Physicians face the risk of losing their life savings through malpractice lawsuits, Stark Law administrative penalties and other legal complications, according to a Physicians Practice report.
However, physicians can take action to protect their accumulated assets through financial and estate planning that protects their savings to the fullest extent allowed by law, Robert Feiger, JD, LLM, partner with the Dallas law firm of Friedman & Feiger, told Physicians Practice.
First of all, Mr. Feiger recommends that physicians consult an experienced attorney to learn how to protect their medical practice assets from potential judgment creditors. Asset protection attorneys can help providers explore various options, such as creating a "trust," according to Mr. Feiger. Under a trust, the physicians and their families typically own the beneficial equitable interests in the trust assets but don't hold the legal title. As a result, the trust assets aren't counted in satisfaction of a judgment.
It's best to seek out an attorney and discuss options when the physicians aren't facing any threats, such as pending or filed lawsuits, according to the report.
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