurt Beasley brings previous years of banking and private accounting experience into his caring approach to his profession, which is matched by a commitment to excellence in research, preparation, and issue resolution.

Kurt Beasley has enjoyed a challenging and diverse experience history that has enabled him to obtain deep industry knowledge in the areas of corporate structure, merger & acquisition counsel, corporate and individual litigation, and capital planning. “I feel very fortunate to have started my career as a practicing CPA and banker, because from that early experience I learned the realities of what it takes to run a business…and an understanding of the challenges that business owners face in their everyday efforts.”

Hasty Decision Delivers Far Reaching Consequences

In this day and age, everyone needs a lawyer sometime. When that time comes, how will you choose? Sound legal representation, like that offered by attorney Kurt V. Beasley, is an indispensable asset in resolving many forms of conflict.

Lawyers specialize in a wide array of fields, including – but not limited to – arbitration, tenant’s rights and estate planning. Conversely, there are many services, like drafting contracts, which are generally offered by all attorneys.

Do you need a lawyer to go to court for you? Often not, cautions Kurt V. Beasley. Perhaps you just need an attorney that can send an informed letter on impressive letterhead. Or you may need a lawyer that can navigate the labyrinthine halls of an unforgiving bureaucracy. “The art of law can be seen as a bridge to building relationships,” counsels Kurt V. Beasley. “Reasoned, less adversarial approaches like arbitration, remain a very viable option for most conflicts.”

Consider your needs. Often the problem can be solved with an attorney who does not need to resort to litigation. Consider what is at stake – not just resources, but business relationships. Ask yourself how much it is worth spending in order to maintain your stake. Take your questions to a community-minded attorney, like Kurt V. Beasley, rather than making a hasty decision that can cost you, economically and socially. Ask yourself how much that is worth.

Kurt V. Beasley is a thoughtful, community-conscious attorney with a background in financial services. He is the managing member and founding partner of the Waterford Law Group based in Brentwood, Tennessee. Kurt Beasley has over two decades experience in business law and management consulting.

Contact:
Kurt V. Beasley
Waterford Law Group PLLC
112 Westwood Place Suite 200
Brentwood, TN 37027
615-373-2500

Kurt Beasley | Estate Planning 2 Minute Drill | Kurt Beasley

Kurt Beasley on Estate Planning; a two minute drill – By Kurt Beasley

While volumes can be written about the needs of estate planning, sometimes it is easiest to have a short simple check list. To that end, here is a two minute check list that may help facilitate a more comprehensive discussion. Every estate needs the following:

A Will:

This legal document tells who will manage your estate. A will is a document containing your instructions and wishes as to how your property and assets are to be distributed after your death says Kurt Beasley. Any person, of any age, should seriously consider a will at the earliest possible time. It is the expression of your wishes concerning how your property will be distributed. It is a written statement, signed in compliance with you state guidelines. It is a legal document containing the names of the people you want to benefit, as well as details of your possessions at the date of your death. As the Managing Member of Waterford Law Group, Kurt Beasley knows that your property and possessions include everything you own; your home, land, vehicles, bank accounts, benefits of insurance policies, furniture, boat, investments such as shares of stock, personal jewellery, artwork, and so on. A will is the only way you can ensure your assets will be distributed according to your wishes.

A Letter of instruction:

This document addresses financial and personal issues that must be attended to after your death. It is generally less formal then your will and can be much more to the point. One of the most important features of a letter of instruction reflects Kurt Beasley, is it provides specific information regarding personal preferences in medical or funeral care and details concerning dispersion or care of your personal assets that your legal documents may not outline. Letters of instruction can be used for many different things, but one of their main uses is simply to lead the person who must settle your estate through the process step by step in plain language that he or she can easily understand said Kurt Beasley.

