Asset Protection Trusts

The modern world is highly litigious, and increasingly creditors are receiving disproportionate judgments from the courts. People who have worked hard for their entire life are in danger of having their life savings wiped out by spurious litigation. Liability insurance for professionals is becoming prohibitively expensive.

An offshore asset protection trust (APT) provides the highest level of security for personal assets. Those who most benefit from an APT include persons in high-risk occupations (such as physicians and lawyers), business vendors (particularly those close to retirement), those with a high wealth profile, directors of public companies, and almost anyone who has saved a significant nest egg for their retirement.

Some of the features that make the Cook Islands the pre-eminent jurisdiction in the world for APTs include:

×   There are firm time limits for actions against trust assets

×   Intent to defraud must be proven to a criminal standard in allegations of fraud

×   Foreign judgments relating to transfers of property to a trust will not be recognized in the Cook Islands if they proceed on law different to that of the Cook Islands

×   There is no bankruptcy law in the Cook Islands, and therefore no claw back provisions. A creditor must rely on common law fraud to avoid a disposition to a trust

Our Commitment to Asset Protection

CIT’s corporate and operational structure is driven by the need to protect trust assets from the exercise of extra territorial jurisdiction by non Cook Islands courts. In order to accomplish this:

×   No subsidiary, branch, or parent of CIT exists outside of the Cook Islands (all associated companies are held under separate ownership)

×   No directors, executives, or beneficial owners of CIT reside outside of the Cook Islands

×   No presence or representation of CIT is maintained outside of the Cook Islands

Back to Top