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<DIV>I haven’t thought about this for a while. But seems to me LLC of
course cannot be “living trust” because that would not insulate the
assets. If the client owns the trust you just switch an interest in an
entity which owns the assets for an interest in the assets themselves.
Therefore, you have to give it to your kids or somebody who then sets up a
trust, if they so “choose.” And there are tax consequences for the residential
interest deduction. And, this is always easier in theory than
in actual execution. Anyway...</DIV>
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<DIV style="font-color: black"><B>From:</B> <A title=Roger@law-hawks.com
href="mailto:Roger@law-hawks.com">Roger Hawkes</A> </DIV>
<DIV><B>Sent:</B> Wednesday, December 07, 2016 5:37 PM</DIV>
<DIV><B>To:</B> <A title=wsbapt@lists.wsbarppt.com
href="mailto:wsbapt@lists.wsbarppt.com">WSBA Probate & Trust Listserv</A>
</DIV>
<DIV><B>Subject:</B> Re: [WSBAPT] Ownership of home In LLC?</DIV></DIV></DIV>
<DIV> </DIV></DIV>
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<P class=MsoNormal><SPAN
style='FONT-SIZE: 11pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: #1f497d'>Josh:
talk to their tax accountant to be sure it does not complicate things; but yes,
for liability protection holding assets in a corp or llc protects the other
assets from exposure to damage claims, unless the claim is on account of some
tort behavior of the individual; then all assets of the individual are
exposed.<o:p></o:p></SPAN></P>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 11pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: #1f497d'><o:p></o:p></SPAN> </P>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 11pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: #1f497d'>Roger
Hawkes, WSBA 5173<o:p></o:p></SPAN></P>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 11pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: #1f497d'>19909
Ballinger Way NE<o:p></o:p></SPAN></P>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 11pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: #1f497d'>Shoreline,
WA 98155<o:p></o:p></SPAN></P>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 11pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: #1f497d'><A
href="http://www.hawkeslawfirm.com/">www.hawkeslawfirm.com</A><o:p></o:p></SPAN></P>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 11pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: #1f497d'>206
367 5000 voice<o:p></o:p></SPAN></P>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 11pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: #1f497d'>206
367 4005 fax<o:p></o:p></SPAN></P></DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 11pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: #1f497d'><o:p></o:p></SPAN> </P>
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<P class=MsoNormal><B><SPAN
style='FONT-SIZE: 10pt; FONT-FAMILY: "Tahoma","sans-serif"'>From:</SPAN></B><SPAN
style='FONT-SIZE: 10pt; FONT-FAMILY: "Tahoma","sans-serif"'> Josh Grant
[mailto:jgrant@accima.com] <BR><B>Sent:</B> Wednesday, December 7, 2016 3:26
PM<BR><B>To:</B> wsbar trust<BR><B>Subject:</B> [WSBAPT] Ownership of home In
LLC?<o:p></o:p></SPAN></P></DIV></DIV>
<P class=MsoNormal><o:p></o:p> </P>
<DIV>
<DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 13.5pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'>I
have a client who has a large business, fully insured, however the activity has
a potential for substantial liability (environmental, accidents to
workers). It is owned as a sole proprietor by client with his
wife.</SPAN><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'><o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'> <o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 13.5pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'>He
and his wife owns some real property including a family home.</SPAN><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'><o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'> <o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 13.5pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'>It
would be difficult to transfer everything in the business into an LLC. because
of the nature of the assets. Same with transferring everything into a
Corporation. Also he may sell the business in a year or so.</SPAN><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'><o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'> <o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 13.5pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'>He
is hoping for some reduction in risk exposure to his nonbusiness
assets.</SPAN><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'><o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'> <o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 13.5pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'>I
have told him that their isn’t a lot of protection available, however, an
LLC might be helpful (create a small barrier) for a business related claim, if
for some reason he doesn’t have enough insurance.</SPAN><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'><o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'> <o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 13.5pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'>Is
there a problem if he puts the real property he and she owns in an LLC?
Would it provide any protection to their assets? Other suggestions?</SPAN><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'><o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'> <o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 13.5pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'>Josh
Grant</SPAN><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'><o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'> <o:p></o:p></SPAN></P></DIV>
<DIV>
<P class=MsoNormal><SPAN
style='FONT-SIZE: 14pt; FONT-FAMILY: "Calibri","sans-serif"; COLOR: black'>Joshua
F. Grant, PS<BR>Attorney at Law<BR>P. O. Box 619<BR>Wilbur, WA 99185<BR>tel 509
647 5578<BR>fax 509 647 2734<o:p></o:p></SPAN></P></DIV></DIV></DIV></DIV>
<P>
<HR>
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