All of my accounts are in my name. If some guy decides to file a lawsuit against me and wins then they can garnish those accounts with a court order. How do I protect myself from lawsuits? Please be specific...
Port's got $150mm in funds with which he trades. He feels like a big shot posting his screen shots. Maybe he can afford a good attorney instead of bothering us. Port, I know the answer to your question but on principle I'm not going to tell you. This is an easy one.
These days you dont have to do anything. Anyone can file a lawsuit for anything and they will if you have enough dollars. I'd like to take measures now to protect myself from the inevitable.
You raise a very valid point Port..... very valid indeed. However take heart, that broadly speaking, people who make enough money to warrant suing, are at the sometime smart enough to protect themselves without the need to post questions on open forums. Sleep well Port, you are off the hook. regards f9
Many folks here on ET have six and seven digit accounts. Some, if not all, of these guys are Joe Small at their houses in Jersey. How is Joe Small with his six or seven figure trading account to be protected?
Concur. Very cheap way to protect yourself. Going the LLC route only insulates you from personal liability( at least theoretically) from actions taken by the LLC. If you are sued personally, there is no obvious reason your ownership of the LLC would not be an asset available to a judgment creditor. Some professionals, eg physicians, set up caribbean trusts to insulate their assets, but that is more in the nature of hiding them. You can also establish trusts here, but you have to relinquish control of the trust assets to protect them from your creditors.