Asset protection in Florida.
Tenancy by the entirety, the five unities, and LLC structures — and the mistakes that leave you completely exposed.
01 — T/E Shield · 02 — The Five Unities · 03 — LLC Structures
Tenancy by the entirety.
A married couple holds property as a single unified legal entity. An individual creditor of one spouse cannot touch it — period.
Property titled as T/E
The primary residence, joint bank and brokerage accounts, investment property — when properly titled as tenancy by the entirety, these assets belong to the marriage, not to either spouse individually.
✔ Shielded from each spouse's individual creditors
Individual creditors
One spouse's credit card debt, a personal judgment from one spouse's business, a claim against one spouse alone — ✘ none of these can reach T/E property.
Only a joint creditor of both spouses may pursue T/E assets.
The five unities required for T/E.
T/E is not created by simply adding a spouse's name to a deed. All five unities must exist at the moment the property is acquired. Missing even one means no T/E — and no protection.
A client owns a house individually. They execute a quitclaim deed to themselves and their spouse, believing this creates T/E. It does not. The Unity of Time is destroyed — the spouses did not acquire their interests simultaneously, from the same instrument. A creditor can successfully argue the T/E was never created, leaving the property fully exposed.
Unity of Time
Both spouses must acquire their interest at the exact same moment. One cannot add the other later.
Unity of Title
Both receive title through the same instrument — same deed or account agreement.
Unity of Interest
Both spouses hold equal, identical interests. Neither may hold more than the other.
Unity of Possession
Both have an equal right to possess the entire property — neither may exclude the other.
Unity of Marriage
The parties must be legally married at acquisition. T/E cannot exist between unmarried co-owners.
"I'll just add my spouse's name"
John purchased a rental property in his name alone in 2019. In 2024, facing potential liability, he executes a quitclaim deed to "John and Jane Doe, husband and wife." A creditor challenges the T/E — successfully. The Unity of Time and Unity of Title are both missing. The property is reachable.
Acquire together from the start
John and Jane purchase together at closing via a single deed to "John Doe and Jane Doe, husband and wife." All five unities satisfied. If retitling is needed, the correct method uses a third-party intermediary ("straw man") back to both spouses simultaneously — not a direct quitclaim from one spouse to both. Call us before you act.
The same five unities apply to bank and brokerage accounts. Simply adding a spouse as a joint holder to an existing account does not convert those funds to T/E property. The T/E designation must be explicit — stated in writing on the account documents — not assumed.
LLC structures & creditor protection.
How multi-member and Wyoming single-member LLCs limit what a creditor of an individual member can reach — and why your structure choice matters.
2+ members
The LLC owns the assets — real property, equipment, accounts. Members hold membership interests. A creditor of one member:
- ✘ Cannot seize LLC assets. A judgment against a member is not a judgment against the LLC.
- ✘ Cannot force dissolution or sale of LLC property.
- ⚠ Charging order only — a lien on distributions if and when the LLC distributes. The LLC is not required to distribute.
- ✔ Other members fully protected — operations unaffected.
1 member
The Wyoming LLC owns the assets; a single member holds 100% of the interest. A creditor of the sole member:
- ✘ Cannot seize LLC assets — Wyoming statute expressly limits the remedy to a charging order even for single-member LLCs.
- ✘ Cannot force dissolution or foreclose on the membership interest.
- ⚠ Charging order = exclusive remedy by statute. The member-manager controls whether distributions occur.
- ✔ Key for Florida residents: multi-member-equivalent protection with a single owner — something a Florida single-member LLC does not provide.
Quick comparison — what each structure blocks.
- ✔ Full immunity — individual creditors blocked
- ✔ No charging order needed
- ✔ No ongoing compliance required
- ✘ All 5 unities required at acquisition
- ✘ Ends at divorce or death
- ✔ Blocks seizure of LLC assets
- ✔ Blocks foreclosure on membership
- ✔ Survives divorce
- ⚠ Charging order may reach distributions
- ⚠ Requires 2+ members for full protection
- ✔ Blocks seizure of LLC assets
- ✔ Charging order = only remedy by statute
- ✔ Multi-member-equivalent protection
- ✔ Single owner permitted
- ⚠ Annual Wyoming registered agent fee
Disclaimer: This guide is for general educational purposes only and does not constitute legal advice. Asset protection strategies depend on individual circumstances, proper formation, ongoing compliance, and applicable law. Transfers made to hinder or defraud creditors may be voided under Florida's Uniform Fraudulent Transfer Act (Ch. 726, Fla. Stat.). Consult our office for advice specific to your situation.
Protection must be in place before claims arise.
A one-hour consultation can confirm whether your assets are actually titled the way you think they are.