Estate Planning For Florida Same Sex Partners or Spouses: What You Should Know About TBE Delaware LLC’s

Introduction

Florida same-sex partners and same gender couples who were legally married in a state outside of Florida and have now moved to Florida should consider using a TBE (Tenants by Entireties) Delaware LLC to own Florida real estate or intangible property. Here is why.

Strategy

An important asset protection strategy available to married persons in Florida is to hold title to real estate or other property as Tenants by Entireties. This is a form of ownership only available to a married couple. It is a good strategy to protect assets because a creditor must have a claim against each spouse to reach the asset. If the creditor has a claim against only one of the spouses, the asset is usually well protected.

Of course the problem is that Florida currently does not recognize same sex marriage. However, Delaware does and it also has the advantage of having strong Tenants by Entireties protection similar to what we have in Florida. Delaware also has a strong, modern LLC (limited liability company) statute that provides good asset protection for both single and married persons.

Conclusion

Until such time as Florida joins the national trend to recognize same sex marriage, the safest way to protect real estate and intangible property may be to use a TBE Delaware LLC for same sex spouses or partners. A word of caution: The TBE Delaware LLC must have a robust operating agreement that clearly provides for tenancy by the entireties ownership and charging order protection.

Note: We welcome your questions. Contact Phil Rarick, Miami asset protection attorney, Rarick & Bowden Gold, P.A., at (305) 556-5209 or prarick@raricklaw.com.

Special Note

The information on this blog is of a general nature and is not intended to answer any individual’s legal questions. Do not rely on information presented herein to address your individual legal concerns. If you have a legal question about your individual facts and circumstances, you should consult an experienced Miami asset protection attorney. Your receipt of information from this website or blog does not create an attorney-client relationship and the legal privileges inherent therein.