Help understand trusts before I seek advice

[Terry_w]

So. I spoke to advisor. Even though the company structure would most likely protect, the dircetor can still be sued. Therefore, next loan will be in my name with husband as guarantor.

What sort of advisor?

How can a director be sued?

 

[onion33]

My financial advisor. They do a lot of work for medical practioners and in rare cases, the director can be sued for negligence or if trades/stock are involved, for not paying etc.

 

[thatbum]

My financial advisor. They do a lot of work for medical practioners and in rare cases, the director can be sued for negligence or if trades/stock are involved, for not paying etc.

You're taking legal advice from a financial advisor?

 

[Terry_w]

My financial advisor. They do a lot of work for medical practioners and in rare cases, the director can be sued for negligence or if trades/stock are involved, for not paying etc.

This is clearly legal advice and something a financial planner would have little knowledge of and not be qualifiedd to advise on. You could be structuring incorrectly...

 

[onion33]

Thanks for your concern. I will double check.

This financial firm deals mainly with dentists and doctors, all who have a higher chance of being sued. He said most of them put the assets in the non-business person's name as a double safeguard against getting sued (even though the business structure should protect you).

 

[thatbum]

Thanks for your concern. I will double check.

This financial firm deals mainly with dentists and doctors, all who have a higher chance of being sued. He said most of them put the assets in the non-business person's name as a double safeguard against getting sued (even though the business structure should protect you).

Double check with him whether he thinks his legal advice is good? Are you serious?

Look he and his firm probably mean well, and broadly probably have some idea of what they are talking about...

...but we're talking about assets and property worth large sums of money and complex legal structures here.

You've got two lawyers here in this thread telling you they have concerns and so it surprises me your alarm bells aren't ringing.

 

[D.T.]

...but we're talking about assets and property worth large sums of money and complex legal structures here.

Trusts aren't a structure, they're a relationship

 

[Terry_w]

Thanks for your concern. I will double check.

This financial firm deals mainly with dentists and doctors, all who have a higher chance of being sued. He said most of them put the assets in the non-business person's name as a double safeguard against getting sued (even though the business structure should protect you).

Double check what? Are you going to go into the non lawyers office and say are you sure this is right? He will say 'yes I am sure'!

You can then ask him if he is breaching the relevant legal professional act by giving legal advice without holding a practicing certificate. Will his insurance cover this 'advice'?

Then ask him about constructive trusts and resulting trusts regarding his quip about holding assets in the non-business person's name. Ask him what a constructive trust is and see if he can explain. Then ask under what circumstances a trustee in bankruptcy can take a property in someone else's name.

 

[sanj]

Thanks for your concern. I will double check.

This financial firm deals mainly with dentists and doctors, all who have a higher chance of being sued. He said most of them put the assets in the non-business person's name as a double safeguard against getting sued (even though the business structure should protect you).

Don't be stingy, contact Terry, pay for an hour of his time and run it by him.