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--></style></head><body lang=EN-US link=blue vlink=purple style='word-wrap:break-word'><div class=WordSection1><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>Diane,<o:p></o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>I always hear from clients that they either heard from other friends, or google lawyers or read online some place that trusts and LLC’s protect assets. I then tell them the only way to protect your assets from creditors is to put the assets into an irrevocable trust, that they cannot be a trustee of, and then must wait at least five (5) years before creditors will be barred from seeking to recover the trust assets. That usually ends the story. We then discuss LLC’s as protecting assets. I tell them maybe, but if you, the client, have an LLC that they control as members and they incur a debt, if I get a judgment against you, I will attach your LLC member units and seek to liquidate the LLC and get at assets. I am actually seeing this being done right now in a local case. The bottom line is to advise clients to get doing their own research.<o:p></o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>Jeff <o:p></o:p></span></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'><o:p> </o:p></span></p><p class=MsoNormal><b><span style='font-size:11.0pt;font-family:"Tahoma",sans-serif'>W. Jeff Davis<o:p></o:p></span></b></p><p class=MsoNormal><b><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif;color:black'>BELL & DAVIS PLLC<o:p></o:p></span></b></p><p class=MsoNormal><b><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif;color:black'>Attorneys at Law</span></b><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif;color:black'><br>P.O. Box 510<o:p></o:p></span></p><p class=MsoNormal><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif;color:black'>720 E. Washington Street, Suite 105<br>Sequim WA 98382<br>Phone: (360) 683.1129 <br>Fax: (360) 683.1258 <br>email: </span><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif'><a href="mailto:jeff@bellanddavispllc.com"><span style='color:#0563C1'>jeff@bellanddavispllc.com</span></a><span style='color:black'><br></span></span><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'><a href="http://www.bellanddavispllc.com/" target="_blank"><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif'>www.bellanddavispllc.com</span></a></span><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif;color:black'><br> <br>The information contained in this e-mail message may be privileged, confidential, and protected from disclosure. If you are not the intended recipient, any dissemination, distribution, or copying is strictly prohibited. If you think that you have received this e-mail message in error, please e-mail the sender at </span><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'><a href="mailto:info@bellanddavispllc.com"><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif'>info@bellanddavispllc.com</span></a></span><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif;color:black'> or call 360.683.1129.</span><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif'><o:p></o:p></span></p><p class=MsoNormal><b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'><o:p> </o:p></span></b></p><p class=MsoNormal><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'><o:p> </o:p></span></p><div style='border:none;border-top:solid #E1E1E1 1.0pt;padding:3.0pt 0in 0in 0in'><p class=MsoNormal><b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>From:</span></b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'> wsbarp-bounces@lists.wsbarppt.com <wsbarp-bounces@lists.wsbarppt.com> <b>On Behalf Of </b>Diane Kiepe<br><b>Sent:</b> Friday, October 30, 2026 9:51 AM<br><b>To:</b> WSBA Real Property Listserv <wsbarp@lists.wsbarppt.com><br><b>Subject:</b> Re: [WSBARP] [WSBAPT] In active LLC - transfer of real property to living trust<o:p></o:p></span></p></div><p class=MsoNormal><o:p> </o:p></p><div><div><div><p class=MsoNormal><span style='font-size:18.0pt'>Thank you so much for this. This week alone, three people talked to me about setting up trusts "to protect their assets". I have to explain to them that what they hear at some free dinner or on some show isn't applicable in WA. I can't speak for other jurisdictions known for their approach to trusts but I am amazed at how far people are willing to go. I then discuss the homestead exemption (which is typically the address they are asking about. <o:p></o:p></span></p></div><p class=MsoNormal><br clear=all><o:p></o:p></p></div><div><div><div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal><span style='font-size:18.0pt;font-family:"Georgia",serif;color:#38761D'>Thank you.