Advance directive:

While this document may be referred to by different names, its intent is straight forward. These documents refer to health care directives, living wills, health care (medical) powers of attorney, and other personalized directives. It is a legal document that you as the signor defines your desire to be kept alive by extraordinary medical efforts. Kurt Beasley has utilized this type of document for many of his clients. This is particularly important if you suffer from a terminal illness or are severely disabled and can no longer make decisions for yourself. This document eliminates the distress that your loved ones might other wise be faced with.

Power Of Attorney:

This is the document that gives another person legal authority to act on your behalf. When you create this document, you are acting as the principal and the person you giving the power to is called your attorney in fact. Kurt Beasley acts as an attorney in fact for many of his clients. If you create a durable power of attorney, that document will continue in effect even if you become incapacitated. While this document can serve as a directive for many things, it is a core need for every estate.

There are many details involved in each one of these documents. As you review your current situation these brief definitions may help. Being prepared for such a discussion is half of the process.

Kurt Beasley is the Managing member of Waterford Law Group in Brentwood Tennessee. The firm provides a broad suite of legal and accounting services and prides itself on practicing the art of law.

Kurt V Beasley | Arbitration Is Viable Option | Kurt V Beasley

Kurt V. Beasley on Arbitration: When Speed, Flexibility and Goodwill are Important – By Kurt V Beasley

Largely due to all the activity within the current court structure and the high profile lawsuits splashed across the news everyday, a lesser known option is often overlooked. “Arbitration remains a very viable option for most conflicts” says Kurt V. Beasley, a Brentwood Tennessee attorney. Arbitration is a private, informal process that allows the parties to a contract agree, in writing, to submit their disputes to one or more impartial persons who will adjudicate and resolve the controversy by rendering a final and binding award to the prevailing party. Arbitration has certain advantages over Court proceedings.

In many cases arbitration can be heard without the long delay. For a case to go to court the time period required is usually longer. Arbitration however allows for the possibility of selecting arbitrators that suit the timetable of the parties. The traditional court system can stretch conflict resolution out for months or even years. Kurt V. Beasley would much rather see a conflict more peacefully resolved.

There are other benefits as this option is considered uttered Kurt V Beasley. The adversarial nature of court hearings usually guarantees that parties to a dispute heard in court will never be able to work together again. Arbitration hearings are usually held in private and in a less adversarial setting where the parties feel that a business disagreement is being sorted out. A more reasoned approach allows both parties to feel as though they are not going to war. Many times arbitrators will try to persuade the parties to utilize an even more peaceable approach which is mediation. Most arbitration systems can assist in facilitating an attempt to expedite settlement without going to arbitration at all. The more business-friendly nature of arbitration is actively practiced by the Waterford Law Group where Kurt V. Beasley is a founding partner. As Mr. Kurt V Beasley explains it, mediation acts as a form of insurance against loss of good will and, if handled by experienced arbitrators and arbitration-counsel, enables parties to continue a business relationship after the proceeding is long over with.

Finally, unlike court rules which are usually set out in formal procedures which are never varied, parties to arbitration are free to customize and refine the basic arbitration procedures to meet their particular needs. If the parties agree on a procedure that conflicts with the rules of the Arbitration body selected, the arbitration body will respect the procedure opted-for by the parties suggested by attorneys like Kurt V. Beasley unless these would, in the experience of the arbitrators, be unworkable.

Arbitration is used for a wide variety of disputes – from commercial disagreements involving intellectual property, major commercial technology, activities, securities transactions, real-estate, construction, insurance claims and employment grievances. Arbitration provides a viable solution for almost all commercial business conflicts. While there are many benefits to arbitration, a common assumption that may be incorrect is that the costs of complicated arbitration may be less than the costs of a full court hearing. This is an aspect that is best discussed with professionals prior to beginning the process. Once a decision has been made the parties can quickly move into the process of resolution.

Kurt V Beasley is the Managing member of Waterford Law Group in Brentwood Tennessee. The firm provides a broad suite of legal and accounting services and prides itself on practicing the art of law.

