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Leon
Leon, Solicitor
Category: Australia Law
Satisfied Customers: 43260
Experience:  BEc Dip Ed, Dip Law (SAB) MTax (UNSW)
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In bankruptcy if your discretionary trust is not involved in

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In bankruptcy if your discretionary trust is not involved in the company that has become insolvent are the assets in that trust safe from creditors.?

My name is ***** ***** I am a NSW Solicitor. I will do my best to assist you with your question.

Good Evening.

Bankruptcy is for an individual not a company.

If the company is the trustee that looks after the trust then you have a problem.

If it is a company that has nothing to do with the trust and is not a beneficiary of the trust then the trust assets are safe.

If you have become a bankrupt and you are a beneficiary of the trust then when there is a distribution to you from the trust you will lose the amount to the Trustee in Bankruptcy.

I hope this makes sense and is of assistance. If there is nothing further

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If I have missed anything, or you have any further questions please let me know

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Regards

Leon

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