Colorado

The information given on this page is for educational and informational purposes only, and does not constitute any legal or tax advice or opinion. This page is meant to give a quick start to research by other professionals, but it should absolutely not be relied upon for any purposes whatsoever. Additionally, this page is kept current only as our time allows, and the information given here may not be current. We make NO GUARANTEES as to the accuracy of the information herein and you should not rely on it. Even professionals who use this information must independently verify whether it is correct and current.

Nothing in the information given below should imply that the drafters of this webpage are admitted to practice law in the referenced state or have any special expertise in the areas listed. Nothing herein should be construed as a solicitation by the drafters of this website to practice law in the referenced state. Persons desiring planning should contact a licensed attorney or other appropriate planning professional in this state. Certainly, nothing herein is any substitute for the services, advice, or counsel of a properly licensed attorney in the relevant state!

Colorado Asset Protection Overview

Colorado debtors may only choose from the state bankruptcy exemptions. The federal exemptions are not allowed.

Colorado offers only nominal protection to homestead, and only protects the sale proceeds for up to a year after the property is sold. However, properly structured life insurance and annuity policies are exempt from creditors. Colorado also has a Self-Settled Trust Act, though not as debtor friendly a statute as the Alaska-style statutes.

Colorado Statutory Creditor Exemptions

For additional detailed information on the use of life insurance, annuities, pension plans, and employee benefit plans for wealth preservation and asset protection, see advanced life insurance

Colorado Homestead

• The Colorado homestead exemption is $45,000, if the residence is occupied. [38-41-201; 38-41-201.6]

Statute [38-41-201]

Statute [38-41-201.6]

• The sale proceeds are exempt for up to one year. [38-41-203; 38-41-207] 38-41-203. Exemption only while occupied.
  
  Said property, when so homesteaded, shall only be exempt as provided in this part 2 while occupied as a home by the owner thereof or his family.

Statute [38-41-203]

Statute [38-41-207]

• A deceased debtors spouse or child may claim the homestead exemption.
  [38-41-204]

Statute [38-41-204]

• A house trailer or coach used as a residence is exempt. [38-41-201.6]

Statute [38-41-201.6]

• A mobile home up to $6,000 in value, is exempt. [38-41-201.6]

Statute [38-41-201.6]

Colorado Life Insurance

• Life insurance proceeds paid to beneficiaries are exempt, if the policy contains a clause that prohibits the proceeds from being used to pay the beneficiary's creditors. [10-7-106]

Statute [10-7-106]

• Cash value of life insurance policy is exempt up to $50,000.
  [10-7-106; 13-54-102(1)(I)(B)]

Statute [10-7-106]

Statute [13-54-102(1)(I)(B)]

Colorado Annuities

• Group life insurance annuities are exempt. [10-7-205]

Statute [10-7-205]

Colorado IRAs & Pension Plans

• IRAs are exempt. [13-54-102(1)(s)]

Statute [13-54-102(1)(s)]

Colorado Fraudulent Transfers

For additional detailed information relating to fraudulent transfers, including the text of the Uniform Fraudulent Transfers Act, see fraudulent transfers

Colorado Act

• Colorado Fraudulent Transfers Act

Colorado Fraudulent Transfer Cases

State Appellate Court

• Michael Whalen v. Lexie-Leigh Shepler, et al.,
  No. 03CA0509 (Col.App. 06/03/2004)

• Ciccarelli v. Guaranty Bank,
  No. 02CA2335 (Colo.App. 03/25/2004)

• Double Oak Construction, LLC v. Cornerstone Development International, 2003.CO.0000265 (Colo.App. 09/25/2003) Civil Conspiracy

• Great Neck Plaza, L.P. v. Le Peep Restaurants, LLC,
  37 P.3d 485 (Colo.App. 08/16/2001)

• Alberico v. Health Management Systems, Inc.,
  5 P.3d 967 (Colo.App. 06/22/2000)