</span><o:p></o:p></p></div><div><p class=MsoNormal><span style='font-size:18.0pt;font-family:"Georgia",serif;color:#38761D'>Diane Kiepe, J.D., LL.M. Taxation</span><o:p></o:p></p></div><div><p class=MsoNormal><span style='font-size:13.5pt;font-family:"Georgia",serif;color:#38761D'>Kiepe Estate and Probate, PLLC</span><o:p></o:p></p><div><p class=MsoNormal><span style='font-size:13.5pt;font-family:"Georgia",serif;color:#38761D'><a href="mailto:diane@kiepelaw.com" target="_blank">diane@kiepelaw.com</a></span><o:p></o:p></p></div><div><p class=MsoNormal><span style='font-size:13.5pt;font-family:"Georgia",serif;color:#38761D'>200 N. Mullan Rd., Suite 203</span><o:p></o:p></p></div><div><p class=MsoNormal><span style='font-size:13.5pt;font-family:"Georgia",serif;color:#38761D'>Spokane Valley, WA 99206</span><o:p></o:p></p></div></div><div><p class=MsoNormal><span style='font-size:18.0pt;font-family:"Georgia",serif;color:#38761D'>509-808-2087</span><o:p></o:p></p></div><div><div><p class=MsoNormal><span style='font-size:7.5pt;font-family:"Verdana",sans-serif;color:dimgray'>Confidentiality Notice: This page and any accompanying documents contain information that is confidential, privileged, or exempt from disclosure under applicable law and is intended for the exclusive use of the addressee. This information is private and protected by law. If you are not the intended recipient, you are hereby notified that any disclosure, copying, distribution, or use of the contents of this information in any manner is strictly prohibited.</span><o:p></o:p></p></div></div></div></div></div><p class=MsoNormal><o:p> </o:p></p></div><p class=MsoNormal><o:p> </o:p></p><div><div><p class=MsoNormal>On Fri, Oct 30, 2026 at 9:23<span style='font-family:"Arial",sans-serif'> </span>AM Mark McClure, J.D. - McClure Law Group <<a href="mailto:mark@mcclurelawgroup.com">mark@mcclurelawgroup.com</a>> wrote:<o:p></o:p></p></div><blockquote style='border:none;border-left:solid #CCCCCC 1.0pt;padding:0in 0in 0in 6.0pt;margin-left:4.8pt;margin-right:0in'><div><div><div><p class=MsoNormal style='mso-margin-top-alt:auto;margin-bottom:6.0pt'><b>Bankruptcy perspective:</b> Revocable Living Trusts are great; but the homestead in this state only applies to property owned by the debtor that the debtor lives in, intends to live in, or has dependents living in. And, assets in a revocable trust are accessible by trustor’s creditors. <o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;margin-bottom:6.0pt'>While a good argument can be made that the beneficiary of a trust living in a property that is in the trust, should be able to claim that homestead, it is not explicit in the code nor is there any good case law that I am aware of in this state.<o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;margin-bottom:6.0pt'>Reminder, in King County, the homestead exemption this year is $940,000. <o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;margin-bottom:6.0pt'>I recommend to my clients that they move the homestead out of the trust before filing. There is another gotchya though. The 1,215-day rule, which is a federal statutory cap under 11 U.S.C. § 522(p) of the U.S. Bankruptcy Code. This is how long if a client wanted to be uber safe would wait after that transfer to file the bankruptcy.<o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;margin-bottom:6.0pt'>Again, there are good equitable beneficial title arguments to be made, but what one bankruptcy judge may buy, another may not.<o:p></o:p></p><div><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;background:white'><b><span style='font-family:"Helvetica",sans-serif;color:#4C76A2'>Mark C. McClure</span></b><b><span style='font-size:24.0pt;font-family:"Helvetica",sans-serif;color:#4C76A2'> </span></b><b><span style='font-family:"Helvetica",sans-serif;color:#4C76A2'>| </span></b><i><span style='font-size:10.0pt;font-family:"Helvetica",sans-serif;color:#4C76A2'>Managing Attorney <br></span></i><span style='font-size:10.0pt;font-family:"Helvetica",sans-serif;color:navy'>Law Office of Mark McClure, PS<b> <br></b><i>"Why Retire With Debt?"