Reed Law

Asset Protection, Estate Planning and Business Succession Attorney in Kalamazoo, Michigan

Reed Law helps individuals, families, property owners and business owners plan for the management and transfer of their assets. Its work combines estate planning with asset protection, probate, guardianships and conservatorships, real estate and small-business law.

The estate practice includes wills, trusts, durable powers of attorney, living wills, patient-advocate designations and revisions to existing wills. The firm also assists with probate matters, trust administration and family-business succession planning.

Asset-protection services address concerns involving creditors, lawsuits, rental and investment properties, inherited wealth and ownership of family assets. Because these concerns can overlap, the firm can consider how an estate plan, business structure and real-estate holdings fit together rather than treating each asset separately.

When a Family Owns More Than Ordinary Accounts and a Home

A basic estate plan may be sufficient for someone with relatively straightforward property and family circumstances. More planning may be appropriate when the estate includes a business, several properties, substantial investments or assets intended to remain in the family for another generation.

A will provides instructions for property administered through an estate. It can identify beneficiaries, name a personal representative and nominate a guardian for minor children. The firm also prepares codicils for clients who need to revise an existing will.

Trusts can provide additional instructions for managing and distributing property. Reed Law works with several trust-related arrangements, including trusts involving life insurance and real estate. The appropriate structure depends on what the family owns, whom it wants to provide for and how long the property may need to be managed.

A family may also want part of its estate directed to a charitable organization. Wills and trusts can include instructions for charitable gifts alongside provisions for relatives and other beneficiaries.

Who Will Pay the Bills During an Incapacity?

Estate planning is also concerned with what happens while someone is alive. A car accident, stroke, serious illness or cognitive impairment can leave a person temporarily or permanently unable to handle financial affairs.

A durable power of attorney can authorize another person to manage specified financial and business matters. The agent may need to pay a mortgage, deal with accounts, make permitted transactions or keep a business operating while the principal is incapacitated.

The responsibilities attached to that authority can be significant. Michigan agents may have fiduciary duties, recordkeeping requirements and limitations on actions such as making gifts or creating joint accounts. The power granted depends on the language of the document.

Choosing the agent therefore requires more than selecting the nearest relative. A business partner, family friend or another trusted person may be better suited to the work in some circumstances. The person creating the document can also consider whom to name as a contingent agent if the first choice cannot serve.

A Medical Crisis Leaves the Family Facing Difficult Decisions

Someone who cannot communicate may still need decisions made about medical treatment and personal care. Without advance instructions, relatives may be uncertain about the person’s preferences or who has authority to speak with healthcare providers.

Reed Law prepares living wills and patient-advocate designations. A patient advocate can be authorized to make healthcare decisions under the circumstances established in the documents. The living will can provide additional guidance about the individual’s wishes.

The person selected for healthcare decisions may be different from the person managing finances. One relative may understand the individual’s medical preferences, while another has greater ability to handle accounts, investments or business obligations.

Preparing these documents before an emergency gives the individual an opportunity to choose the decision-makers and discuss the responsibilities with them. It can also provide clearer direction when relatives are under pressure and may not agree about the appropriate course of action.

An Older Parent Can No Longer Manage Personal or Financial Affairs

Families sometimes seek help after an older adult develops Alzheimer’s disease, another form of dementia or a disabling condition. The parent may be unable to manage finances, arrange necessary care or protect personal interests.

A guardianship or conservatorship may be considered when existing documents do not adequately resolve the situation. A guardian can receive authority over personal decisions, while a conservator can be appointed to manage financial and legal affairs.

The probate court generally determines whether an appointment is necessary and what authority should be granted. These proceedings may require evidence concerning the person’s abilities and needs. Questions can also arise about balancing the individual’s autonomy with the protection the family is seeking.

Reed Law assists families with guardianship and conservatorship matters. Its related work with durable powers of attorney can also help determine whether an existing document provides usable authority before a court appointment is pursued.

A Family Business Needs a Future Beyond Its Current Owner

A family business can provide income, employment and much of an owner’s personal wealth. When the owner retires, becomes disabled or dies, the transition can affect relatives, employees, customers and the value of the company itself.