• Schempp v. Lucre Management Group, LLC,
  18 P.3d 762 (Colo.App. 04/27/2000)

• Tiger v. Anderson,
  976 P.2d 308 (Colo.App. 06/11/1998)

• Silverberg v. Colantuno,
  991 P.2d 280 (Colo.App. 08/20/1998)

• The People of the State of Colorado v. William Stephen Reed,
  942 P.2d 1204 (Col. 08/04/1997)

• In re Estate of Candice Louise Westfall,
  942 P.2d 1227 (Colo.App. 11/29/1996)

• Sands v. New Age Family Partnership,
  897 P.2d 917 (Colo.App. 05/18/1995)

• Crown Life Insurance Co. v. April Corp.,
  855 P.2d 12 (Colo.App. 12/03/1992)

• Park State Bank v. McLean,
  660 P.2d 13 (Colo.App. 10/14/1982)

• Brothe v. Zaiss,
  183 P.2d 561 (Colo. 06/02/1947)

• Feiring v. Gano,
  168 P.2d 901 (Colo. 04/08/1946)

• Bailey v. Hoffman,
  96 P.2d 412 (Colo. 11/13/1939)
  

Colorado Trusts

For additional detailed information relating to the use of trusts for asset protection, including foreign and domestic asset protection trusts, see trusts.

Colorado Trust Act (Non Self-Settled)

• Colorado Trust Act [15-16-101 to 15-16-401]

Colorado Trust Act (Self-Settled)

• Colorado Trust Act [38-10-111]

Colorado Spendthrift Trust Cases

• Katz, Look & Moison P.C. v. Shirley,
  No. 04SC214 (Colo. 06/06/2005)

• In the Matter of Gary Steven Cohen, Attorney,
  8 P.3d 429 (Colo. 09/13/1999)

Colorado Business Entities

Colorado Acts

• Colorado Corporation Act
• Colorado Limited Partnership Act
• Colorado Limited Liability Company Act
• Colorado LLC Charging Order Statute

Colorado Charging Order Cases

• In re Ashley Albright
  No. 01-11367 (Bkrptc.D.Col. 04/04/2003)

• Union Colony Bank v. United Bank of Greeley National Association,
  832 P.2d 1112 (Colo. 05/14/1992)

Colorado Alter Ego & Corporate Veil Cases

• William W. Hewitt & Valley Park Apartments, Inc. v. Thomas S. Rice,
  Nos. 03CA0984 & 03CA1092 (Colo.App. 12/30/2004)

• Great Neck Plaza, L.P. v. Le Peep Restaurants, LLC,
  37 P.3d 485 (Colo.App. 08/16/2001)

Useful Colorado Links

For additional detailed information relating to financial frauds and tax scams, see http://www.quatloos.com

• Colorado Secretary of State
• Colorado Attorney General
• Colorado Division of Securities
• Colorado Bar Association

The all-time asset protection

best seller is available from:

Amazon.com

Barnes & Noble.com

About AssetProtectionBook.com

This website is by far the largest and most comprehensive creditor-debtor and asset protection resource available anywhere. This website hosts thousands of pages of articles, cases, statutes, analysis, and many other resources to assist planners and judgment collection professionals in researching contemporary creditor-debtor issues.

While the articles and analysis on this website are most often drafted from a planner's point of view, creditor attorneys and judgment collection professionals will also find many of these resources to be highly useful. We have tried whenever possible to be balanced in our analysis by pointing out strengths and weaknesses in different structures and strategies from both the planner's and creditor's viewpoint.

This website was primarily created to support our book Asset Protection: Concepts and Strategies (McGraw-Hill 2004). Because of the publishing agreement with McGraw-Hill Companies, Inc., certain articles which were used as the basis for that book have been withdrawn from internet publication. It is suggested that the book be used as the primary resource, and that the other materials on this website should be used as supporting materials only as needed.

Available from

Amazon.com

and

Barnes & Noble