Roughly 17 US states permit DAPTs, notably Nevada, Delaware, South Dakota, Wyoming, and Tennessee. **Virginia and West Virginia do NOT allow self-settled asset-protection trusts for their own residents** — VA/WV residents establish DAPTs in one of the enabling states. Pre-existing creditor claims generally cannot be defeated by transferring assets into a DAPT.
Glossary · trusts
Domestic Asset Protection Trust
Acronym: DAPT
In plain English
A self-settled trust (you're the grantor AND a beneficiary) that shields assets from creditors — legal only in specific states.