When Life Goes Flat – By Kurt V Beasley

We all know the story in the book of Ruth where Ruth pledges allegiance to her mother-in-law, her country and her God. How with resolute determination Ruth said no to Naomi’s urgings to find a new life on her own. Finally Naomi gave in and suggested that Ruth choose a particular field to glean in order to provide them sustenance. Ruth obediently followed the directions of her mother-in-law and found herself working day and night gleaning in the field. You know the rest of the story; the Bible says that “as it turned out,” the field where Ruth was hard at work was owned by an honorable and wealthy man named Boaz. Boaz took a liking to Ruth, they were married, and they all lived happily ever after. Don’t you just love Bible stories; how good always conquers evil and God’s followers always get what they need? Well look closer, do you think Ruth was singing the praises of the Lord (who she had just met) during the heat of the Judean day? I doubt it. Why did Ruth have an “as it turned out experience?”

For some time I have been an avid bicycle rider and just love Manhattan. I have dreamed of riding down the streets of Manhattan, seeing the lights of the city and experiencing the NY experience. I along with my friend David finally decided to combine our two passions and set out to ride Manhattan.

At midnight (to avoid the traffic) Friday night September 9th, we left our borrowed apartment, above the Lamb’s Church at Times Square, and set out to conquer the island. We traveled east toward the East River and began navigating the still busy streets. About three blocks from the apartment, 20 minutes into our ride of a lifetime, my back tire went flat. No problem; when I ride I always rely on David to carry a spare tube just for me. Around 12:45 AM we were back in the saddle and off to finish our experience. We continued east and it was not long until I was in front of the United Nations Building. Wow, what an experience, on my bike in front of the most influential place of power on Earth. As I was taking in the experience, yes, what I heard was the sound of my newly repaired back tire losing air once again. Flat tire number two and this time my friend David could not save me.

At about 1:30 Saturday morning we began our walk back to our apartment. Yes walk, we had no money and the nice taxi drivers did not seem to eager to allow us to tie down our bikes to the top of their cabs. For you avid and experienced bike riders, you know that we could not walk in our bike shoes, which have those fancy special clips. Thus, we journeyed back to the apartment, pushing my flat bike, barefooted and in our tight little shorts.

As we walked, I decided to talk with God. I asked him “Why did I travel all of the way to NY to find myself pushing my bike barefooted across Manhattan?” Since I had no choice, I began to praise Him for the experience. I thanked Him for saving me from some unknown disaster that surely would have befallen me if it were not for the flats. I silently thanked Him for His goodness (with my fingers crossed). Around 3:30 AM we finally arrived back to our apartment, tired and embarrassed. Another casualty of the city.

Not to be defeated, when the sun rose on Saturday morning David and I decided to find a bike shop in hopes of repairing my two flats. After searching the city we finally found a shop down in the Village, made our way by subway and by mid-day found some friendly faces who sympathized with our plight. As the young man repaired my tire I explained that we were on a journey and asked him for any suggestions as to where a fellow would ride if he wanted to see the city and avoid the potholes. With bewilderment he turned and said to me, “You have ridden the West Side Greenway (the bike path that runs along the west side of Manhattan) haven’t you?” What path, where is the West Side?

It goes without saying that when 4 AM Sunday morning came, we could hardly wait to test out this young man’s truth and veracity. We pulled out of the Lamb’s Church and this time turned left (west) not east and made our way several blocks wondering what we would find and holding my breath that my back tire would hold up. We turned up 47th, crossed Broadway and almost fell off of our bikes when yes; we found it; stretching for miles running parallel to the Hudson River the most magnificent bike path we had ever seen. We turned north and pointed toward the George Washington Bridge, which was spectacularly adorned in its lights and splendor. The temperature was perfect; the path was perfect; the city was beautiful. As we screamed at speeds of 25 MPH (this is kind of fast on a bike) I screamed to God “Thank you. Thank you for the two flats. Thank you for your personal blessings. Thank you for the ‘as it turned out’ moments of life, where with our temporal eyes we often see only disappointment and sorrow but when we use the eternal eyes of the Holy Spirit we can see hope and blessings to come.”

