Title transfer into LLC destroys asset protection?

[Marcus Auerbach]

Mike Butler's book Landlording on Autopilot is a great read and I really like his hands on approach and school of hard knocks education. I just glanced it over again today to brush up on how to denie a rental application without getting in trouble and came across asset protection. There is one statement that does not make sense to me:

- transferring title from personal to entity without realizing it destroys all your asset protection (page 68).

It sounds like there is a better way of transferring title of a SF into the LLC? What would that be?

Further, even if the transfer "pierces the corporate veil" or weakens it, wouldn't it take a very dedicated plaintiff lawyer to first sue you and then dismantle the LLC in the process before really getting anywhere with the case?

[John Thedford]

Depending upon your state, a LLC may NOT provide any protection. If, in Florida, you set up a single member LLC the Florida supreme court has thrown that out as protection and disregarded the entity. If you have a multiple member LLC in Florida, that is completely different. In your state, I am sure things will vary. I have seen some guys promoting setting up an LLC in states such as Nevada, etc due to their different treatment in the courts. I just bought a book on asset protection but haven't started it yet so I don't have any better info than what I just provided.