Family Limited Partnership Agreements
When clients come to us with an existing partnership agreement for a FLP, it is usually a standard form agreement that would be used to own a building or some other form of investment. It is often beneficial to amend the agreement by replacing it with our FLP Agreement that is drafted for the purpose of protecting assets and estate planning. A few examples of benefits to using a FLP Agreement drafted by Waldron & Schneider include:
- The general partner (“GP”) may withdraw from the FLP without terminating the entity.
- The GP may transfer some or all of its interest in the FLP.
- The GP does not have to become a limited partner (“LP”) after transferring its GP interest.
- The GP has the authority to act without approval of the LPs in most instances.
- There is no requirement for a written legal opinion before transferring interest.
- LPs may transfer any portion of their interest.
- LPs may withdraw from the FLP.
- The purpose statement for the FLP contains language required by the IRS.
- The FLP is permitted to make unequal distributions to the partners.
- The FLP is not required to distribute enough money to each partner to pay federal income tax. It may do that, but it is not required to make such a distribution.
- The GP has fiduciary obligations to the LPs is not permitted to waive them. This language is also required by the IRS.
If you want to learn more about FLPs, please call our office to schedule a meeting with our of our experienced attorneys so we can help you decide whether forming a FLP would be a useful asset protection and estate planning tool for your family.
The legal information in this blog entry is not intended to be a substitute for seeking personalized legal advice from an attorney licensed to practice in your jurisdiction. Further, nothing contained in this article is intended to create an attorney-client relationship with any reader. This article and website are made available by Waldron & Schneider for educational purposes only and to give basic information and a general understanding of the law, not to provide specific legal advice. By using this website you understand that there is no attorney client relationship between you and Waldron & Schneider. The article and website should not be used as a substitute for competent legal advice from a licensed professional attorney in your state. For more information or questions you can contact us and one of our attorneys will be in touch soon.
Waldon & Schneider would like to recognize and thank all our professional administrators for their hard work and dedication. Thank you all for what you do!!!
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Partners Kimberly Bartley and Vanessa J. Maduzia attend the Second Chance Pets Gala where Waldron & Schneider, PLLC was a proud sponsor.
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Despite being a cloudy day, the staff of Waldron & Schneider had a great time viewing the eclipse in between the clouds with their solar eclipse viewing glasses.
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Associate attorney Collin Bullard writes about post marital agreements in his blog.
www.ws-law.com
Post-marital agreements may additionally be referred to as postnuptial, partition, or exchange agreements, depending upon the source.1 CommentComment on Facebook
After 40 years as a crab fisherman, I added a new chapter by working at a fish plant. Despite my love for playing the lottery, winning was a problem until I found Lord Bubuza's lottery spells online. I was Skeptical at first, but my wife Nancy encouraged me to try him. I Followed his instructions and provided his requirement to cast the spell, I played Lotto 649 with the numbers he gave me. To my surprise, I won $64 million, Nancy and I traveled to Moncton to claim the prize, and I'm now retiring from fishing, I'm grateful for Lord Bubuza's lottery spell. For those seeking lottery success, I recommend him. Contact him at lordbubuzamiraclework@hotmail.com or WhatsApp: +1 505 569 0396
Associate Attorney Collin Bullard writes about enforcement of an unwritten contract in his blog.
Enforcement of an Unwritten Contract
www.ws-law.com
Under Texas law, these “oral contracts” are enforceable with the same legal requirements as a physical contract.0 CommentsComment on Facebook