Succession planning begins with deciding what should happen to ownership and management. A child or other relative may be interested in taking over, but willingness alone does not necessarily establish how the transfer will occur. Another family may determine that a sale to managers, employees, investors or an outside company is more practical.

Reed Law assists with succession planning involving transfers to relatives, business sales, mergers and acquisitions, management buyouts and other exit arrangements. Its small-business practice also includes entity formation, contracts and business transactions.

The owner’s personal estate plan and business documents should address the same intended transition. A trust, ownership agreement or sale arrangement may be part of the plan, depending on the structure of the company and the goals of the people involved.

Succession planning can also account for relatives who will not participate in the business. If one child is expected to take control, the owner may need to consider how that decision relates to the property intended for other beneficiaries.

Siblings Inherit a Cottage or Other Shared Property

A family cottage may have considerable emotional value, but transferring it to several children can create difficult practical questions. The new owners may disagree about scheduling, maintenance, improvements, taxes or whether the property should eventually be sold.

Reed Law addresses asset protection and ownership planning for family cottages. Its materials discuss using a cottage trust and an eventual LLC to establish rules for use, management, expenses and generational transition.

The firm also works with clients who own rental or investment properties. A person with several properties may need to consider whether holding every parcel in the same name or entity exposes unrelated assets to the risks associated with one property.

Asset-protection planning for real-estate portfolios can involve separating properties, reviewing business entities and coordinating ownership with the estate plan. Reed Law’s real-estate practice also includes purchases, sales, deeds, leases, land contracts, title concerns, zoning and property disputes.

The objective is not simply to transfer the real estate at death. The plan may also need to address how the property will be owned, managed and protected during the owner’s lifetime and after it reaches the next generation.

Protecting an Inheritance From Future Financial Problems

Parents may be concerned that an inheritance could later be affected by a beneficiary’s creditors, marital problems or inability to manage money. An outright distribution provides the beneficiary with ownership but may not provide the continuing safeguards the parents had in mind.

A trust can establish who will manage inherited assets and when distributions should occur. The terms may be designed around a beneficiary’s circumstances and the type of property being transferred.

Reed Law’s asset-protection work also includes planning involving properly structured LLCs and limited partnerships, irrevocable trusts, insurance arrangements and protected retirement assets. These tools serve different purposes and involve different levels of control, cost and access.

Timing is important in asset-protection planning. Strategies intended to address future risks are different from transfers attempted after a lawsuit, creditor claim or other immediate threat has developed. A plan must be based on lawful transfers and the client’s actual circumstances.

The firm also advises clients who are bringing businesses, investments, a cottage or other significant property into a marriage. Premarital planning may include a prenuptial agreement, trust or carefully considered ownership arrangement intended to clarify how particular assets will be treated.

After a Death, the Estate Still Has Work to Complete

Probate is used to collect estate property, address valid debts and distribute the remaining assets under a will or Michigan law. The person handling the estate may have to complete unfamiliar responsibilities while grieving.

Reed Law assists with estate inventories, creditor notices, identification of heirs, tax-return preparation and payment of legitimate debts. Its probate work also includes trust administration and appointments of guardians or conservators when those issues arise.

The estate may become more complicated when it contains real estate, a business or property that is difficult to value. Beneficiaries may also question a debt, proposed sale or distribution. Reed Law handles probate litigation in addition to administrative matters.

A trustee faces a related set of responsibilities for assets held in trust. Trust administration can require managing property, maintaining records, communicating with beneficiaries and carrying out the distribution instructions established by the person who created the trust.

Serving the Greater Kalamazoo Area and Michigan Clients

Reed Law is located in Kalamazoo, Michigan, and identifies the greater Kalamazoo area as its principal service area.

Its estate-planning materials also refer to serving clients in Michigan, and the firm handles Michigan asset-protection, guardianship, conservatorship, real-estate and business-succession matters.

Practice Areas

• Asset-protection planning

• Wills and codicils

• Revocable and irrevocable trusts

• Life-insurance and real-estate trusts

• Durable powers of attorney

• Living wills

• Patient-advocate designations

• Guardianships and conservatorships

• Probate administration

• Probate litigation

• Trust administration

• Family-business succession

• Business formation

• Mergers and acquisitions

• Real-estate transactions

• Rental and investment-property planning

• Premarital asset planning