Enhanced Confidentiality

Wyoming does not require mandatory trust or beneficial interest registration and permits the use of silent or “quiet” trusts. W.S. § 4-10-105.

In addition, trust records and court documents are automatically sealed in any judicial proceedings involving a trust. W.S. § 4-10-205.

Creditor Protection

Asset Protection Trusts: Wyoming’s Qualified Spendthrift Trust is an irrevocable self-settled asset protection trust. Any transfer of assets to such a trust must be accompanied by a qualified transfer affidavit, which includes a statement that the transfer does not render the settlor insolvent, that the transfer is not intended to defraud, and that the settlor maintains at least $1 million in insurance coverage. W.S. § 4-10-510 to -523.

• The trust may be funded with a wide variety of assets, including investments, business interests, real estate, and intangibles.

• The settlor may retain the power to veto distributions, appoint during lifetime or at death (general or limited power), add or remove fiduciaries, and act as investment advisor

• Exceptions to spendthrift protection:

  • Fraudulent transfers under the Uniform Fraudulent Transfer Act, proven by clear and convincing evidence

  • Child support in arrears of at least 30 days

  • Financial institution if qualified trust property is listed on an application for credit

Discretionary Trusts: Wyoming offers both traditional discretionary trusts and discretionary asset protection trusts, the latter of which protects trust assets if a trust (1) is irrevocable, (2) provides for discretionary distributions, (3) was not created through a fraudulent transfer, and (4) has at least one qualified independent trustee, with the authority to make distributions to the settlor. W.S. § 4-10-504.