<br></i><a href="https://www.google.com/maps/search/1103+West+Meeker+Street,+%23101+Kent,+WA+98032+Office:%C2%A0+253?entry=gmail&source=g">1103 West Meeker Street, #101</a><br><a href="https://www.google.com/maps/search/1103+West+Meeker+Street,+%23101+Kent,+WA+98032+Office:%C2%A0+253?entry=gmail&source=g">Kent, WA 98032</a></span><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;background:white'><span style='font-size:10.0pt;font-family:"Helvetica",sans-serif;color:navy'>Office: <a href="tel:(253)%20631-6484" target="_blank">253.631.6484</a> (Leave Msg - Will be returned within 24 hours)<br></span><span style='font-size:11.0pt;font-family:"Helvetica",sans-serif;color:#003399'>Email: </span><span style='color:black'><a href="mailto:Mark@McClureLawGroup.com" target="_blank"><span style='font-size:11.0pt;font-family:"Helvetica",sans-serif;color:purple'>Mark@McClureLawGroup.com</span></a></span><span style='font-size:11.0pt;font-family:"Helvetica",sans-serif;color:#003399'><br>Web: </span><span style='color:black'><a href="http://www.mcclurelawgroup.com/" target="_blank"><span style='font-size:11.0pt;font-family:"Helvetica",sans-serif'>www.McClureLawGroup.com</span></a></span><span style='font-size:11.0pt;font-family:"Helvetica",sans-serif;color:#003399'> </span><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;background:white'><b><span style='font-size:10.0pt;font-family:"Helvetica",sans-serif;color:#1F497D'>Notice of Unavailability:</span></b><span style='font-size:10.0pt;font-family:"Helvetica",sans-serif;color:#1F497D'> </span><b><span style='font-size:10.0pt;font-family:"Helvetica",sans-serif;color:red'> </span></b><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;background:white'><b><span style='font-size:11.0pt;font-family:"Helvetica",sans-serif;color:red'>TBD</span></b><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;background:white'><b><span style='font-size:9.0pt;font-family:"Helvetica",sans-serif;color:#C0504D'>**NOTE** All visits must be scheduled in advance for access to the building. Call </span></b><span style='font-size:9.0pt;font-family:"Helvetica",sans-serif;color:#C0504D'><a href="tel:(253)%20631-6484" target="_blank">253-631-6484</a> <b> to schedule.</b></span><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;background:white'><b><span style='font-size:10.0pt;font-family:"Helvetica",sans-serif;color:navy'>CONFIDENTIALITY NOTICE:</span></b><span style='font-size:10.0pt;font-family:"Helvetica",sans-serif;color:navy'> </span><span style='font-size:10.0pt;font-family:"Helvetica",sans-serif;color:#1C1E21;background:#F2F3F5'>This email contains legal stuff. If you are not the intended recipient you could get into a lot of trouble if you read it, and even more trouble if you tell someone else about it. So, the best thing to do is ignore it and forget you ever saw it. Thank you.</span><span style='font-size:10.0pt;font-family:"Helvetica",sans-serif;color:navy'> </span><o:p></o:p></p></div><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'> <o:p></o:p></p><div><div style='border:none;border-top:solid windowtext 1.0pt;padding:3.0pt 0in 0in 0in;border-color:currentcolor currentcolor'><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><b><span style='font-size:11.0pt'>From:</span></b><span style='font-size:11.0pt'> <a href="mailto:wsbapt-bounces@lists.wsbarppt.com" target="_blank">wsbapt-bounces@lists.wsbarppt.com</a> <<a href="mailto:wsbapt-bounces@lists.wsbarppt.com" target="_blank">wsbapt-bounces@lists.wsbarppt.com</a>> <b>On Behalf Of </b>Eric Nelsen<br><b>Sent:</b> Friday, October 30, 2026 9:12 AM<br><b>To:</b> WSBA Probate & Trust Listserv <<a href="mailto:wsbapt@lists.wsbarppt.com" target="_blank">wsbapt@lists.wsbarppt.com</a>>; 'WSBA Real Property Listserv' <<a href="mailto:wsbarp@lists.wsbarppt.com" target="_blank">wsbarp@lists.wsbarppt.com</a>><br><b>Subject:</b> Re: [WSBAPT] In active LLC - transfer of real property to living trust</span><o:p></o:p></p></div></div><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'> <o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'>The transfer should be done by the persons authorized to dissolve and wind up the LLC. If it’s member-managed, then a deed from all members would probably do it—but need to read the LLC’s Operating Agreement and the statutes. See RCW 25.15.297.