Avoiding "Due on Transfer" in Trusts: Structuring Transfers to Avoid Triggering Acceleration Clauses
A Real-World Guide to Garn-St. Germain Act Exemptions
Recording of a 90-minute CLE webinar with Q&A
This CLE webinar will provide estate planners and trust attorneys with comprehensive guidance on accomplishing transfers of encumbered real property to a revocable living trust without triggering "due-on-sale/due-on-transfer" mortgage provisions. The panel will discuss how the Garn-St. Germain Depository Act exclusions operate in the real world of trust and estate planning practice and will offer practical tools for structuring transfers and drafting trust language to avoid acceleration clauses in mortgage notes.
- History of the due-on-sale clause and the Garn-St. Germain Depository Institutions Act
- A brief definition of due-on-sale/due-on-transfer provisions
- Exceptions that the Garn-St. Germain Depository Act provides to the due-on-transfer provisions
- Drafting revocable living trust documents to hold encumbered real estate
- Structuring the transaction to avoid the acceleration provision
- Transfers into single-member LLCs
The panel will review these and other key issues:
- What are the specified transfers exempt from enforcement of due-on-sale/acceleration clauses as they relate to estate planning?
- What are the practical requirements that a trust must have to ensure that a transfer of qualified property does not trigger an acceleration clause?
- What are the specific traps that trust counsel must avoid in structuring a trust transaction?
- Sample language for trust documents
Bronchick & Associates
Mr. Bronchick specializes in all forms of asset protection and is a nationally-known attorney, author, and speaker. He... | Read More
Mr. Bronchick specializes in all forms of asset protection and is a nationally-known attorney, author, and speaker. He has been involved in over 3,000 real estate and business transactions. He has authored several real estate and business books, his articles appear in newspapers, magazines, and journals nationwide, and he has appeared as a guest on numerous radio and television talk shows.He has also been featured in Money Magazine, USA Today, CNN Money, the Wall Street Journal Online, Investors Business Daily, New York Newsday, the Los Angeles Times and the Denver Business Journal.Close
Rushforth Lee & Kiefer
Mr. Bybee is a Senior Attorney in Rushforth Lee & Kiefer’s Estate Planning Group. He graduated with honors... | Read More
Mr. Bybee is a Senior Attorney in Rushforth Lee & Kiefer’s Estate Planning Group. He graduated with honors from the J. Reuben Clark Law School where he also served on the editorial board of the BYU Journal of Public Law. While earning his law degree, Mr. Bybee also completed requirements to graduate with his Masters of Public Administration from the Marriott School of Management. Since his admission to the bar in 2011, he has practiced primarily in the areas of trusts, estates, and business organization. Mr. Bybee enjoys helping clients organize their estates, protect their property, and plan for business succession. He regularly co-counsels with attorneys throughout the country who are seeking the benefits of Nevada's favorable trust and asset protection laws for their clients. Mr. Bybee has been recognized by Mountain States Super Lawyers as a “Rising Star” in the area of Estate Planning and Probate.Close
Mr. Goldberg has specialized in real estate and business transactions for over 20 years. He is also a frequent speaker... | Read More
Mr. Goldberg has specialized in real estate and business transactions for over 20 years. He is also a frequent speaker at real estate and business seminars.Close