Well, we continued our journey and eventually left the bike path at around 110th street, biked through Harlem, into Spanish Harlem, and then made our way toward Central Park. All the time, I just kept thanking God, believing that we were nearing the end of a great ride, and riding with confidence that God really does care about the “little things.” I remember saying at about 112th street, “God how could this trip have been any better? Going from disappointment to elation?”

And then it got better as we rounded a side street we turned into Central Park. It was still dark and we were alone. That’s when it was as if God said to me “open your eyes.” To an avid bike rider, it is impossible for me to describe what we saw at that moment. We made the turn and before our eyes were 10,000 bikers suited up and ready to go, lined up as far as you could see. We were smack dab in the front of the line of the NYC Century Ride. Yep, 10,000 fanatical bike riders setting out on a 100 mile ride from Manhattan and throughout the Burroughs. Tad, a friendly Wall Street stock broker, told us that guys talk all year about this ride, bets are placed, and challenges are issued. As we explained to the most experienced bike riders who were at the front of the line, where we had so innocently cut in, that we just happened down a side street and fell into heaven, the laughs that rang out almost caused irreparable injury.

Well yes, you got it, we joined (we did not even have to pay the $65 registration fee) the pack and within two hours we were zooming down Fifth Avenue and crossing the East River on the Brooklyn Bridge in the midst of one of the most gorgeous days that God has ever created.

It has been a few weeks since the monumental ride. The experience has almost worn off but the lesson hasn’t. I thank my Lord for the two flats which led me to an experience that I could have never planned for or could have ever orchestrated.

Our lives are full of flats aren’t they? I, like Ruth chose to praise Him even during the flats, because I serve an “as it turned out God.” The next time the air goes out of your tires, praise Him, because you just never know, He may just be leading you to a path that He has chosen especially for you.

Estate Planning: Revocable Living Trusts

I get questions every day in my practice about estate planning. My clients know that as part of practicing the art of law we attempt to answer all of the basic questions a client has. Below, I’ll provide some basic information of Revocable Trusts and how we might use them.

What is a Revocable Living Trust?
A Revocable Living Trust is a trust which you create during your lifetime. It is also been called an Intervivos Trust which means during your life. The fact that the trust is revocable means that it may be changed or terminated at your wish as long as you continue to be competent at that time.

Why should I use a Revocable Living Trust versus a Will?
One of the major benefits of having a Revocable Living Trust is allowing you to avoid probate. Also it will allow you to seamlessly manage your assets if you become incapacitated. Please note however that the Revocable Living Trust does not replace your will, although it will act similar to a will and distribute the property pursuant to your wishes. Any good estate plan including a Revocable Living Trust will include the use of a Pour Over Will which will pour any assets which have not been titled into the trust into in upon your death. More information about the benefits of a Revocable Living Trust will be discussed later and for more detail of a Pour Over Will please see your section regarding the use of a Pour Over Will.

How does my Revocable Living Trust function?
During your lifetime your Revocable Living Trust will pay all of income made to you. In addition it allows for you to use any principle that is needed or requested. Upon your death the Revocable Living Trust will distribute pursuant to your distribution plan in a manner similar to your will. As previously mentioned, there are several advantages of a Revocable Living Trust versus a will.

What exactly are the benefits of a Revocable Living Trust?
The use of a Revocable Living Trust allows for property to be managed uninterrupted by incapacity. Through proper planning and funding of a Revocable Living Trust if you were to become incompetent your Successor Trustee will be able to step in and manage all your financial affairs for any items that are in the trust. By doing this planning you can avoid the painful and very expensive process of having a guardian appointed if you were to become incapacitated. Another major benefit of the Revocable Living Trust is that it avoids probate. Please note that by doing a Revocable Living Trust you will not avoid all costs, as you will still have to pay legal fees for the drafting of the trust and other incidental expenses. However the use of the trust will allow you to avoid much of the time delays and aggravations which are associated with the probate process. Further if you have property in other states than where you reside it will also allow you to avoid probate in those states. Finally some people like that a Revocable Living Trust provides privacy versus the probate process.

