Just about everyone is a potential target for a lawsuit these days. Here are some facts about the legal climate today. Over 19 million lawsuits are filed in the U.S. each year. We have 5% of the world's population and 80% of the world's lawyers. Ninety percent of all lawsuits in the world happen right here in the U.S. And it's getting worse. According to the American Bar Association, there are close to 700,000 lawyers in practice at present. That's one lawyer for every 400 men, women and children!
So if you own a business, own investment properties or practice a profession you have a one in three chance of being named in a lawsuit THIS YEAR!
It used to be that people didn't worry about frivolous lawsuits when they weren't at fault. That's not the case any more. Remember the woman who was awarded over $2 million in a suit against McDonalds' because she spilled hot coffee on herself? It's these kinds of awards that prompt people to file spurious or questionable lawsuits. The challenge is that most lawyers handle these cases are on a contingency fee basis which means clients don't pay a dime unless they win or settle the lawsuit. When there are no upfront costs to file a lawsuit, there's nothing preventing them from making a frivolous claim. So with that being the mindset of the general public it's obvious why you need to protect yourself.
What Is Asset Protection and How It Works
Now if you have read anything on asset protection there are two basic questions you should be asking yourself:
So now let