Ignoring the Nevada self-settled asset protection trusts, a land trust is a grantor trust with A being the Settlor, T the trustee, and A as the beneficiary.  A transfers property into the land trust.  P the plaintiff is injured on the property (2 year old stick towel in wall heater gets burned).  Plaintiff sues T as trustee of the trust, during lawsuit P obtains copy of the trust and discovers the beneficiary’s identity.  Lawsuit names A as additional defendant, may release T as a defendant.  What prevents P from attaching A’s other assets?

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Byron,

You are correct in your decsription of how an “inside lawsuit” would progress. An “outside lawsuit” directly against the beneficiary for an issue unrelated to the property held inside the trust, would be handled differently. But, for the sake of this discussion, I would answer by saying that this is the reason why most R.E. Investors make the beneficiary of their Land Trust(s) an LLC or Corp. This gives them additional asset protection at the beneficiary level. To take this answer any further would require more time and space than i have here, but i would be glad to talk with you on the phone. Please call me at 217-355-1281

Mr. Land Trust