Are there disadvantages to a Revocable Living Trust?
One of the disadvantages of the Revocable Living Trust is that any expenses which you incur are done so immediately. The expenses are not deferred until your death, as is the case in probate. In addition by properly funding the trust there may be incurred expenses for retitling of assets depending on your situation. Finally there may also be fees for a Trustee who is allowed a commission for managing the trust. Please note however these fees are generally waived and not taking because normally the trustee is a family member who is going to be an ultimate beneficiary of the trust.

What are the tax consequences of having a Revocable Living Trust?
During your lifetime and as long as you are the trustee and managing the trust all of the items which you place into the trust will be taxed using your social security number, therefore you will not see any change at all tax wise. All income will be reported on your normal income tax return as it was before you set up the trust. Also note the trust will not have an effect on estate or gift taxes as when you pass away any assets which are in the trust will be considered in your taxable estate for estate tax purposes. However proper planning with your Revocable Living Trust will allow you to minimize your estate taxes especially between a married couple taking advantage of the exemptions allowed by law.

If I want to change or revoke the Revocable Living Trust, how do I go about doing this?
Generally to amend or change your Revocable Living Trust or to revoke it you must have proper papers prepared to reflect any changes. If you decide that you want to change or revoke your trust you should get in touch with your attorney in order to make the changes or to properly revoke it.

What happens to my Revocable Living Trust upon my death?
Upon your death your trust will become irrevocable and is no longer able to be amended or changed. All of the assets that were in your trust will still be considered in your estate for tax purposes and the Trustee or Successor Trustee if you were still the Trustee at the time of your death will then take over duties and distribute the assets according to your particular estate plan. Please note the Trustee may also be responsible for some miscellaneous such as insuring that a final tax return is prepared and upon distribution of the trust that a final accounting has been done. It is a good idea for the Trustee at the time to contact your attorney to ensure that all things are properly concluded at your death.

What do the terms Grantor Trustee and Beneficiary mean and what are their responsibilities?
The Grantor in this case is you; it is the person who sets up the trust. It is generally also the person who funds the trust. The Trustee is the person who is responsible for administering the trust, investing the assets and handling any of the administrative duties which need to be performed. Finally the Beneficiary is the person who benefits from the trust. This is the best position to be in with any type of trust. Normally a Revocable Living Trust is set up such that you take all three of these duties. You are the person who sets up the trust, you are the trustee who administers the trust during your lifetime and you are the one who is paid the income and benefits as a beneficiary of the trust during your lifetime.

If I have a Revocable Living Trust do I still need other estate planning documents?
As mentioned before the Revocable Living Trust is only a part of your estate plan. You will still need a will, which is generally a Pour Over Will which acts as a safety net to pour anything that was not properly titled into the trust. Also a Power of Attorney is still a very important document as it allows continued planning if you become incapacitated. It will also allow for the Power of Attorney to continue to fund the trust if it is only partially funding when you become incapacitated. Finally documents for health care decision such as the Health Care Proxy and/or the Living Will are still important documents, as they are needed in to handle your health care type decisions.

How important is the titling of property with respect to my plan?
Retitling property into the trust is a very important part of your estate plan. Without retitling the assets properly into the trust you will not be able to avoid probate if this is one of your goals. In addition if property is not titled correctly your estate plan may not function correctly. For example if you intend for a certain account to be distributed through the trust however it was still owned in joint name when you pass away that property will not be distributed pursuant to the trust and will instead pass directly to the joint owner of the account. We feel that the retitling of property is so important that we devoted an entire section of your estate planning to the retitling process.