<o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'> <o:p></o:p></p><div><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'>Sincerely,<o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'> <o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'>Eric<o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'> <o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'>Eric C. Nelsen<o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'>Sayre Law Offices, PLLC<o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><a href="https://www.google.com/maps/search/1417+31st+Ave+South+Seattle+WA+98144-3909?entry=gmail&source=g">1417 31st Ave South</a><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><a href="https://www.google.com/maps/search/1417+31st+Ave+South+Seattle+WA+98144-3909?entry=gmail&source=g">Seattle WA 98144-3909</a><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><a href="tel:(206)%20625-0092" target="_blank">206-625-0092</a><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><a href="mailto:eric@sayrelawoffices.com" target="_blank"><span style='color:#467886'>eric@sayrelawoffices.com</span></a><o:p></o:p></p></div><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'> <o:p></o:p></p><div><div style='border:none;border-top:solid windowtext 1.0pt;padding:3.0pt 0in 0in 0in;border-color:currentcolor currentcolor'><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><b><span style='font-size:11.0pt'>From:</span></b><span style='font-size:11.0pt'> <a href="mailto:wsbapt-bounces@lists.wsbarppt.com" target="_blank">wsbapt-bounces@lists.wsbarppt.com</a> <<a href="mailto:wsbapt-bounces@lists.wsbarppt.com" target="_blank">wsbapt-bounces@lists.wsbarppt.com</a>> <b>On Behalf Of </b><a href="mailto:Jeff@bellanddavispllc.com" target="_blank">Jeff@bellanddavispllc.com</a><br><b>Sent:</b> Friday, October 30, 2026 9:04 AM<br><b>To:</b> 'WSBA Real Property Listserv' <<a href="mailto:wsbarp@lists.wsbarppt.com" target="_blank">wsbarp@lists.wsbarppt.com</a>>; 'WSBA Probate & Trust Listserv' <<a href="mailto:wsbapt@lists.wsbarppt.com" target="_blank">wsbapt@lists.wsbarppt.com</a>><br><b>Subject:</b> [WSBAPT] In active LLC - transfer of real property to living trust</span><o:p></o:p></p></div></div><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'> <o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><span style='font-size:11.0pt'>Listmates:</span><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><span style='font-size:11.0pt'> </span><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><span style='font-size:11.0pt'>For estate planning purposes, PC and siblings transferred rental real property into an LLC. After covid and the new landlord-tenant act, the property was taken out of the rental pool and one sibling bought out. The other siblings let the LLC license lapse. Now the remaining members want to transfer the property to a Trust. Can the remaining members sign a deed on behalf of the LLC and transfer insurable title to a newly formed trust?</span><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><span style='font-size:11.0pt'> </span><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><span style='font-size:11.0pt'>Jeff Davis</span><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><span style='font-size:11.0pt'> </span><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><b><span style='font-size:11.0pt;font-family:"Tahoma",sans-serif'>W. Jeff Davis</span></b><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><b><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif;color:black'>BELL & DAVIS PLLC</span></b><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><b><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif;color:black'>Attorneys at Law</span></b><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif;color:black'><br>P.O. Box 510</span><o:p></o:p></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto'><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif;color:black'><a href="https://www.google.com/maps/search/720+E.+Washington+Street,+Suite+105+Sequim+WA+98382?entry=gmail&source=g">720 E. Washington Street, Suite 105</a><br><a href="https://www.google.com/maps/search/720+E.+Washington+Street,+Suite+105+Sequim+WA+98382?entry=gmail&source=g">Sequim WA 98382</a><br>Phone: <a href="tel:(360)%20683-1129" target="_blank">(360) 683.1129</a> <br>Fax: <a href="tel:(360)%20683-1258" target="_blank">(360) 683.1258</a> <br>email: </span><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif'><a href="mailto:jeff@bellanddavispllc.com" target="_blank">jeff@bellanddavispllc.com</a><span style='color:black'><br></span></span><span style='font-size:11.0pt'><a href="http://www.bellanddavispllc.com/" target="_blank"><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif'>www.bellanddavispllc.com</span></a></span><span style='font-size:10.0pt;font-family:"Tahoma",sans-serif;color:black'><br> <br>The information contained in this e-mail message may be privileged, confidential, and protected from disclosure. If you are not the intended recipient, any dissemination, distribution, or copying is strictly prohibited. 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